Texas Roadhouse (TXRH) Misses Q3 Earnings Estimates

Core Viewpoint - Texas Roadhouse reported quarterly earnings of $1.25 per share, missing the Zacks Consensus Estimate of $1.28 per share, representing an earnings surprise of -2.34% [1] - The company posted revenues of $1.44 billion for the quarter ended September 2025, surpassing the Zacks Consensus Estimate by 0.57% [2] Earnings Performance - The earnings of $1.25 per share compare to $1.26 per share a year ago, indicating a slight decline [1] - Over the last four quarters, Texas Roadhouse has surpassed consensus EPS estimates only once [2] Revenue Insights - Year-over-year revenue growth was observed, with current quarter revenues of $1.44 billion compared to $1.27 billion a year ago [2] - The company has topped consensus revenue estimates four times over the last four quarters [2] Stock Performance - Texas Roadhouse shares have declined approximately 8.1% since the beginning of the year, contrasting with the S&P 500's gain of 15.6% [3] Future Outlook - The company's earnings outlook will be crucial for assessing future stock performance, particularly management's commentary during the earnings call [4] - Current consensus EPS estimate for the coming quarter is $1.73 on $1.5 billion in revenues, and $6.58 on $5.89 billion in revenues for the current fiscal year [7] Estimate Revisions - The trend for estimate revisions prior to the earnings release was unfavorable, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] - Empirical research suggests a strong correlation between near-term stock movements and trends in earnings estimate revisions [5]