News Summary
In recent developments, Texas Roadhouse has attracted significant investments from various institutional investors, highlighted by Jefferies Financial Group’s massive 730.2% stake boost. Other firms like Bessemer Group and Comerica Bank are also increasing their holdings. Despite some insider selling, the majority of shares remain with institutional investors. Texas Roadhouse has received favorable ratings from brokers, with an average target price of $196.85. The company reported promising quarterly earnings and declared a dividend, showcasing its robust performance in the market.
Texas: Jefferies Financial Group Takes Major Stake in Texas Roadhouse
Jefferies Financial Group Inc. significantly increased its investment in Texas Roadhouse, Inc. (NASDAQ:TXRH) by a staggering 730.2% in the first quarter of 2023. The fund’s holdings grew to 17,060 shares after acquiring an additional 15,005 shares during this period. By the end of the reporting quarter, Jefferies’ investment in Texas Roadhouse was valued at approximately $2,843,000.
Institutional Investors Adjust Holdings
Jefferies is not alone in its bolstering of Texas Roadhouse shares. Other institutional investors have also made notable adjustments to their stakes:
- Bessemer Group Inc. increased its stake by 4.3% to own 176,065 shares, valued at $31,768,000, after buying an additional 7,301 shares.
- Golden State Wealth Management LLC more than doubled its holdings with a 157.3% increase, now owning 4,658 shares worth $776,000.
- Comerica Bank raised its stake by 16.0%, now holding 132,914 shares valued at $23,982,000.
- Wealth Enhancement Advisory Services LLC grew its stake by 253.5%, with 38,086 shares worth $6,346,000 after acquiring 27,312 shares.
- Brighton Jones LLC established a new position worth $499,000 in Texas Roadhouse.
Institutional investors now control approximately 94.82% of Texas Roadhouse shares.
Insider Activity
Recent insider transactions reveal some activity among corporate leaders. Director Donna E. Epps sold 800 shares on May 23rd at an average price of $186.52, totaling $149,216. This sale represented a 14.73% decrease in Epps’ ownership, leaving her with 4,632 shares valued at about $863,960.64.
Similarly, Director Gregory N. Moore sold 1,000 shares on May 12th at an average price of $187.62, amounting to $187,620. Moore’s action led to a 2.56% reduction in his position, leaving him with 38,050 shares valued at approximately $7,138,941.
Corporate insiders currently own only 0.50% of the company’s stock.
Brokerage Ratings and Financial Performance
Brokerage firms are keeping a close watch on Texas Roadhouse. Recent ratings include:
- Deutsche Bank reiterated a “buy” rating on July 15th.
- Guggenheim raised their price target from $200.00 to $210.00 and maintained a “buy” rating.
- Wells Fargo lowered their price target from $175.00 to $170.00, assigning an “equal weight” rating.
- Melius initiated coverage with a “buy” rating and set a price target of $235.00.
- Stifel Nicolaus increased their price target from $180.00 to $188.00 and issued a “hold” rating.
Currently, Texas Roadhouse holds a “Moderate Buy” rating with an average target price of $196.85 according to MarketBeat.com. As of August 8th, the stock opened at $182.97, with a market capitalization of $12.14 billion.
Company Overview
Texas Roadhouse, based in Louisville, Kentucky, was founded in 1993 and operates casual dining restaurants throughout the United States and internationally under various brands including Texas Roadhouse, Bubba’s 33, and Jaggers. The company recently reported a price-to-earnings ratio of 28.24 and a PEG ratio of 2.58, with a beta of 0.86. Over the past twelve months, its stock has fluctuated between a low of $148.73 and a high of $206.04. Texas Roadhouse’s quarterly revenue increased by 11.8% year over year, totaling $1.45 billion, although it missed earnings per share estimates by $0.05.
The company declared a quarterly dividend of $0.68, payable on July 1st, offering a yield of 1.5% with a payout ratio of 41.98%.
Deeper Dive: News & Info About This Topic
- MarketBeat: Jefferies Financial Group Inc. Buys 15,005 Shares of Texas Roadhouse Inc.
- AOL: Olive Garden and Texas Roadhouse Chasing Market Share
- Eat This: Texas Roadhouse Named Top Chain
- Google Search: Texas Roadhouse
- Ceres Courier: Texas Roadhouse in Modesto
- Wikipedia: Texas Roadhouse
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