TEXAS ROADHOUSE INC (1TXRH.MI) Stock Fundamental Analysis
BIT:1TXRH - Euronext Milan - US8826811098 - Common Stock - Currency: EUR
We assign a fundamental rating of 7 out of 10 to 1TXRH. 1TXRH was compared to 58 industry peers in the Hotels, Restaurants & Leisure industry. 1TXRH scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 1TXRH shows excellent growth, but is valued quite expensive already. These ratings would make 1TXRH suitable for growth and quality investing!
1. Profitability
1.1 Basic Checks
In the past year 1TXRH was profitable.
1TXRH had a positive operating cash flow in the past year.
Each year in the past 5 years 1TXRH has been profitable.
1TXRH had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1TXRH has a Return On Assets of 13.60%. This is amongst the best in the industry. 1TXRH outperforms 89.66% of its industry peers.
The Return On Equity of 1TXRH (31.45%) is better than 91.38% of its industry peers.
The Return On Invested Capital of 1TXRH (18.33%) is better than 93.10% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 1TXRH is significantly above the industry average of 10.82%.
The last Return On Invested Capital (18.33%) for 1TXRH is above the 3 year average (16.19%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.6% | ||
| ROE | 31.45% | ||
| ROIC | 18.33% |
ROA(3y)11.73%
ROA(5y)9.26%
ROE(3y)28.42%
ROE(5y)22.37%
ROIC(3y)16.19%
ROIC(5y)12.65%
1.3 Margins
The Profit Margin of 1TXRH (7.89%) is better than 65.52% of its industry peers.
In the last couple of years the Profit Margin of 1TXRH has grown nicely.
The Operating Margin of 1TXRH (9.44%) is comparable to the rest of the industry.
1TXRH's Operating Margin has improved in the last couple of years.
Looking at the Gross Margin, with a value of 66.71%, 1TXRH is in the better half of the industry, outperforming 65.52% of the companies in the same industry.
1TXRH's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.44% | ||
| PM (TTM) | 7.89% | ||
| GM | 66.71% |
OM growth 3Y3.86%
OM growth 5Y4.7%
PM growth 3Y4.45%
PM growth 5Y4.97%
GM growth 3Y0.08%
GM growth 5Y-0.35%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), 1TXRH is creating value.
1TXRH has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, 1TXRH has less shares outstanding
The debt/assets ratio for 1TXRH has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 6.79 indicates that 1TXRH is not in any danger for bankruptcy at the moment.
1TXRH has a Altman-Z score of 6.79. This is amongst the best in the industry. 1TXRH outperforms 94.83% of its industry peers.
1TXRH has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 6.79 |
ROIC/WACC2.05
WACC8.96%
2.3 Liquidity
1TXRH has a Current Ratio of 0.47. This is a bad value and indicates that 1TXRH is not financially healthy enough and could expect problems in meeting its short term obligations.
1TXRH's Current ratio of 0.47 is on the low side compared to the rest of the industry. 1TXRH is outperformed by 72.41% of its industry peers.
1TXRH has a Quick Ratio of 0.47. This is a bad value and indicates that 1TXRH is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of 1TXRH (0.41) is worse than 74.14% of its industry peers.
The current and quick ratio evaluation for 1TXRH is rather negative, while it does have excellent solvency and profitability. These ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.41 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 31.17% over the past year.
Measured over the past years, 1TXRH shows a very strong growth in Earnings Per Share. The EPS has been growing by 21.34% on average per year.
The Revenue has grown by 15.09% in the past year. This is quite good.
1TXRH shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 14.28% yearly.
EPS 1Y (TTM)31.17%
EPS 3Y22.73%
EPS 5Y21.34%
EPS Q2Q%0.59%
Revenue 1Y (TTM)15.09%
Revenue growth 3Y15.76%
Revenue growth 5Y14.28%
Sales Q2Q%9.57%
3.2 Future
1TXRH is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 10.17% yearly.
Based on estimates for the next years, 1TXRH will show a quite strong growth in Revenue. The Revenue will grow by 9.16% on average per year.
EPS Next Y5.44%
EPS Next 2Y9.15%
EPS Next 3Y10.17%
EPS Next 5YN/A
Revenue Next Year9.68%
Revenue Next 2Y9.31%
Revenue Next 3Y9.16%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 28.61, which means the current valuation is very expensive for 1TXRH.
Based on the Price/Earnings ratio, 1TXRH is valued a bit cheaper than the industry average as 60.34% of the companies are valued more expensively.
Compared to an average S&P500 Price/Earnings ratio of 27.03, 1TXRH is valued at the same level.
The Price/Forward Earnings ratio is 24.04, which indicates a rather expensive current valuation of 1TXRH.
The rest of the industry has a similar Price/Forward Earnings ratio as 1TXRH.
The average S&P500 Price/Forward Earnings ratio is at 36.28. 1TXRH is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.61 | ||
| Fwd PE | 24.04 |
4.2 Price Multiples
1TXRH's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1TXRH is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 31.21 | ||
| EV/EBITDA | 17.13 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
1TXRH has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)5.26
PEG (5Y)1.34
EPS Next 2Y9.15%
EPS Next 3Y10.17%
5. Dividend
5.1 Amount
1TXRH has a Yearly Dividend Yield of 1.47%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.94, 1TXRH pays a bit more dividend than its industry peers.
1TXRH's Dividend Yield is slightly below the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
5.2 History
On average, the dividend of 1TXRH grows each year by 10.95%, which is quite nice.
Dividend Growth(5Y)10.95%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
1TXRH pays out 38.53% of its income as dividend. This is a sustainable payout ratio.
1TXRH's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP38.53%
EPS Next 2Y9.15%
EPS Next 3Y10.17%
BIT:1TXRH (7/29/2025, 7:00:00 PM)
160.2
+160.2 (+Infinity%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryHotels, Restaurants & Leisure
Earnings (Last)
Earnings (Next)
Inst Owners97.04%
Inst Owner ChangeN/A
Ins Owners0.38%
Ins Owner ChangeN/A
Market Cap10.63B
Analysts72.35
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.47% |
Yearly Dividend2.14
Dividend Growth(5Y)10.95%
DP38.53%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.98%
Min EPS beat(2)-5.39%
Max EPS beat(2)3.44%
EPS beat(4)2
Avg EPS beat(4)-0.31%
Min EPS beat(4)-6.08%
Max EPS beat(4)6.8%
EPS beat(8)3
Avg EPS beat(8)-1.6%
EPS beat(12)5
Avg EPS beat(12)-2.48%
EPS beat(16)8
Avg EPS beat(16)-0.45%
Revenue beat(2)0
Avg Revenue beat(2)-0.8%
Min Revenue beat(2)-1.52%
Max Revenue beat(2)-0.08%
Revenue beat(4)0
Avg Revenue beat(4)-1.37%
Min Revenue beat(4)-2.08%
Max Revenue beat(4)-0.08%
Revenue beat(8)0
Avg Revenue beat(8)-1.6%
Revenue beat(12)1
Avg Revenue beat(12)-1.44%
Revenue beat(16)2
Avg Revenue beat(16)-1.24%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.61 | ||
| Fwd PE | 24.04 | ||
| P/S | 2.23 | ||
| P/FCF | 31.21 | ||
| P/OCF | 16.43 | ||
| P/B | 8.91 | ||
| P/tB | 10.74 | ||
| EV/EBITDA | 17.13 |
EPS(TTM)5.6
EY3.5%
EPS(NY)6.66
Fwd EY4.16%
FCF(TTM)5.13
FCFY3.2%
OCF(TTM)9.75
OCFY6.09%
SpS71.68
BVpS17.99
TBVpS14.92
PEG (NY)5.26
PEG (5Y)1.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 13.6% | ||
| ROE | 31.45% | ||
| ROCE | 21.29% | ||
| ROIC | 18.33% | ||
| ROICexc | 20.16% | ||
| ROICexgc | 22.55% | ||
| OM | 9.44% | ||
| PM (TTM) | 7.89% | ||
| GM | 66.71% | ||
| FCFM | 7.16% |
ROA(3y)11.73%
ROA(5y)9.26%
ROE(3y)28.42%
ROE(5y)22.37%
ROIC(3y)16.19%
ROIC(5y)12.65%
ROICexc(3y)17.69%
ROICexc(5y)14.18%
ROICexgc(3y)19.36%
ROICexgc(5y)15.5%
ROCE(3y)18.8%
ROCE(5y)14.68%
ROICexcg growth 3Y8.89%
ROICexcg growth 5Y10.92%
ROICexc growth 3Y8.92%
ROICexc growth 5Y11.06%
OM growth 3Y3.86%
OM growth 5Y4.7%
PM growth 3Y4.45%
PM growth 5Y4.97%
GM growth 3Y0.08%
GM growth 5Y-0.35%
F-Score8
Asset Turnover1.72
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 190.9% | ||
| Cap/Sales | 6.44% | ||
| Interest Coverage | 597.44 | ||
| Cash Conversion | 106.14% | ||
| Profit Quality | 90.74% | ||
| Current Ratio | 0.47 | ||
| Quick Ratio | 0.41 | ||
| Altman-Z | 6.79 |
F-Score8
WACC8.96%
ROIC/WACC2.05
Cap/Depr(3y)201.6%
Cap/Depr(5y)178.81%
Cap/Sales(3y)6.74%
Cap/Sales(5y)6.49%
Profit Quality(3y)87.34%
Profit Quality(5y)122.83%
High Growth Momentum
Growth
EPS 1Y (TTM)31.17%
EPS 3Y22.73%
EPS 5Y21.34%
EPS Q2Q%0.59%
EPS Next Y5.44%
EPS Next 2Y9.15%
EPS Next 3Y10.17%
EPS Next 5YN/A
Revenue 1Y (TTM)15.09%
Revenue growth 3Y15.76%
Revenue growth 5Y14.28%
Sales Q2Q%9.57%
Revenue Next Year9.68%
Revenue Next 2Y9.31%
Revenue Next 3Y9.16%
Revenue Next 5YN/A
EBIT growth 1Y34.28%
EBIT growth 3Y20.23%
EBIT growth 5Y19.65%
EBIT Next Year45.42%
EBIT Next 3Y21.11%
EBIT Next 5YN/A
FCF growth 1Y58.12%
FCF growth 3Y14.2%
FCF growth 5Y20.07%
OCF growth 1Y45.82%
OCF growth 3Y17.14%
OCF growth 5Y15.02%