Texas Roadhouse Inc
NASDAQ:TXRH

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Texas Roadhouse Inc
NASDAQ:TXRH
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Price: 158.31 USD 0.28% Market Closed
Market Cap: $10.4B

EV/FCFF

30.6
Current
8%
Cheaper
vs 3-y average of 33.2

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
30.6
=
Enterprise Value
$11.8B
/
Free Cash Flow to Firm
$336.1m

Enterprise Value to Free Cash Flow to Firm (EV/FCFF) ratio compares a company`s total enterprise value to the free cash flow available to all investors, both debt and equity holders. It shows how much investors are paying for each dollar of cash flow the business generates before interest payments.

EV/FCFF
30.6
=
Enterprise Value
$11.8B
/
Free Cash Flow to Firm
$336.1m

Valuation Scenarios

Texas Roadhouse Inc is trading below its 3-year average

If EV/FCFF returns to its 3-Year Average (33.2), the stock would be worth $171.85 (9% upside from current price).

Statistics
Positive Scenarios
1/4
Maximum Downside
-24%
Maximum Upside
+9%
Average Downside
4%
Scenario EV/FCFF Value Implied Price Upside/Downside
Current Multiple 30.6 $158.31
0%
3-Year Average 33.2 $171.85
+9%
5-Year Average 30.1 $155.74
-2%
Industry Average 30.5 $158.1
0%
Country Average 23.2 $120.24
-24%

Forward EV/FCFF
Today’s price vs future free cash flow to firm

Not enough data available to calculate forward EV/FCFF

Peer Comparison

All Multiples
EV/FCFF
P/E
All Countries
Close
Market Cap EV/FCFF P/E
US
Texas Roadhouse Inc
NASDAQ:TXRH
10.4B USD 30.6 25.8
US
McDonald's Corp
NYSE:MCD
208.2B USD 34.4 24.3
US
Starbucks Corp
NASDAQ:SBUX
110.8B USD 61.2 80.9
UK
Compass Group PLC
LSE:CPG
45.2B GBP 25.4 0.3
US
Chipotle Mexican Grill Inc
NYSE:CMG
42.9B USD 28.9 27.9
US
Yum! Brands Inc
NYSE:YUM
43.3B USD 33.1 27.8
CA
Restaurant Brands International Inc
NYSE:QSR
27.1B USD 30.3 34.9
IN
Eternal Ltd
NSE:ETERNAL
2.3T INR -155.7 997
US
Darden Restaurants Inc
NYSE:DRI
22.5B USD 26.5 20.4
JP
Friendly Corp
TSE:8209
2.9T JPY -28.7 -6.5

Market Distribution

In line with most companies in the United States of America
Percentile
64rd
Based on 8 393 companies
64rd percentile
30.6
Low
0 — 15.4
Typical Range
15.4 — 35.1
High
35.1 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 15.4
Median 23.2
70th Percentile 35.1
Max 3 178 983.5

Texas Roadhouse Inc
Glance View

Texas Roadhouse Inc., founded in 1993 by W. Kent Taylor in Clarksville, Indiana, has carved out a distinctive niche in the casual dining sector. From its humble beginnings, the company has grown to become a beloved national steakhouse chain, renowned for offering an authentic Western dining experience. The establishment prides itself on providing hearty American fare at reasonable prices, focusing on hand-cut steaks, fall-off-the-bone ribs, and freshly baked bread, complete with a bucket of peanuts at every table. What sets Texas Roadhouse apart is its commitment to consistency in quality and service – attributes that resonate well with its customer base. By fostering a lively and welcoming atmosphere infused with country music and energetic line dancing, Texas Roadhouse seeks to create not just meals, but memorable experiences, encouraging repeat visits and strong word-of-mouth promotion. Financially, Texas Roadhouse seizes revenue through its vibrant dine-in operations, which are the backbone of its business model. Each establishment enjoys a local management model, empowering managers to tailor their operations to community preferences while ensuring the overall brand consistency beloved by patrons nationwide. This decentralized approach promotes a sense of ownership and accountability that incentivizes high performance at every location. Additionally, efforts to cultivate a loyal customer base through exceptional service have translated into significant sales figures, augmented by strategically located restaurants that capitalize on high foot traffic and accessible suburban locales. Operational efficiency is further enhanced by effective supply chain management and keen oversight of cost control measures, allowing each restaurant to maximize margins while maintaining value-oriented pricing.

TXRH Intrinsic Value
169.87 USD
Undervaluation 7%
Intrinsic Value
Price $158.31
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