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

P/E

25.8
Current
7%
Cheaper
vs 3-y average of 27.7

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
25.8
=
Market Cap
$12B
/
Net Income
$405.6m

Price to Earnings (P/E) ratio shows how much investors pay for each dollar of a company`s earnings. It`s calculated by dividing the company`s market value by its total earnings.

P/E
25.8
=
Market Cap
$12B
/
Net Income
$405.6m

Valuation Scenarios

Texas Roadhouse Inc is trading below its 3-year average

If P/E returns to its 3-Year Average (27.7), the stock would be worth $170.28 (8% upside from current price).

Statistics
Positive Scenarios
2/4
Maximum Downside
-11%
Maximum Upside
+8%
Average Downside
0%
Scenario P/E Value Implied Price Upside/Downside
Current Multiple 25.8 $158.31
0%
3-Year Average 27.7 $170.28
+8%
5-Year Average 26.4 $162.21
+2%
Industry Average 25.7 $157.88
0%
Country Average 22.9 $140.56
-11%

Forward P/E
Today’s price vs future net income

Today's Market Cap Net Income Forward P/E
$12B
/
Dec 2025
$405.6m
=
25.8
Current
$12B
/
Dec 2026
$422.5m
=
28.3
Forward
$12B
/
Dec 2027
$513.6m
=
23.3
Forward
$12B
/
Dec 2028
$621.1m
=
19.2
Forward
$12B
/
Dec 2029
$650.8m
=
18.4
Forward
$12B
/
Dec 2030
$736.2m
=
16.2
Forward

Forward P/E shows whether today’s P/E still looks high or low once future net income are taken into account.

Market Distribution

In line with most companies in the United States of America
Percentile
57th
Based on 8 489 companies
57th percentile
25.8
Low
0 — 15.3
Typical Range
15.3 — 33.2
High
33.2 —
Distribution Statistics
the United States of America
Min 0
30th Percentile 15.3
Median 22.9
70th Percentile 33.2
Max 1 826 183.3

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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