Texas Roadhouse, Inc (TXRH) Fair Value & Analysis
Consumer Cyclical · US · Market cap $13.0B
Texas Roadhouse, Inc
TXRH · US
Fair value as of: Jul 19, 2026
From 24 valuation models · updated 19 days ago
Share price +11.3% over the past month.
A solid business, but screening 50% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case ($166.89). The favourable scenario is already priced in.
- Solid but not exceptional quality (63/100) and above fair value, neither a clear bargain nor a standout compounder.
- A fairly wide model range ($76.58 to $166.89) leaves room in how you read the outcome.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 19, 2026.
How to read this chart
60‑month range $64.87 – $209.16 · fair‑value band $76.58 – $166.89 · the $208.17 price screens above the $104.89 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 19, 2026.
Analysis
Texas Roadhouse, Inc (TXRH) currently trades at $208.17, while our model-based Fair Value estimate is $104.89, implying the stock looks roughly 49.6% overvalued today. We read business quality at 63/100 (solid quality), in the Consumer Cyclical sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, Texas Roadhouse, Inc generated revenue of $6.1B at a net margin of 6.9%. Revenue grew 12.8% year over year. It earns a return on equity of 28.9%. Net debt stands at $1.8B. Fundamentals as of Jul 19, 2026
Our scenario range runs from $76.58 (bear case) to $166.89 (bull case); at $208.17, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades near its 52-week high and 36% above its 52-week low, currently above its 200-day average. For context, the median of 10 Consumer Cyclical peers we cover trades at -55% fair-value upside, at -50%, TXRH screens cheaper than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 24 models by family
Widest divergence: DCF Models ($132.86) versus Asset-Based ($14.89). Highest evidence: Growth DCF (80).
Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Jul 19, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 61 · Market factors (momentum, volatility) 68
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
Texas Roadhouse, Inc., together with its subsidiaries, operates casual dining restaurants in the United States and internationally. It operates through Texas Roadhouse, Bubba's 33, and Others segments.
Full company description
Texas Roadhouse, Inc., together with its subsidiaries, operates casual dining restaurants in the United States and internationally. It operates through Texas Roadhouse, Bubba's 33, and Others segments. The company's restaurants offer seasoned and aged steaks, ribs, seafood, chicken, pork chops, pulled pork, and vegetable plates, as well as an assortment of hamburgers, salads, and sandwiches; and pizza, wings, and various appetizers and dinner entrées. The company also operates and franchises restaurants under the Texas Roadhouse, Bubba's 33, and Jaggers brands. Texas Roadhouse, Inc. was founded in 1993 and is based in Louisville, Kentucky.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Texas Roadhouse, Inc reported revenue of $5.9B in FY2025 versus $3.5B in FY2021, a compound +14.1%/yr. Reported net income was $406M in FY2025, compounding +13.4%/yr from FY2021.
TXRH screens 50% overvalued. Compare with McDonald's Corporation →
Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Texas Roadhouse (TXRH) Earnings Expected to Grow: Should You Buy?
- Texas Roadhouse to Sustain Growth as Beef Inflation Peaks, RBC Capital Markets Says
Peer Group
Restaurants · 229 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Restaurants median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Insider activity: 40/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Restaurants stocks, each showing price versus our Fair Value estimate (as of Jul 19, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| McDonald's Corporation MCDS | C$24.01 | C$10.84 | -55% |
| Starbucks Corporation SBUX | $105.49 | $35.83 | -66% |
| Chipotle Mexican Grill, Inc CMG | $34.63 | $18.43 | -47% |
| Yum! Brands, Inc YUM | $163.54 | $59.66 | -64% |
| Restaurant Brands International Inc QSR | C$104.19 | C$36.37 | -65% |
| Darden Restaurants, Inc DRI | $195.74 | $173.68 | -11% |
| Yum China Holdings YUMC | $43.90 | $55.10 | +26% |
| Dutch Bros Inc BROS | $68.36 | $12.80 | -81% |
| Domino's Pizza, Inc DPZ | $322.18 | $231.96 | -28% |
| CAVA Group CAVA | $68.85 | $10.69 | -84% |
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Frequently asked questions
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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