Analyzing Texas Roadhouse (NASDAQ:TXRH) and iPic Entertainment (OTCMKTS:IPIC)

iPic Entertainment (OTCMKTS:IPIC) and Texas Roadhouse (NASDAQ:TXRH) are both retail/wholesale companies, but which is the better stock? We will compare the two companies based on the strength of their risk, profitability, earnings, institutional ownership, analyst recommendations, valuation and dividends.

Risk & Volatility

iPic Entertainment has a beta of -1.54, indicating that its share price is 254% less volatile than the S&P 500. Comparatively, Texas Roadhouse has a beta of 0.87, indicating that its share price is 13% less volatile than the S&P 500.

Institutional & Insider Ownership

94.8% of Texas Roadhouse shares are held by institutional investors. 50.7% of iPic Entertainment shares are held by company insiders. Comparatively, 0.5% of Texas Roadhouse shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and target prices for iPic Entertainment and Texas Roadhouse, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
iPic Entertainment	0	0	0	0	0.00
Texas Roadhouse	1	10	10	2	2.57

Texas Roadhouse has a consensus target price of $192.95, indicating a potential upside of 13.69%. Given Texas Roadhouse’s stronger consensus rating and higher possible upside, analysts plainly believe Texas Roadhouse is more favorable than iPic Entertainment.

Earnings and Valuation

This table compares iPic Entertainment and Texas Roadhouse”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
iPic Entertainment	N/A	N/A	N/A	N/A	N/A
Texas Roadhouse	$5.83 billion	1.93	$433.59 million	$6.54	25.95

Texas Roadhouse has higher revenue and earnings than iPic Entertainment.

Profitability

This table compares iPic Entertainment and Texas Roadhouse’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
iPic Entertainment	N/A	N/A	N/A
Texas Roadhouse	7.72%	31.52%	13.96%

Summary

Texas Roadhouse beats iPic Entertainment on 10 of the 11 factors compared between the two stocks.

About iPic Entertainment

iPic Entertainment Inc. operates restaurants and theaters in the United States. The company operates casual restaurants, farm-to-glass full-service bars, and theater auditoriums with in-theater dining. It operates restaurants under the City Perch Kitchen + Bar, Tanzy, The Tuck Room, The Tuck Room Tavern, and iPic Express brands. It operates screens in Arizona, California, Florida, Illinois, Maryland, New Jersey, New York, Texas, and Washington. The company was founded in 2010 and is headquartered in Boca Raton, Florida.

About Texas Roadhouse

Texas Roadhouse, Inc., together with its subsidiaries, operates casual dining restaurants in the United States and internationally. It also operates and franchises restaurants under the Texas Roadhouse, Bubba's 33, and Jaggers names in 49 states and ten internationally. Texas Roadhouse, Inc. was founded in 1993 and is based in Louisville, Kentucky.