Citigroup Has Lowered Expectations for Texas Roadhouse (NASDAQ:TXRH) Stock Price

Texas Roadhouse (NASDAQ:TXRH) had its price target reduced by equities researchers at Citigroup from $190.00 to $184.00 in a research note issued on Friday,Benzinga reports. The brokerage presently has a “neutral” rating on the restaurant operator’s stock. Citigroup’s price objective suggests a potential upside of 2.90% from the stock’s previous close.

Several other research firms have also issued reports on TXRH. Stephens raised their price target on Texas Roadhouse from $168.00 to $180.00 and gave the stock an “equal weight” rating in a research report on Friday. TD Cowen began coverage on shares of Texas Roadhouse in a report on Tuesday, January 20th. They set a “buy” rating and a $215.00 price target for the company. Wall Street Zen lowered shares of Texas Roadhouse from a “hold” rating to a “sell” rating in a report on Saturday, January 3rd. Sanford C. Bernstein set a $185.00 price objective on shares of Texas Roadhouse in a research report on Wednesday, January 7th. Finally, The Goldman Sachs Group increased their target price on shares of Texas Roadhouse from $175.00 to $200.00 and gave the stock a “neutral” rating in a report on Wednesday, January 28th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and twelve have given a Hold rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $196.82.

Texas Roadhouse Stock Performance

Shares of Texas Roadhouse stock opened at $178.82 on Friday. The stock has a market capitalization of $11.83 billion, a price-to-earnings ratio of 29.36, a price-to-earnings-growth ratio of 2.92 and a beta of 0.88. The company has a fifty day moving average of $180.81 and a 200-day moving average of $173.48. Texas Roadhouse has a 52-week low of $148.73 and a 52-week high of $199.99.

Texas Roadhouse (NASDAQ:TXRH) last posted its quarterly earnings results on Thursday, February 19th. The restaurant operator reported $1.28 earnings per share for the quarter, missing the consensus estimate of $1.53 by ($0.25). The business had revenue of $1.48 billion during the quarter, compared to the consensus estimate of $1.50 billion. Texas Roadhouse had a return on equity of 28.05% and a net margin of 6.90%.The business’s revenue for the quarter was up 3.1% on a year-over-year basis. During the same period in the prior year, the firm earned $1.73 earnings per share. On average, equities research analysts forecast that Texas Roadhouse will post 7.23 earnings per share for the current fiscal year.

Insider Buying and Selling at Texas Roadhouse

In other Texas Roadhouse news, Director Gregory N. Moore sold 1,400 shares of Texas Roadhouse stock in a transaction that occurred on Wednesday, December 3rd. The stock was sold at an average price of $170.00, for a total transaction of $238,000.00. Following the sale, the director directly owned 32,150 shares of the company’s stock, valued at approximately $5,465,500. The trade was a 4.17% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Hugh J. Carroll sold 1,000 shares of the stock in a transaction that occurred on Thursday, December 4th. The stock was sold at an average price of $167.27, for a total value of $167,270.00. Following the completion of the transaction, the director directly owned 1,854 shares of the company’s stock, valued at $310,118.58. This represents a 35.04% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 12,400 shares of company stock valued at $2,320,920. 0.50% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in TXRH. Alliancebernstein L.P. increased its holdings in shares of Texas Roadhouse by 14.7% during the third quarter. Alliancebernstein L.P. now owns 3,638,914 shares of the restaurant operator’s stock valued at $604,606,000 after acquiring an additional 466,176 shares in the last quarter. AQR Capital Management LLC grew its position in Texas Roadhouse by 27.4% during the 4th quarter. AQR Capital Management LLC now owns 2,674,102 shares of the restaurant operator’s stock valued at $443,901,000 after purchasing an additional 575,685 shares during the last quarter. Invesco Ltd. grew its position in Texas Roadhouse by 17.2% during the 2nd quarter. Invesco Ltd. now owns 2,603,729 shares of the restaurant operator’s stock valued at $487,965,000 after purchasing an additional 382,699 shares during the last quarter. Capital World Investors increased its stake in Texas Roadhouse by 13.4% during the 4th quarter. Capital World Investors now owns 2,537,290 shares of the restaurant operator’s stock valued at $421,190,000 after purchasing an additional 300,405 shares in the last quarter. Finally, UBS Group AG raised its holdings in Texas Roadhouse by 60.4% in the fourth quarter. UBS Group AG now owns 1,387,454 shares of the restaurant operator’s stock worth $230,317,000 after buying an additional 522,509 shares during the last quarter. Institutional investors own 94.82% of the company’s stock.

Key Headlines Impacting Texas Roadhouse

Here are the key news stories impacting Texas Roadhouse this week:

• Positive Sentiment: Company outlook/guide helped calm markets—management’s forward commentary and guidance were framed as constructive, which investors said helped offset the Q4 EPS miss. Investing.com: Outlook offsets earnings miss
• Positive Sentiment: Dividend increase: TXRH raised its quarterly dividend to $0.75 (a ~10.3% raise vs. prior $0.68), boosting yield and shareholder income — a supportive signal for income‑oriented investors. GlobeNewswire: Q4 results & dividend
• Positive Sentiment: Some analysts remain bullish—BTIG reaffirmed a “buy” and a $200 target, signaling upside from some street participants despite the miss. Benzinga: BTIG reaffirms buy
• Positive Sentiment: Stephens raised its price target from $168 to $180 (equal weight), a modest vote of confidence that some firms see value after the quarter. Benzinga: Stephens raises target
• Neutral Sentiment: Explainers and context pieces are circulating that help frame the move—articles examining why TXRH didn’t plunge on a ~25% EPS decline offer context that may limit knee‑jerk selling. Seeking Alpha: Why the stock didn’t drop
• Neutral Sentiment: Analyst/narrative pieces (Zacks/MarketBeat/Yahoo) are re‑pricing the story—investors are parsing same‑store trends, unit growth and DCF upside, producing mixed takes rather than a clear consensus. Zacks: Q4 metrics vs estimates
• Negative Sentiment: Q4 earnings and revenue missed consensus — TXRH reported $1.28 EPS vs. ~$1.53 expected and $1.48B revenue vs. ~$1.50B, a decline from prior year EPS; that shortfall is the primary driver of the intra‑day weakness. MarketBeat: Q4 earnings report
• Negative Sentiment: Margin pressure from higher commodity costs — management flagged rising food/commodity inflation that pulled margins lower, a recurring risk for restaurant operators that can pressure near‑term profitability. Seeking Alpha: Commodity costs hurt margins
• Negative Sentiment: Some analysts trimmed price targets and ratings (Citigroup lowered PT to $184/neutral; Truist trimmed to $186/hold), which can weigh on sentiment even if cuts are modest. Benzinga: Citi and Truist adjustments

About Texas Roadhouse

Texas Roadhouse, Inc is a casual dining restaurant chain specializing in hand‐cut steaks, fall‐off‐the‐bone ribs, chicken, seafood and house specialties. Each restaurant features a Western‐themed décor, open kitchens and a signature line dance presentation of fresh, made‐from‐scratch sides and breads. The company emphasizes an energetic dining experience, focusing on hospitality, value and a family‐friendly environment.

The concept was created in 1993 by founder Kent Taylor, who sought to combine high‐quality steaks with an approachable, community‐oriented atmosphere.