Barclays has adjusted its price target for Texas Roadhouse (TXRH, Financial), increasing it slightly from $178 to $179. This update comes as part of a broader outlook on the restaurant sector for the first quarter. While the shares maintain an Equal Weight rating, the change reflects a nuanced view on expected performance amidst current market conditions.
The initial months of Q1 were marked by weather-related challenges that affected comparable sales. However, March showed some improvement, suggesting a partial recovery. Despite this, Barclays notes that the absence of a full recovery indicates a broader trend of softening consumer spending.
The report highlights that while most restaurants may not face significant impacts from tariffs on their supply chains, they are not completely shielded from potential declines in demand that might follow. This suggests that external economic factors are influencing consumer behaviors in ways that could affect future sales growth for Texas Roadhouse and its peers.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 23 analysts, the average target price for Texas Roadhouse Inc (TXRH, Financial) is $186.79 with a high estimate of $215.00 and a low estimate of $139.20. The average target implies an upside of 17.10% from the current price of $159.52. More detailed estimate data can be found on the Texas Roadhouse Inc (TXRH) Forecast page.
Based on the consensus recommendation from 29 brokerage firms, Texas Roadhouse Inc's (TXRH, Financial) average brokerage recommendation is currently 2.4, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Texas Roadhouse Inc (TXRH, Financial) in one year is $158.96, suggesting a downside of 0.35% from the current price of $159.52. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Texas Roadhouse Inc (TXRH) Summary page.
