Topic: How To Invest

Power Growth Investor Hotline – Friday, May 13, 2022

Article Excerpt

TEXAS ROADHOUSE INC., $78.54, is a buy. The company, symbol TXRH on Nasdaq, is a full-service, casual-dining restaurant chain with 672 locations spread across 49 U.S. states and 10 foreign countries. Each of those restaurants operates under one of three banners—Texas Roadhouse (632 locations), sports restaurant Bubba’s 33 (36), and Jaggers (4). Jaggers is a new fast-food concept featuring hamburgers, chicken, milkshakes and salads made from scratch. In the quarter ended March 29, 2022, sales jumped 23.3%, to $987.5 million from $800.6 million a year earlier. As the U.S. economy further reopened, same-store sales rose 10.6% for company-owned restaurants and 20.4% for U.S. franchise locations. Texas Roadhouse made $75.2 million, or $1.09 a share, in the quarter. That’s up 17.2% from $64.2 million, or $0.92. Profits climbed along with revenue. During the pandemic, Texas Roadhouse has successfully expanded its takeout, pick-up and delivery business. Its own mobile ordering app is also encouraging repeat business. These moves have propelled the stock to new all-time…