LOUISVILLE, KY—Donna Epps, a director at Texas Roadhouse , Inc. (NASDAQ:TXRH), recently sold 610 shares of the company's common stock. The transaction, which took place on November 11, 2024, was executed at an average price of $195.66 per share, amounting to a total sale value of $119,352.
Following this sale, Epps holds 3,532 shares of Texas Roadhouse common stock directly. Additionally, she maintains 1,900 restricted stock units, which are set to vest on January 8, 2025, contingent on her continued service with the company.
Texas Roadhouse, known for its casual dining restaurants, is headquartered in Louisville, Kentucky. The company continues to be a significant player in the retail-eating sector.
In other recent news, Texas Roadhouse Inc. has seen significant developments. The company's Board of Directors approved a cash dividend of $0.61 per share, payable to shareholders on record as of December 10, 2024. This follows the company's robust financial performance in its third-quarter earnings call, where an 8.5% increase in same-store sales and a revenue of approximately $1.3 billion were reported.
During this period, Texas Roadhouse also opened seven company-owned and three international franchise locations. The company projected a revenue growth of 13.5% and a diluted earnings per share increase of 32.5% to $1.26. Additionally, Texas Roadhouse updated its commodity inflation guidance to less than 1% for 2024, with a 2% to 3% forecast for 2025, and labor inflation projected at 4% to 5% for 2025.
In terms of expansion, Texas Roadhouse plans to open approximately 30 new restaurants in 2025 and acquire 13 franchised locations. These are the key recent developments for the company, providing investors with a clear picture of its current financial health and future plans.
InvestingPro Insights
Texas Roadhouse's recent stock performance and financial metrics provide additional context to Director Donna Epps's decision to sell shares. According to InvestingPro data, the company's stock is trading near its 52-week high, with a robust 85.12% total return over the past year. This strong performance aligns with the company's solid financial results, including a 13.91% revenue growth in the last twelve months.
InvestingPro Tips highlight that Texas Roadhouse has raised its dividend for 4 consecutive years and has maintained dividend payments for 14 consecutive years, demonstrating a commitment to shareholder returns. This consistency in dividend policy may be attractive to long-term investors, despite the recent insider sale.
However, the company's valuation metrics suggest a premium price. With a P/E ratio of 34.44 and trading at high EBIT and EBITDA multiples, Texas Roadhouse shares may be considered expensive by some market standards. This valuation could potentially explain why an insider might choose to sell at current price levels.
For investors seeking a more comprehensive analysis, InvestingPro offers 15 additional tips on Texas Roadhouse, providing a deeper dive into the company's financial health and market position.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.