Latest Ratios: P/E Ratio 30.7x · EV/EBITDA 19.8x · ROE 28.4%. (2001–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $12.3B | $11.1B | $12.1B | $8.3B | $6.4B | $6.3B | $5.5B | $4.0B | $4.3B | $3.8B | $3.4B |
| Enterprise Value | $14.0B | $12.9B | $12.7B | $8.9B | $7.0B | $6.7B | $6.0B | $4.4B | $4.1B | $3.7B | $3.4B |
| P/E Ratio → | 30.66 | 27.44 | 27.89 | 27.13 | 23.72 | 25.61 | 175.47 | 22.89 | 27.14 | 28.63 | 29.60 |
| P/S Ratio | 2.09 | 1.89 | 2.25 | 1.79 | 1.59 | 1.81 | 2.30 | 1.45 | 1.75 | 1.70 | 1.72 |
| P/B Ratio | 8.40 | 7.51 | 8.80 | 7.14 | 6.22 | 5.85 | 5.85 | 4.29 | 4.47 | 4.43 | 4.52 |
| P/FCF | 35.94 | 32.55 | 30.28 | 37.94 | 24.08 | 23.43 | 72.58 | 24.97 | 21.82 | 30.21 | 37.12 |
| P/OCF | 16.84 | 15.25 | 16.04 | 14.64 | 12.50 | 13.40 | 23.95 | 10.67 | 12.18 | 13.16 | 13.33 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.19 | 2.36 | 1.93 | 1.74 | 1.93 | 2.50 | 1.61 | 1.66 | 1.65 | 1.69 |
| EV / EBITDA | 19.80 | 18.17 | 18.28 | 17.62 | 15.25 | 15.78 | 42.25 | 13.56 | 14.15 | 13.12 | 13.21 |
| EV / EBIT | 27.94 | 26.80 | 24.53 | 25.23 | 21.68 | 22.46 | 256.47 | 21.04 | 21.74 | 19.64 | 19.57 |
| EV / FCF | — | 37.67 | 31.81 | 41.00 | 26.26 | 24.96 | 78.74 | 27.77 | 20.76 | 29.41 | 36.47 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 12.4% | 12.4% | 17.6% | 15.9% | 16.3% | 17.5% | 11.8% | 18.0% | 18.1% | 19.1% | 19.4% |
| Operating Margin | 8.6% | 8.6% | 9.6% | 7.6% | 8.0% | 8.6% | 1.0% | 7.7% | 7.6% | 8.4% | 8.6% |
| Net Profit Margin | 6.9% | 6.9% | 8.1% | 6.6% | 6.7% | 7.1% | 1.3% | 6.3% | 6.4% | 5.9% | 5.8% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 28.4% | 28.4% | 34.3% | 27.9% | 25.7% | 24.3% | 3.3% | 18.4% | 17.5% | 16.3% | 16.1% |
| ROA | 12.0% | 12.0% | 14.5% | 11.5% | 10.7% | 10.1% | 1.5% | 10.1% | 11.3% | 10.5% | 10.4% |
| ROIC | 14.5% | 14.5% | 20.4% | 15.5% | 15.5% | 15.4% | 1.3% | 14.9% | 18.7% | 19.3% | 19.2% |
| ROCE | 20.1% | 20.1% | 23.4% | 18.1% | 16.9% | 15.9% | 1.4% | 16.0% | 18.0% | 19.6% | 20.5% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.27 | 1.27 | 0.62 | 0.67 | 0.73 | 0.69 | 0.88 | 0.60 | 0.00 | 0.06 | 0.07 |
| Debt / EBITDA | 2.66 | 2.66 | 1.23 | 1.52 | 1.65 | 1.76 | 5.87 | 1.70 | 0.01 | 0.19 | 0.21 |
| Net Debt / Equity | — | 1.18 | 0.44 | 0.58 | 0.56 | 0.38 | 0.50 | 0.48 | -0.22 | -0.12 | -0.08 |
| Net Debt / EBITDA | 2.47 | 2.47 | 0.88 | 1.31 | 1.27 | 0.97 | 3.30 | 1.37 | -0.72 | -0.35 | -0.24 |
| Debt / FCF | — | 5.12 | 1.53 | 3.06 | 2.18 | 1.53 | 6.16 | 2.80 | -1.06 | -0.79 | -0.65 |
| Interest Coverage | — | — | — | — | 2595.14 | 81.33 | 5.71 | — | 318.22 | 118.49 | 137.11 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.50 | 0.50 | 0.62 | 0.48 | 0.61 | 0.94 | 1.01 | 0.59 | 0.90 | 0.78 | 0.72 |
| Quick Ratio | 0.50 | 0.50 | 0.57 | 0.43 | 0.55 | 0.88 | 0.96 | 0.55 | 0.85 | 0.73 | 0.66 |
| Cash Ratio | 0.15 | 0.15 | 0.30 | 0.14 | 0.27 | 0.56 | 0.72 | 0.26 | 0.55 | 0.46 | 0.40 |
| Asset Turnover | — | 1.66 | 1.68 | 1.66 | 1.59 | 1.38 | 1.03 | 1.39 | 1.67 | 1.67 | 1.69 |
| Inventory Turnover | — | — | 108.60 | 101.69 | 88.42 | 90.44 | 94.55 | 111.51 | 106.92 | 110.18 | 99.78 |
| Days Sales Outstanding | — | — | 13.12 | 13.83 | 13.66 | 17.00 | 14.98 | 13.15 | 13.68 | 12.58 | 10.29 |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 1.4% | 1.6% | 1.3% | 1.8% | 1.9% | 1.3% | 0.5% | 2.6% | 1.6% | 1.5% | 1.5% |
| Payout Ratio | 44.4% | 44.4% | 37.6% | 48.3% | 46.0% | 34.1% | 80.0% | 58.7% | 43.3% | 44.2% | 45.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 3.3% | 3.6% | 3.6% | 3.7% | 4.2% | 3.9% | 0.6% | 4.4% | 3.7% | 3.5% | 3.4% |
| FCF Yield | 2.8% | 3.1% | 3.3% | 2.6% | 4.2% | 4.3% | 1.4% | 4.0% | 4.6% | 3.3% | 2.7% |
| Buyback Yield | 1.2% | 1.4% | 0.7% | 0.6% | 3.5% | 1.1% | 0.4% | 3.8% | 0.3% | 0.3% | 0.4% |
| Total Shareholder Yield | 2.7% | 3.0% | 2.0% | 2.4% | 5.5% | 2.4% | 0.9% | 6.4% | 1.9% | 1.9% | 1.9% |
| Shares Outstanding | — | $67M | $67M | $67M | $68M | $70M | $70M | $71M | $72M | $72M | $71M |
Commodity cost volatility
Based on current market data, TXRH trades at a forward P/E of 30.60, which suggests investors are pricing in significant long-term growth relative to the broader casual dining sector, despite the inherent risks associated with the company's reliance on a high-volume, dinner-only operational model.
The current valuation multiple appears elevated compared to peers like Bloomin' Brands, likely reflecting the market's confidence in the company's superior traffic growth and consistent unit-level productivity. However, the PEG ratio of 0.47 indicates that the market may be underestimating the potential for sustained earnings expansion, provided the company can successfully navigate ongoing commodity price headwinds.
As reported in recent financial statements, the company's ROIC has fluctuated between 2.8% and 5.8% over the last ten quarters, indicating that while the business model is inherently capital-intensive, its ability to compound returns is currently constrained by rising input costs and aggressive store expansion.
The observed volatility in ROIC suggests that the company's returns are highly sensitive to the beef cycle, which directly impacts the profitability of its core steakhouse concept. Investors should monitor whether the company can improve these returns as new units mature and the contribution from secondary brands like Bubba’s 33 begins to scale more effectively.
According to quarterly filings, the company maintains a negative cash conversion cycle, often dipping to -5 days in 2026Q1, which demonstrates a structural advantage in managing working capital by collecting cash from customers well before payments are due to suppliers for inventory and labor.
This negative cycle is a hallmark of the high-volume restaurant model, providing a consistent source of internal liquidity that reduces the need for external financing. The stability of this metric suggests that the company's operational efficiency remains robust, even as it scales its footprint across diverse geographic markets.
Based on reported figures, the company maintains a debt-to-equity ratio of 0.69 as of 2026Q1, which remains significantly lower than many casual dining peers, providing a fortress-like balance sheet that allows for continued organic growth even during periods of heightened macroeconomic uncertainty and interest rate volatility.
The company's disciplined approach to debt, combined with its ability to fund expansion through operating cash flow, minimizes refinancing risk and provides a buffer against potential downturns in consumer discretionary spending. This conservative stance appears to be a key differentiator that supports the company's long-term operational stability.
Investors frequently over-rely on restaurant-level margins as a proxy for total company profitability, which obscures the significant corporate overhead and non-cash expenses, such as stock-based compensation, that are essential for understanding the true underlying earning power of the business model.
While restaurant-level margins are useful for assessing unit-level performance, they fail to account for the costs of scaling secondary concepts and the impact of corporate-level strategic investments. Analysts should instead focus on consolidated operating margins and free cash flow generation to gain a more accurate picture of the company's long-term value creation.
Includes 30+ ratios · 25 years · Updated daily
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Quick answers to the most common questions about buying TXRH stock.
Texas Roadhouse, Inc.'s current P/E ratio is 30.7x. The historical average is 36.0x. This places it at the 86th percentile of its historical range.
Texas Roadhouse, Inc.'s current EV/EBITDA is 19.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 14.9x.
Texas Roadhouse, Inc.'s return on equity (ROE) is 28.4%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 22.1%.
Based on historical data, Texas Roadhouse, Inc. is trading at a P/E of 30.7x. This is at the 86th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Texas Roadhouse, Inc.'s current dividend yield is 1.45% with a payout ratio of 44.4%.
Texas Roadhouse, Inc. has 12.4% gross margin and 8.6% operating margin.
Texas Roadhouse, Inc.'s Debt/EBITDA ratio is 2.7x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.