Texas Roadhouse Inc. (TXRH) shares soared 10% in Friday premarket trading after earnings beat expectations ( ). Analysts highlight the same-store sales momentum at the restaurant chain. "The company is sustaining powerful comp outperformance (positive traffic) while delivering improved margin flow through improved labor cost management and disciplined G&A (flat dollars year-over-year in the second half of 2020)," wrote Raymond James in a note. Raymond James rates Texas Roadhouse stock strong buy and raised its price target to $75 from $72. Texas Roadhouse reported 4.4% same-store sales growth at company-owned restaurants in the fourth quarter and 3.4% growth at U.S. franchises. For the first-quarter to date, Wedbush says same-store sales have grown 6.4%. Moreover, prices will go up in March, which analysts say will drive further upside. Wedbush rates Texas Roadhouse stock outperform with a $79 price target, up from $74. Texas Roadhouse shares have gained 4.4% over the past year, and 15% over the past three months. The S&P 500 index is up 21.6% over the last 12 months.
-Tonya Garcia; 415-439-6400; AskNewswires@dowjones.com
(END) Dow Jones Newswires
February 21, 2020 08:39 ET (13:39 GMT)
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