Texas Roadhouse (TXRH) Competitors

Yum! Brands (NYSE:YUM) and Texas Roadhouse (NASDAQ:TXRH) are both large-cap retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their media sentiment, risk, institutional ownership, analyst recommendations, dividends, community ranking, valuation, earnings and profitability.

Do insiders and institutionals hold more shares of YUM or TXRH?

82.4% of Yum! Brands shares are held by institutional investors. Comparatively, 94.8% of Texas Roadhouse shares are held by institutional investors. 0.3% of Yum! Brands shares are held by insiders. Comparatively, 0.5% of Texas Roadhouse shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Which has more risk and volatility, YUM or TXRH?

Yum! Brands has a beta of 1.03, meaning that its stock price is 3% more volatile than the S&P 500. Comparatively, Texas Roadhouse has a beta of 1, meaning that its stock price has a similar volatility profile to the S&P 500.

Does the media favor YUM or TXRH?

In the previous week, Yum! Brands had 33 more articles in the media than Texas Roadhouse. MarketBeat recorded 49 mentions for Yum! Brands and 16 mentions for Texas Roadhouse. Texas Roadhouse's average media sentiment score of 0.89 beat Yum! Brands' score of 0.86 indicating that Texas Roadhouse is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Yum! Brands	25 Very Positive mention(s)	7 Positive mention(s)	16 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Texas Roadhouse	10 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	3 Negative mention(s)	0 Very Negative mention(s)	Positive

Is YUM or TXRH a better dividend stock?

Yum! Brands pays an annual dividend of $2.84 per share and has a dividend yield of 1.8%. Texas Roadhouse pays an annual dividend of $2.72 per share and has a dividend yield of 1.5%. Yum! Brands pays out 54.4% of its earnings in the form of a dividend. Texas Roadhouse pays out 42.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Does the MarketBeat Community prefer YUM or TXRH?

Yum! Brands received 481 more outperform votes than Texas Roadhouse when rated by MarketBeat users. Likewise, 64.53% of users gave Yum! Brands an outperform vote while only 53.68% of users gave Texas Roadhouse an outperform vote.

Company	Underperform	Outperform
Yum! Brands	Outperform Votes 1079 64.53%	Underperform Votes 593 35.47%
Texas Roadhouse	Outperform Votes 598 53.68%	Underperform Votes 516 46.32%

Which has better valuation and earnings, YUM or TXRH?

Yum! Brands has higher revenue and earnings than Texas Roadhouse. Texas Roadhouse is trading at a lower price-to-earnings ratio than Yum! Brands, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Yum! Brands	$7.55B	5.73	$1.49B	$5.22	29.71
Texas Roadhouse	$5.37B	2.19	$304.88M	$6.47	27.41

Is YUM or TXRH more profitable?

Yum! Brands has a net margin of 19.68% compared to Texas Roadhouse's net margin of 8.07%. Texas Roadhouse's return on equity of 34.02% beat Yum! Brands' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Yum! Brands	19.68%	-20.33%	24.19%
Texas Roadhouse	8.07%	34.02%	15.11%

Do analysts rate YUM or TXRH?

Yum! Brands currently has a consensus target price of $151.79, indicating a potential downside of 2.13%. Texas Roadhouse has a consensus target price of $192.91, indicating a potential upside of 8.78%. Given Texas Roadhouse's stronger consensus rating and higher probable upside, analysts plainly believe Texas Roadhouse is more favorable than Yum! Brands.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Yum! Brands	0 Sell rating(s)	15 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.25
Texas Roadhouse	0 Sell rating(s)	11 Hold rating(s)	12 Buy rating(s)	0 Strong Buy rating(s)	2.52

Summary

Yum! Brands beats Texas Roadhouse on 11 of the 20 factors compared between the two stocks.