David Ristau
Growth at reasonable price, research analyst, newsletter provider, long/short equity

Texas Roadhouse: Another 50% Potential In 2014 As Food Costs Rise Less

Texas Roadhouse (NASDAQ:TXRH) still continues to be one of our favorites in the casual dining industry as the company outperforms the industry and continues to see strong same-store sales growth. We have a 2014 price target of $42 for the stock and believe that it will continue to offer solid upside throughout the coming year. We see three main catalysts that will continue to drive upside - commodity cost decreases, increased store expansion, and same-store sales increases. Further, we believe that the market is still not correctly pricing 2014 growth despite a 70% increase in share price this year and believe that more upside potential is there.

Industry Trends

One of the most significant trends in the food...

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