RBC Capital Markets upgraded Texas Roadhouse (TXRH) to Outperform from Market Perform on May 15, 2026. The firm raised its price target for the restaurant chain to $210 from $180.
Analysts expect declining beef prices to improve profit margins over the coming years. The firm also projects continued growth in customer traffic.
RBC believes Texas Roadhouse will gain market share from competitors. Expanded to-go order capacity provides additional growth potential.
Shares rose 0.5% in premarket trading following the announcement. This upgrade follows a strong first-quarter earnings report released last week.