We're buying more of this beaten-up stock that an analyst just upgraded
The stock is one of seven out-of-favor names Jim Cramer highlighted at our recent Monthly Meeting.
TL;DR
- Jim Cramer's Charitable Trust is buying 70 shares of Texas Roadhouse (TXRH).
- The purchase increases the trust's TXRH holding to 600 shares, with its weighting rising to 2.60%.
- Texas Roadhouse is highlighted for its strong comparable sales and ability to manage price increases despite beef cost inflation.
- Management's 2026 cost inflation guidance is seen as derisking for the upcoming year, with potential upside if beef prices decrease.
- Wells Fargo upgraded TXRH to an overweight rating and raised its price target to $195 from $170.
- Wells Fargo expects mid-single-digit growth for the company in 2026, supported by value-seeking customers and tax refund stimulus.
- The upgrade suggests that the worst of the beef cost headwinds are already factored into the stock price.