Texas Roadhouse (FRA:ROW) Cyclically Adjusted PB Ratio: 10.98 (As of Jul. 27, 2026) — 53% Above Median

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FRA:ROW Texas Roadhouse Inc FRA:ROW
89 GF Score
Price €166.40
GF Value €170.03
! 3 Warning Signs
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What is Texas Roadhouse Cyclically Adjusted PB Ratio?

Texas Roadhouse FRA:ROW +0.09% 89 Cyclically Adjusted PB Ratio is 10.98 as of Jul. 27, 2026, which is 53% above its 10-year median of 7.20. GuruFocus rates FRA:ROW with a GF Score™ of 89/100 and a GF Value™ of €170.03. The stock has 3 warning signs investors should review. Among 255 Restaurants companies, Texas Roadhouse ranks worse than 95.69% on this metric.

As of today (2026-07-27), Texas Roadhouse's current share price is €166.40. Texas Roadhouse's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2026 was €15.16. Texas Roadhouse's Cyclically Adjusted PB Ratio for today is 10.98.

The historical rank and industry rank for Texas Roadhouse's Cyclically Adjusted PB Ratio or its related term are showing as below:

FRA:ROW' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 3.39   Med: 7.2   Max: 13.22
Current: 10.95

During the past years, Texas Roadhouse's highest Cyclically Adjusted PB Ratio was 13.22. The lowest was 3.39. And the median was 7.20.

FRA:ROW's Cyclically Adjusted PB Ratio is ranked worse than
95.69% of 255 companies
in the Restaurants industry
Industry Median: 1.79 vs FRA:ROW: 10.95

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Texas Roadhouse's adjusted book value per share data for the three months ended in Mar. 2026 was €19.934. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is €15.16 for the trailing ten years ended in Mar. 2026.

Shiller PE for Stocks: The True Measure of Stock Valuation


Texas Roadhouse  (FRA:ROW) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Texas Roadhouse Cyclically Adjusted PB Ratio Related Terms


Texas Roadhouse Cyclically Adjusted PB Ratio Historical Data

* Premium members only.

The historical data trend for Texas Roadhouse's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Texas Roadhouse Cyclically Adjusted PB Ratio Chart

Texas Roadhouse Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7.30 6.72 8.40 11.44 9.71

Texas Roadhouse Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 10.29 11.31 9.83 9.71 9.35

FRA:ROW vs DPZ, YUMC, LKNCY: Cyclically Adjusted PB Ratio Comparison

For the Restaurants subindustry, Texas Roadhouse's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Texas Roadhouse Cyclically Adjusted PB Ratio vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Texas Roadhouse's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Texas Roadhouse's Cyclically Adjusted PB Ratio falls into.


FRA:ROW
89GF Score
Texas Roadhouse Inc FRA:ROW
Cyclically Adjusted PB Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Texas Roadhouse Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Texas Roadhouse's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=166.40/15.16
=10.98

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Texas Roadhouse's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2026 is calculated as:

For example, Texas Roadhouse's adjusted Book Value per Share data for the three months ended in Mar. 2026 was:

Adj_Book=Book Value per Share/CPI of Mar. 2026 (Change)*Current CPI (Mar. 2026)
=19.934/330.2130*330.2130
=19.934

Current CPI (Mar. 2026) = 330.2130.

Texas Roadhouse Quarterly Data

Book Value per Share CPI Adj_Book
201606 9.066 241.018 12.421
201609 9.294 241.428 12.712
201612 10.071 241.432 13.774
201703 10.146 243.801 13.742
201706 9.992 244.955 13.470
201709 9.661 246.819 12.925
201712 9.963 246.524 13.345
201803 9.928 249.554 13.137
201806 10.875 251.989 14.251
201809 11.095 252.439 14.513
201812 11.605 251.233 15.253
201903 11.995 254.202 15.582
201906 11.295 256.143 14.561
201909 11.678 256.759 15.019
201912 11.879 256.974 15.265
202003 11.703 258.115 14.972
202006 11.106 257.797 14.226
202009 11.033 260.280 13.997
202012 10.960 260.474 13.894
202103 11.967 264.877 14.919
202106 12.443 271.696 15.123
202109 12.983 274.310 15.629
202112 13.497 278.802 15.986
202203 13.526 287.504 15.535
202206 13.286 296.311 14.806
202209 14.755 296.808 16.416
202212 14.273 296.797 15.880
202303 14.710 301.836 16.093
202306 14.954 305.109 16.184
202309 15.489 307.789 16.617
202312 15.675 306.746 16.874
202403 16.614 312.332 17.565
202406 17.579 314.175 18.476
202409 17.669 315.301 18.505
202412 19.485 315.605 20.387
202503 19.225 319.799 19.851
202506 18.929 322.561 19.378
202509 18.788 324.800 19.101
202512 18.918 324.054 19.278
202603 19.934 330.213 19.934

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.

What does a Cyclically Adjusted PB Ratio of 10.98 mean?
Texas Roadhouse (FRA:ROW) has a Cyclically Adjusted PB Ratio of 10.98 as of Jul. 27, 2026. Cyclically Adjusted PB Ratio is the ratio of share price to a company's inflation-adjusted book value per share over a 10-year period. View historical data on Texas Roadhouse and its competitors. This is 53% above median its historical median of 7.20. Over the past decade, Texas Roadhouse's Cyclically Adjusted PB Ratio has ranged from 3.39 to 13.22. According to the industry distribution chart, Texas Roadhouse ranks #244 out of 255 companies in the Restaurants industry, placing it in the top 95.7%.
Is Texas Roadhouse's Cyclically Adjusted PB Ratio too high?
Texas Roadhouse's current Cyclically Adjusted PB Ratio of 10.98 is 53% above median its 10-year median of 7.20. Over the past 10 years, this metric has ranged from a low of 3.39 to a high of 13.22. The Restaurants industry median Cyclically Adjusted PB Ratio is 1.79. Texas Roadhouse's value of 10.98 is 513.4% above this industry median. Based on the distribution chart, Texas Roadhouse ranks #244 out of 255 companies in the Restaurants industry, which is in the bottom quartile relative to peers. Overall, Texas Roadhouse has a GF Score™ of 89/100, reflecting its overall financial health beyond just this single metric.
How does Texas Roadhouse's Cyclically Adjusted PB Ratio compare to DPZ and YUMC?
According to the Restaurants industry distribution chart, Texas Roadhouse ranks #244 out of 255 companies for Cyclically Adjusted PB Ratio. This places Texas Roadhouse in the lower half of its industry. The industry median Cyclically Adjusted PB Ratio is 1.79. Texas Roadhouse's value of 10.98 is 513.4% above this benchmark. Historically, Texas Roadhouse's own Cyclically Adjusted PB Ratio has ranged from 3.39 to 13.22 over the past decade. While the company's 10-year median is 7.20 vs. the industry median of 1.79, Texas Roadhouse has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cyclically Adjusted PB Ratio for a Restaurants company?
The median Cyclically Adjusted PB Ratio among Restaurants companies is 1.79, based on 255 companies in the industry. Companies in the top quartile (top 25%) have a Cyclically Adjusted PB Ratio significantly above this median, while those in the bottom quartile fall well below. However, Cyclically Adjusted PB Ratio should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Texas Roadhouse's current Cyclically Adjusted PB Ratio of 10.98 is 513.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cyclically Adjusted PB Ratio mean?
A high Cyclically Adjusted PB Ratio can signal that a stock is expensive relative to its fundamentals. Cyclically Adjusted PB Ratio is the ratio of share price to a company's inflation-adjusted book value per share over a 10-year period. View historical data on Texas Roadhouse and its competitors. For the Restaurants industry, the median Cyclically Adjusted PB Ratio is 1.79 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Texas Roadhouse's current Cyclically Adjusted PB Ratio is 10.98, which is 53% above median its own 10-year median of 7.20. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Texas Roadhouse stock overvalued right now?
Texas Roadhouse (FRA:ROW) has a current Cyclically Adjusted PB Ratio of 10.98. The stock's GF Value™ is €170.03, compared to a current price of €166.40 — trading 2.1% below its estimated fair value. The current Cyclically Adjusted PB Ratio is 10.98, which is 53% above median its 10-year median of 7.20 and 513.4% above the Restaurants industry median of 1.79. Texas Roadhouse's overall GF Score™ is 89/100 with 3 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cyclically Adjusted PB Ratio calculated?
Cyclically Adjusted PB Ratio is calculated from a company's financial statements. For Texas Roadhouse (FRA:ROW), the current Cyclically Adjusted PB Ratio is 10.98 as of Jul. 27, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Texas Roadhouse (FRA:ROW) Overvalued in 2026?

Based on GuruFocus' analysis, Texas Roadhouse stock appears to be undervalued. The current stock price of €166.40 is trading 2.1% below its estimated GF Value™ of €170.03.

Key valuation signals for FRA:ROW:

  • Cyclically Adjusted PB Ratio: 10.98 (53% above median its 10-year median of 7.20)
  • GF Value™: €170.03 vs. price of €166.40 (2.1% below fair value)
  • GF Score™: 89/100 with 3 warning signs
  • Industry Position: 513.4% above the Restaurants median (#244 of 255)

No single metric tells the full story. See the FRA:ROW stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Texas Roadhouse Business Description

Address 6040 Dutchmans Lane, Louisville, KY, USA, 40205
Texas Roadhouse Inc is a restaurant company operating predominantly in the casual dining segment. The company manages its restaurant and franchising operations by concept and, as a result, has identified Texas Roadhouse, Bubba's 33, Jaggers, and retail initiatives as separate operating segments. In addition, it has identified Texas Roadhouse and Bubba's 33 as reportable segments. Maximum revenue for the company is generated from the Texas Roadhouse segment, which is a moderately priced, full-service, casual dining restaurant concept offering steaks, a selection of ribs, seafood, chicken, pork chops, pulled pork, vegetable plates, and an assortment of hamburgers, salads, and sandwiches. Geographically, the majority of the firm's restaurants are in the USA, with a few in foreign countries.
89GF Score

Get the complete analysis for FRA:ROW

Cyclically Adjusted PB Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€166.40
Price
€170.03
GF Value