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Texas RoadhouseFRA:ROW +0.09%89 5-Year Yield-on-Cost % is 8.73 as of Jul. 26, 2026, which is 6% below its 10-year median of 9.32. 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 189 Restaurants companies, Texas Roadhouse ranks better than 84.66% on this metric.
Texas Roadhouse's yield on cost for the quarter that ended in Mar. 2026 was 8.73.
The historical rank and industry rank for Texas Roadhouse's 5-Year Yield-on-Cost % or its related term are showing as below:
FRA:ROW'
s 5-Year Yield-on-Cost % Range Over the Past 10 Years
Min: 2.18 Med: 9.32 Max: 21.05
Current: 8.73
During the past 13 years, Texas Roadhouse's highest Yield on Cost was 21.05. The lowest was 2.18. And the median was 9.32.
FRA:ROW's 5-Year Yield-on-Cost % is ranked better than 84.66% of 189
companies
in the Restaurants industry
Industry Median: 2.69
vs FRA:ROW: 8.73
Of course the risk here is that the company may not raise its dividends as it did before. The key is to select the companies that can consistently raise its dividends. Usually companies with long history of raising dividends tend to do so.
Texas Roadhouse 5-Year Yield-on-Cost % Related Terms
FRA:ROW vs YUMC, DPZ, BROS: 5-Year Yield-on-Cost % Comparison
For the Restaurants subindustry, Texas Roadhouse's 5-Year Yield-on-Cost %, along with its competitors' market caps and 5-Year Yield-on-Cost % 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 5-Year Yield-on-Cost % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Texas Roadhouse's 5-Year Yield-on-Cost % distribution charts can be found below:
* The bar in red indicates where Texas Roadhouse's 5-Year Yield-on-Cost % falls into.
Dividend Yield % and dividend growth of a stock is an important factor for income investors. But if company A raises its dividend constantly faster than company B, company A's future dividend yield might be much higher than Company B's even if their yields are the same now and their stock prices do not change.
Yield on Cost assumes that you buy and the stock today, and hold it for 5 years. If the company raises it dividends at the same rate as it did over the past 5 years, the dividends investors receive annually in 5 years relative to the stock price today.
Therefore, Yield-on-Cost of Texas Roadhouse is calculated as
Texas Roadhouse (FRA:ROW) has a 5-Year Yield-on-Cost % of 8.73 as of Jul. 26, 2026. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Texas Roadhouse and its competitors. This is near median its historical median of 9.32. Over the past decade, Texas Roadhouse's 5-Year Yield-on-Cost % has ranged from 2.18 to 21.05. According to the industry distribution chart, Texas Roadhouse ranks #29 out of 189 companies in the Restaurants industry, placing it in the top 15.3%.
Is Texas Roadhouse's 5-Year Yield-on-Cost % too high?
Texas Roadhouse's current 5-Year Yield-on-Cost % of 8.73 is near median its 10-year median of 9.32. Over the past 10 years, this metric has ranged from a low of 2.18 to a high of 21.05. The Restaurants industry median 5-Year Yield-on-Cost % is 2.69. Texas Roadhouse's value of 8.73 is 224.5% above this industry median. Based on the distribution chart, Texas Roadhouse ranks #29 out of 189 companies in the Restaurants industry, which is in the top quartile — a strong position 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 5-Year Yield-on-Cost % compare to YUMC and DPZ?
According to the Restaurants industry distribution chart, Texas Roadhouse ranks #29 out of 189 companies for 5-Year Yield-on-Cost %. This places Texas Roadhouse in the top 15% of its industry — outperforming the majority of peers. The industry median 5-Year Yield-on-Cost % is 2.69. Texas Roadhouse's value of 8.73 is 224.5% above this benchmark. Historically, Texas Roadhouse's own 5-Year Yield-on-Cost % has ranged from 2.18 to 21.05 over the past decade. While the company's 10-year median is 9.32 vs. the industry median of 2.69, 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 5-Year Yield-on-Cost % for a Restaurants company?
The median 5-Year Yield-on-Cost % among Restaurants companies is 2.69, based on 189 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year Yield-on-Cost % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year Yield-on-Cost % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Texas Roadhouse's current 5-Year Yield-on-Cost % of 8.73 is 224.5% 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 5-Year Yield-on-Cost % mean?
A high 5-Year Yield-on-Cost % can signal that a stock is expensive relative to its fundamentals. 5-Year Yield on Cost measures the expected yield based on a company's current yield and 5-year dividend growth. View historical data on Texas Roadhouse and its competitors. For the Restaurants industry, the median 5-Year Yield-on-Cost % is 2.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Texas Roadhouse's current 5-Year Yield-on-Cost % is 8.73, which is near median its own 10-year median of 9.32. 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 5-Year Yield-on-Cost % of 8.73. 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 5-Year Yield-on-Cost % is 8.73, which is near median its 10-year median of 9.32 and 224.5% above the Restaurants industry median of 2.69. 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 5-Year Yield-on-Cost % calculated?
5-Year Yield-on-Cost % is calculated from a company's financial statements. For Texas Roadhouse (FRA:ROW), the current 5-Year Yield-on-Cost % is 8.73 as of Jul. 26, 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:
5-Year Yield-on-Cost %: 8.73 (near median its 10-year median of 9.32)
GF Value™: €170.03 vs. price of €166.40 (2.1% below fair value)
Industry Position: 224.5% above the Restaurants median (#29 of 189)
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 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
5-Year Yield-on-Cost % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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