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Darden Restaurants vs Texas Roadhouse: Which Stock Looks Stronger in 2026?

Texas Roadhouse holds the cleaner structural position, with profitability as the main driver and growth adding further support. Darden Restaurants still leads on growth and valuation, which keeps the comparison from looking entirely one-sided. Both sides have seen trend damage — neither carries a clear market edge right now. With both trends damaged, the structural comparison carries most of the weight here.

The comparison is based on similar long-term financial trajectories, not sector labels.

Updated 2026-04-05

The comparison is mainly decided in profitability, with the rest of the profile carrying less weight. Texas Roadhouse, Inc. leads by 10 points on the overall comparison score.

INDUSTRY COMPARISON

Both operate in: Restaurants

This comparison is based on industry proximity, not on functional trajectory similarity. DRI and TXRH share the same industry classification.

For a similarity-based comparison, see how Darden Restaurants and Texas Roadhouse each position within their functional peer groups in AssetNext.

Peer-Relative Score
DRI
Darden Restaurants, Inc.
53
Peer-Score
Signal qualityMedium
vs
TXRH
Texas Roadhouse, Inc.
63
Peer-Score
Signal qualityMedium

Scores reflect position relative to comparable companies with similar long-term financial trajectories.

The clearest separation appears in profitability.

Dimension spread: DRI vs TXRH Profitability 23 76 Stability 63 74 Valuation 86 71 Growth 38 19 DRI TXRH
Gap Ranking
#1 Profitability +53
#2 Growth +19
#3 Valuation +15
#4 Stability +11
Price Setup

Left means cheaper relative valuation. Higher means stronger structure.

Price setup map for DRI and TXRH Stronger + cheaper Stronger + richer Weaker + cheaper Weaker + richer DRITXRH Relative valuation Structural strength

Texas Roadhouse, Inc. still looks cheaper, even though Darden Restaurants, Inc. remains structurally stronger.

Valuation position uses peer-relative PE percentile (idx_pct_pe) where available.

Relative Position vs Comparable Companies
Profitability
On profitability, Texas Roadhouse, Inc. ranks near the top of the group; Darden Restaurants, Inc. sits in the weaker half.
Growth
Neither side looks especially strong on growth, though Darden Restaurants, Inc. still ranks somewhat higher.
Profitability — Dominant Gap
DRI
23
TXRH
76
Gap+53in favour of TXRH

Capital efficiency adds support, with a 5.7-point ROIC advantage.

What keeps the gap from being one-sided

Earnings growth also leans the other way, which keeps the score lead from reading as a full growth sweep.

What this means for the comparison

The profitability lead is clear, but pricing and growth still pull in the other direction — the result holds, but not without friction.

Explore full peer positioning in AssetNext

Break down the DRI vs TXRH comparison across all dimensions with the full interactive tool.

Explore full breakdown →
Similar profitability-driven comparisons

Explore how DRI and TXRH each compare against other companies in their peer groups.

Rule-based, descriptive analysis only. Derived from peer percentile dimensions. Not investment advice. Peer groups are determined algorithmically based on structural similarity — not by sector classification alone.

How AssetNext Peer Scores Work

AssetNext scores reflect each company's structural position within its functional peer group — not a ranking against all stocks simultaneously. Peers are identified by similarity across eight financial dimensions, including revenue growth trajectory, margin structure, capital intensity, and earnings stability. A score of 75 means the company ranks in the top quartile within its own peer group, not the entire market.

Four dimension scores drive the overall peer score: Growth (revenue trajectory and expansion dynamics), Quality (margin structure and capital efficiency), Valuation (peer-relative pricing on standard multiples), and Stability (earnings consistency and financial predictability). Each dimension is scored 0–100 relative to the peer group, then combined into an overall peer score using equal weighting.

Scores are recalculated periodically as underlying financial data is updated. All analysis is descriptive and rule-based — AssetNext describes structural realities and never issues buy, sell or hold recommendations.