$91, 89%, $6.4 Billion discussed on InvesTalk

KDOW
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4 million a month for last four months in natural record Why are they doing that Well there's 10.9 million jobs opening those plenty of jobs though these people are leaving looking for better jobs more salary more time off better working conditions for whatever because of that that's inflationary Right Think about it You can always people quit 4 million people quit That means they're looking for million people looking for a better job more salary And that happens for four months Salaries are going up So that's a flash area So it's not just the goods and services that prices are going up but it's also the salaries Now the 1980s the mid 80s I believe it was not possible It could be late 70s There it got into that cycle where wagers would go up and prices would go up in ways to go up in prices So that's what I mentioned before earlier this week That's what I'm looking I be looking at that Is that happening Are we going to get into that cycle Because it's a bad cycle to get into I don't think we will why Because we can export inflation by having things made outside the country We've been doing that for years and years and years and that's why we had such a low inflation Because we're many years we send stuff to China There's still a big producer right So they pay very little So that was no pressure on wage raises here in the United States That's why you want to bring back that manufacturing because that will raise wages for our workers Isn't that what we want I think we do We want higher wages because we want to keep our middle class Vibrant Do we want to bring back some of those jobs We really do Anyways so let's keep moving Here comes another caller question from a 24 hour 7 day suddenly four hours 7 days a week voice bank line 88 99 chart Hello Steven Justin This is Matt up administering county Really enjoy your show Question about Texas roadhouse I own some of their shares It's done well for me over a 7 year period and I'm just trying to decide whether to hang onto it or sell it And it has done well during the pandemic and wanted your take on the stock Texas roadhouse All right Thanks guys Bye bye So this is a restaurant operate franchises 363 634 Texas roadhouse full service restaurants and 49 states and ten foreign countries It's a $6.4 billion company so it's pretty big They made money in the COVID year 2020 made 45 cents a share Before that the 2019 year they made 2.46 So jumping to this year they're going to make 3.67 So skipping that COVID year their growth rate is still intact Next year it's going to go up another 13% of 4.16 cents and it's a $91 stock So as we were talking about a 25 PE or so which is pretty expensive for a food company for a restaurant company But their sales growth in the most recent quarter was 89% or before that was 23 Before that it was shrinking for the four quarters So it's recovering and starting to pick up and that's very good That's probably why the stock has done pretty well My view is expensive then I'll play a dividend owner's management owned 6% of the company they don't have a lot of debt which is also good Companies ran very well They were trying to equities a little weak and not only a lot we could only return to 3% I like to be in the teens This is only 3% That would be my biggest problem I think that I will look at it I don't like your return on equity The stock price is high compared to this fundamentals but not unreasonably so So if the sales growth continues it will easily be worth the price We shade that appreciate the call Thank you and that was simple a TX R 8 Texas roadhouse Inc A Texas roadhouse Inc okay every I take a little time out every show talk about financial We operate with a loss of independent thinking shared success we're located in Irvine California between LA and San Diego In Orange County Our follow our philosophy We put our money where our mouth what we call a parallel invest in meaning we buy the same thing for you as we do ourselves So that our performance my performance of my portfolio's matches a client's performance Exactly I mean over time it's exactly the same New clients come aboard of course it takes us time to get you where we are but anybody's been with me and length of time Your performance are the same Okay if you take a look at your portfolio we will have you take our risk questionnaire risk lies to figure out what type of risk you're comfortable with and we take a look at your portfolio We put it in the same software Find out what risk you're portfolio is taking and see if that matches your personal risk tolerance It's a very good tool to use and we'll discuss with you your tolerance and your risk scores So I think that's something you might be interested in I tell free you know the pay for any of this Most registered vessel visors will look at your portfolio for free We're not doing anything that other people are not doing The thing that we do this different is we don't pressure you to buy anything or come aboard a beer client We don't We don't let your interest in And we like helping people we want to help people Okay let me ask you.

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