7 Stocks on Jim Cramer’s Radar

4. Texas Roadhouse, Inc. (NASDAQ:TXRH)

Number of Hedge Fund Holders: 52

Inquiring about Texas Roadhouse, Inc. (NASDAQ:TXRH), a caller asked how Cramer’s investing club chooses between the company and Cracker Barrel. Cramer replied:

“Very hard because Julie Masino, we’ve had her on the show, she is just crushing it at Cracker Barrel, crushing it. Texas Roadhouse, Mr. Morgan is doing a good job. Now, I know the stock doesn’t act well and I get that. We’re going to keep building a position as it goes down because they have a long-term history and I can’t believe the price-to-earnings multiple is as low as it is. But you’ve got two winners there.”

Texas Roadhouse (NASDAQ:TXRH) operates casual dining restaurants under various brands, including Texas Roadhouse, Bubba’s 33, and Jaggers, both directly and through franchises. In February, when a caller asked about Wendy’s, Cramer directed them to TXRH and said:

“Wendy’s? No. You’re gonna sell Wendy’s tomorrow and you’re going to buy Texas Roadhouse because that’s the one. We had them on Friday. They’re monster good. We bought it for the Charitable Trust. You’re buying, you’re buying TXRH tomorrow.”