Baird identified six restaurant stocks as top picks: Black Rock Coffee Bar (BRCB), Dutch Bros (BROS), The Cheesecake Factory (CAKE), CAVA Group (CAVA), Restaurant Brands International (QSR), and Texas Roadhouse (TXRH).
For each company Baird listed key risk factors such as managing growth, competition, input costs, economic conditions, geographic concentration, franchise operations, health and dietary concerns, and shareholder influence.
The Cheesecake Factory reported Q1 2026 revenue of $978.8 million and EPS of $1.05, beating analyst forecasts; JPMorgan upgraded the rating to Neutral.
CAVA Group posted 9.7% same‑store sales growth in Q1 2026; Argus upgraded the rating to Buy.
Restaurant Brands International delivered Q1 2026 earnings and revenue above expectations; S&P Global Ratings upgraded its credit rating to BB+ from BB.
Texas Roadhouse recorded a 7.1% increase in same‑store sales in Q1 2026; BMO Capital and Stifel raised their price targets.
Dutch Bros was added to DA Davidson’s Best‑of‑Breed Bison list and received positive reiterations from UBS and TD Cowen.
