PTLO vs CAVA vs CMG vs SHAK vs TXRH

For growth investors, Shake Shack Inc.

(SHAK) is the stronger pick with 15. 4% revenue growth year-over-year, versus -12. 0% for CAVA Group, Inc. (CAVA). Portillo's Inc. (PTLO) offers the better valuation at 16. 1x trailing P/E (20. 3x forward), making it the more compelling value choice. Analysts rate CAVA Group, Inc. (CAVA) a "Buy" — based on 23 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Portillo's Inc.

(PTLO) is the cheapest at 16. 1x versus CAVA Group, Inc. at 156. 5x. On forward P/E, Portillo's Inc. is actually cheaper at 20. 3x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Chipotle Mexican Grill, Inc. wins at 0. 83x versus Texas Roadhouse, Inc. 's 1. 17x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, CAVA Group, Inc.

(CAVA) delivered a total return of +93. 1%, compared to -85. 0% for Portillo's Inc. (PTLO). Over 10 years, the gap is even starker: TXRH returned +288. 0% versus PTLO's -85. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Texas Roadhouse, Inc.

(TXRH) is the lower-risk stock at 0. 70β versus CAVA Group, Inc. 's 1. 83β — meaning CAVA is approximately 162% more volatile than TXRH relative to the S&P 500. On balance sheet safety, CAVA Group, Inc. (CAVA) carries a lower debt/equity ratio of 60% versus 3% for Chipotle Mexican Grill, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Shake Shack Inc.

(SHAK) is pulling ahead at 15. 4% versus -12. 0% for CAVA Group, Inc. (CAVA). On earnings-per-share growth, the picture is similar: Shake Shack Inc. grew EPS 354. 2% year-over-year, compared to -50. 9% for CAVA Group, Inc.. Over a 3-year CAGR, SHAK leads at 17. 1% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Chipotle Mexican Grill, Inc.

(CMG) is the more profitable company, earning 12. 9% net margin versus 2. 6% for Portillo's Inc. — meaning it keeps 12. 9% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CMG leads at 16. 9% versus 5. 9% for SHAK. At the gross margin level — before operating expenses — CAVA leads at 67. 4%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Chipotle Mexican Grill, Inc. (CMG) is the more undervalued stock at a PEG of 0. 83x versus Texas Roadhouse, Inc. 's 1. 17x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Portillo's Inc. (PTLO) trades at 20. 3x forward P/E versus 161. 5x for CAVA Group, Inc. — 141. 1x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for SHAK: 74. 6% to $120. 89.

In this comparison, TXRH (1.

7% yield) pays a dividend. PTLO, CAVA, CMG, SHAK do not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Texas Roadhouse, Inc.

(TXRH) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 70), 1. 7% yield, +288. 0% 10Y return). CAVA Group, Inc. (CAVA) carries a higher beta of 1. 83 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (TXRH: +288. 0%, CAVA: +93. 1%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Consumer Cyclical sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: PTLO is a small-cap deep-value stock; CAVA is a small-cap quality compounder stock; CMG is a mid-cap quality compounder stock; SHAK is a small-cap high-growth stock; TXRH is a mid-cap quality compounder stock. TXRH pays a dividend while PTLO, CAVA, CMG, SHAK do not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.