8 High-Growth Restaurant Stocks for 2026

In this article, we will take a look at the high-growth restaurant stocks for 2026.

In a market characterized by changing customer preferences, investors are asking the big question: which sector to invest in? While investors previously focused on technology and AI-driven stocks, they are now shifting more towards consumer-oriented businesses. Against this backdrop, some restaurant stocks appear to be strong investment opportunities.

According to a report by the National Restaurant Association, titled “State of the Restaurant Industry  2026,” the restaurant industry is well-positioned for growth in 2026 due to a rise in sales and solid pent-up demand to dine out. Published on February 11, the report outlines that consumer spending is projected to accelerate industry sales to roughly $1.55 trillion nationwide, with approximately 1.3% real (inflation-adjusted) gains. Additionally, the preference for dining out will further drive growth.

The report adds that this surge will bring total industry employment to 15.8 million, with nearly 100,000 jobs added. The operators say they are pursuing technology investments to boost efficiency and support guest connections, the publication states.

With this in mind, we have compiled a list of 8 high-growth restaurant stocks for 2026.

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Our Methodology

For this article, we began by filtering for stocks in the restaurant industry with a market capitalization of over $1 billion. Next, we shortlisted stocks with an EPS growth this year of more than 10%. We limited our final selection to companies that have recently reported noteworthy developments likely to impact investor sentiment. These stocks are then ranked by the number of hedge fund holdings, based on Insider Monkey’s database, as of Q4 2025.

Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 498.7% since May 2014, beating its benchmark by 303 percentage points (see more details here).

8. The Cheesecake Factory Incorporated (NASDAQ:CAKE)

The Cheesecake Factory Incorporated (NASDAQ:CAKE) is among the 8 High-Growth Restaurant Stocks for 2026. On March 3, The Cheesecake Factory Incorporated (NASDAQ:CAKE) participated in the 47th Annual Raymond James Institutional Investor Conference, highlighting its strategic emphasis on experiential dining and strong growth plans. The company outlined its wide range of restaurant portfolio and solid financial performance, in addition to addressing challenges in sustaining its competitive edge in an evolving market.

With a target of 7% annual unit growth, The Cheesecake Factory Incorporated (NASDAQ:CAKE) is set to open up to 26 new restaurants in 2026. Management also pointed to the Cheesecake Rewards program, which has outperformed expectations, and disclosed plans for a mobile app launch in the second quarter. While anticipating $3.9 billion in total revenue for 2026, the company is set to add $5 billion in revenue over the long term. Furthermore, capital expenditures are planned at $210 million to back the company’s unit development and maintenance efforts.

Back on February 20, UBS lifted the price target on The Cheesecake Factory Incorporated (NASDAQ:CAKE) to $53, up from $50, and maintained a Sell rating. The firm believes the company’s plans to develop up to 26 new units in 2026 look well within reach amid its current development trajectory.

The Cheesecake Factory Incorporated (NASDAQ:CAKE) is a California-based company operating bakeries and restaurants. Founded in 1972, the company manages brands including The Cheesecake Factory, North Italia, Flower Child, and Fox Restaurant Concepts.

7. Darden Restaurants, Inc. (NYSE:DRI)

Darden Restaurants, Inc. (NYSE:DRI) is among the 8 High-Growth Restaurant Stocks for 2026. Following the company’s Q3 FY 2026 results on March 19, BofA raised its price target to $272 from $262 and maintained a Buy rating, citing slightly better estimates. Driven by healthy trends, the analyst raised the Q4 same-store sales growth projections to 3.9% from 3.1%. The analyst is also pencilling in lower commodity inflation at 3.5%, down from 4.0%.

Before the results, BofA lifted the price target on Darden Restaurants, Inc. (NYSE:DRI) to $262, up from $261, and maintained a Buy rating on March 16. In the Q3 earnings preview, the analyst had said that the firm believes same-store sales growth will remain stable QoQ at the company’s two flagship brands, Olive Garden and LongHorn.

Back on March 13, Bernstein SocGen Group reaffirmed an Outperform rating on Darden Restaurants, Inc. (NYSE:DRI) with a price target of $230. According to the firm, the company is in a good position for a turnaround into Q3, as the market underappreciates both the durability of demand drivers and the flexibility within its profit and loss statement.

In contrast to its casual dining and fast casual competitors, Darden Restaurants, Inc. (NYSE:DRI) has adopted a more measured pricing strategy. Bernstein anticipates a nearly 3.5% rise in pricing in the second half. This price hike is expected to have minimal impact on LongHorn’s traffic, amid 15% beef inflation at retail stores, the firm concluded.

Darden Restaurants, Inc. (NYSE:DRI), founded in 1938, is a Florida-based company that owns and operates full-service restaurants, including Olive Garden, LongHorn Steakhouse, Chuy’s, Yard House, and Seasons 52.

6. Papa John’s International, Inc. (NASDAQ:PZZA)

Papa John’s International, Inc. (NASDAQ:PZZA) is among the 8 High-Growth Restaurant Stocks for 2026. During the UBS Global Consumer and Retail Conference on March 12, Papa John’s International, Inc. (NASDAQ:PZZA) highlighted its strategic plans for growth, driven by three underlying drivers: innovation, value offerings, and operational enhancements. Although the domestic market is under strain, real prospects arise from international momentum and investments.

On the operational end, Papa John’s International, Inc. (NASDAQ:PZZA) is focusing on menu innovation and technology improvements. The company plans to enhance the overall ordering experience by upgrading its website and app. In order to do this, the company is utilizing Google’s ordering agent for group and voice ordering.

For the future, Papa John’s International, Inc. (NASDAQ:PZZA) is working to open 40 to 50 net new restaurants in North America and 180 to 220 internationally. With the first quarter expected to be challenging, the company projects North American sales to drop by 2% to 4% due to a decline in transactions. By 2028, the company anticipates $25 million in G&A savings and $60 million in supply chain savings.

On the same day, Stifel reaffirmed its Hold rating and price target of $32 on Papa John’s International, Inc. (NASDAQ:PZZA). The firm highlighted a tough road ahead to improve performance in North America, mainly as scaled-value competitors prepare to increase promotions in FY26.

Papa John’s International, Inc. (NASDAQ:PZZA) is a Kentucky-based company owning and managing pizza delivery and carryout restaurants. Founded in 1984, the company operates through Domestic Company-Owned Restaurants, North America Franchising, North America Commissaries, and International segments.

5. Restaurant Brands International Inc. (NYSE:QSR)

Restaurant Brands International Inc. (NYSE:QSR) is among the 8 High-Growth Restaurant Stocks for 2026. On March 2, Truist Securities lifted the price target on Restaurant Brands International Inc. (NYSE:QSR) to $87, up from $83, and maintained a Buy rating. The firm appeared more positive on the company’s long-term growth potential after the Investor Day presentation.

While highlighting Burger King U.S.’s turnaround pace, Truist Securities noted a clear plan for new store expansion in Burger King China through a new joint-venture partner and sustained momentum in Tim Hortons Canada. What’s interesting is that Restaurant Brands International Inc. (NYSE:QSR) is making its business model more efficient by becoming investment-grade and shifting away from M&A. According to the firm, the company aims to return significant cash to its shareholders, nearly 4.6% of its market capitalization in 2026.

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A day later, Brian Harbour from Morgan Stanley slightly increased the price target on Restaurant Brands International Inc. (NYSE:QSR) to $78 from $77 and reiterated an Equal Weight rating. As reported by TheFly, this followed the firm’s model revision to better reflect the updates presented at the investor day. Morgan Stanley still considers this a show-me story, even as it gains some credibility with algorithms.

Restaurant Brands International Inc. (NYSE:QSR), incorporated in 1954, is a Florida-based quick service restaurant company operating through six segments: Tim Hortons, Burger King, Popeyes Louisiana Kitchen, Firehouse Subs, International, and Restaurant Holdings.

4. Shake Shack Inc. (NYSE:SHAK)

Shake Shack Inc. (NYSE:SHAK) is among the 8 High-Growth Restaurant Stocks for 2026. On March 11, Shake Shack Inc. (NYSE:SHAK) participated in the UBS Global Consumer and Retail Conference, outlining its strategic initiatives and vision. Featuring the company’s CEO, Rob Lynch, the presentation covered the company’s solid performance and dedication to operational excellence and long-term growth. Although macroeconomic headwinds exist, the company remains committed to solidifying its footprint.

With a plan to launch a loyalty program by the year-end, Shake Shack Inc. (NYSE:SHAK) targets 1,500+ company-operated Shacks in the long term. Additionally, menu changes are in line as well to include new limited-time offers and evergreen items. The company’s one-three-five promotion was also highlighted during the conference, after which the traffic on the app was boosted by more than 50%.

Looking ahead, Shake Shack Inc. (NYSE:SHAK) expects low single-digit comparable growth and plans a marketing run rate in the range of 2.5% to 3%. The company is set to open 55-60 new Shacks this year, which is higher than 45 Shacks in 2025. As stated by CEO Lynch,

“We’re gonna open up 55-60 this year. That’ll obviously be the most ever. It’s just gonna keep going because we also invested G&A in building out that capability.”

Previously, on March 9, Wolfe Research started coverage on Shake Shack Inc. (NYSE:SHAK) with an Outperform rating and a $118 price target. The firm believes that offers, loyalty programs, and enhanced media efforts will contribute positively to the near-term comparable sales.

Shake Shack Inc. (NYSE:SHAK) is a New York-based company owning and operating Shake Shack restaurants (Shacks). Founded in 2001, the Shacks offer burgers, hot dogs, fries, shakes, frozen custard, and other products.

3. Domino’s Pizza, Inc. (NASDAQ:DPZ)

Domino’s Pizza, Inc. (NASDAQ:DPZ) is among the 8 High-Growth Restaurant Stocks for 2026. As of March 20, Domino’s Pizza, Inc. (NASDAQ:DPZ) has a ‘Buy’ or equivalent rating from more than half of the analysts covering the stock. While the price target ranges from $370 to $601, the median price target of $489 implies an upside potential of 32.49%. Among the firms bullish on the stock is UBS, which reaffirmed a Buy rating and a price target of $500 on the company on February 24 after the Q4 FY2025 results.

In the fourth quarter, Domino’s Pizza, Inc. (NASDAQ:DPZ) reported higher-than-forecast US same-store sales, driven by favorable transaction growth. The company remains committed to sustained market share gains while providing a positive outlook for this year.

For 2026, Domino’s Pizza, Inc. (NASDAQ:DPZ) targets a 3% US same-store sales growth and 1-2% international same-store sales growth, in addition to nearly 8% operating income growth. This will be driven by approximately 6% growth in global retail sales. The company anticipates a stronger first half versus the second one due to the timing of strategic initiatives, particularly sales drivers.

Domino’s Pizza, Inc. (NASDAQ:DPZ) is a Michigan-based pizza company operating through three segments: U.S. Stores, International Franchise, and Supply Chain. Founded in 1960, the company also provides bread products, wings, pasta, soft drinks, and desserts.

2. Brinker International, Inc. (NYSE:EAT)

Brinker International, Inc. (NYSE:EAT) is among the 8 High-Growth Restaurant Stocks for 2026. On March 16, JPMorgan elevated the price target on Brinker International, Inc. (NYSE:EAT) to $190 from $187 and reaffirmed an Overweight rating on the stock. According to the firm, the company is a strong near-term investment opportunity as the comparable sales pace is likely to remain steady due to new product platform upgrades.

JPMorgan believes Chili’s brand is “generating a flywheel of success,” resulting in reinvestments in the company’s current platform, with a roadmap to a stable remodel program and a return to unit growth, TheFly reported.

Wolfe Research, too, is confident in Brinker International, Inc. (NYSE:EAT) even amid the stock’s merely 3.94% surge over the past six months. The firm started coverage with an Outperform rating and a $184 price target on March 9. The firm attributed the company’s Chili’s brand performance as the major factor behind its optimism, saying that the brand has achieved both value credibility and cultural resonance. Wolfe Research also highlighted traffic outperformance at the restaurant chain, emphasizing the durability of these gains, which it believes is underestimated by the market.

Brinker International, Inc. (NYSE:EAT) is a Texas-based company owning and operating casual dining restaurants. Founded in 1975, the company manages Chili’s Grill & Bar and Maggiano’s Little Italy restaurant brands.

1. Dutch Bros Inc. (NYSE:BROS)

Dutch Bros Inc. (NYSE:BROS) is among the 8 High-Growth Restaurant Stocks for 2026. On March 13, Stifel reiterated its Buy rating and $75 price target on Dutch Bros Inc. (NYSE:BROS). This follows the firm’s financial model update to better reflect the company’s 10-K filing.

Back on March 9, Piper Sandler trimmed its price target on Dutch Bros Inc. (NYSE:BROS) to $59 from $63 and maintained a Neutral rating. According to the firm, the company’s strong approach to development lays the foundation for potential financial leverage, alongside idiosyncratic risks absent in some fast-casual unit-growth peers.

Brian Mullan, an analyst at Piper Sandler, pointed to the company’s nearly 16% YTD decline, saying that this comes even after solid results and robust guidance. What contributes to the weak performance is the planned product launches by the competitors, Mullan added. While examining the underlying drivers behind Dutch Bros Inc. (NYSE:BROS)’s development strategy, the firm noted that the underperformance cannot be directly linked to the areas covered in its review.

Dutch Bros Inc. (NYSE:BROS) is an Arizona-based company that operates and franchises drive-thru shops. Incorporated in 1992, the company operates through two segments: Company-Operated Shops and Franchising and Other.

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