Darden Restaurants (NYSE:DRI) Stock Price Expected to Rise, Stephens Analyst Says

Darden Restaurants (NYSE:DRI) had its price target upped by research analysts at Stephens from $210.00 to $216.00 in a report issued on Friday,Benzinga reports. The brokerage currently has an “equal weight” rating on the restaurant operator’s stock. Stephens’ price target would suggest a potential upside of 1.56% from the stock’s previous close.

A number of other brokerages also recently commented on DRI. Guggenheim boosted their target price on shares of Darden Restaurants from $230.00 to $235.00 and gave the stock a “buy” rating in a research note on Wednesday. Robert W. Baird raised their price target on Darden Restaurants from $210.00 to $220.00 and gave the company a “neutral” rating in a research note on Friday. BTIG Research reaffirmed a “buy” rating and set a $225.00 price target on shares of Darden Restaurants in a report on Friday, March 20th. Sanford C. Bernstein reaffirmed an “outperform” rating on shares of Darden Restaurants in a research report on Friday, March 13th. Finally, Bank of America increased their price objective on Darden Restaurants from $272.00 to $276.00 and gave the company a “buy” rating in a report on Friday, June 5th. Seventeen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average target price of $228.33.

Darden Restaurants Stock Down 0.4%

Shares of Darden Restaurants stock opened at $212.69 on Friday. The company has a quick ratio of 0.25, a current ratio of 0.39 and a debt-to-equity ratio of 1.02. Darden Restaurants has a 52-week low of $169.00 and a 52-week high of $222.56. The company has a market capitalization of $24.36 billion, a P/E ratio of 22.51, a P/E/G ratio of 1.91 and a beta of 0.60. The company has a 50 day moving average of $201.60 and a 200 day moving average of $200.89.

Darden Restaurants (NYSE:DRI) last announced its quarterly earnings data on Thursday, June 25th. The restaurant operator reported $3.66 EPS for the quarter, beating analysts’ consensus estimates of $3.63 by $0.03. Darden Restaurants had a net margin of 8.66% and a return on equity of 53.54%. The company had revenue of $3.72 billion for the quarter, compared to the consensus estimate of $3.73 billion. During the same period in the prior year, the firm posted $2.98 EPS. The company’s quarterly revenue was up 13.7% compared to the same quarter last year. Darden Restaurants has set its FY 2027 guidance at 11.100-11.350 EPS. As a group, research analysts forecast that Darden Restaurants will post 10.62 EPS for the current fiscal year.

Insiders Place Their Bets

In other Darden Restaurants news, SVP Lindsay L. Koren sold 300 shares of the firm’s stock in a transaction dated Tuesday, April 7th. The stock was sold at an average price of $194.32, for a total transaction of $58,296.00. Following the transaction, the senior vice president owned 1,617 shares of the company’s stock, valued at approximately $314,215.44. This trade represents a 15.65% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, SVP Douglas J. Milanes sold 3,620 shares of Darden Restaurants stock in a transaction dated Friday, April 17th. The stock was sold at an average price of $202.16, for a total value of $731,819.20. Following the sale, the senior vice president owned 274 shares in the company, valued at $55,391.84. This trade represents a 92.96% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 0.49% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently added to or reduced their stakes in the company. Sapient Capital LLC acquired a new position in Darden Restaurants during the first quarter worth approximately $271,000. DV Trading LLC boosted its holdings in shares of Darden Restaurants by 140.6% in the first quarter. DV Trading LLC now owns 1,203 shares of the restaurant operator’s stock valued at $236,000 after acquiring an additional 703 shares during the period. Parallel Advisors LLC boosted its holdings in shares of Darden Restaurants by 5.9% in the first quarter. Parallel Advisors LLC now owns 1,643 shares of the restaurant operator’s stock valued at $322,000 after acquiring an additional 92 shares during the period. NewEdge Advisors LLC grew its position in shares of Darden Restaurants by 0.9% during the first quarter. NewEdge Advisors LLC now owns 59,432 shares of the restaurant operator’s stock worth $11,651,000 after acquiring an additional 559 shares during the last quarter. Finally, Glenmede Trust Co. NA grew its position in shares of Darden Restaurants by 1.5% during the first quarter. Glenmede Trust Co. NA now owns 9,923 shares of the restaurant operator’s stock worth $1,945,000 after acquiring an additional 149 shares during the last quarter. Hedge funds and other institutional investors own 93.64% of the company’s stock.

Darden Restaurants News Roundup

Here are the key news stories impacting Darden Restaurants this week:

• Positive Sentiment: Darden raised its quarterly dividend to $1.62 per share, an 8% increase, signaling confidence in cash flow and shareholder returns. Article Title
• Positive Sentiment: The board authorized a new $1.5 billion share repurchase program, which should help support earnings per share over time. Article Title
• Positive Sentiment: Results were driven by brand strength, especially LongHorn Steakhouse, and management highlighted comparable-sales momentum and record-year performance. Article Title
• Neutral Sentiment: Darden’s revenue missed expectations by a small margin, and some commentary noted weaker-than-expected same-store sales at Olive Garden and fine-dining locations. Article Title
• Negative Sentiment: FY2027 EPS guidance of $11.10 to $11.35 came in below the Street’s estimate, suggesting margin or cost pressure ahead. Article Title

Darden Restaurants Company Profile

Darden Restaurants, Inc is a multi-brand, full-service restaurant company headquartered in Orlando, Florida. The company owns and operates a portfolio of casual and fine-dining concepts that together serve millions of guests through company-owned and franchised locations. Its well-known brands include Olive Garden and LongHorn Steakhouse, alongside other dining concepts that span Italian, American, steakhouse and upscale casual formats.

Darden’s restaurants provide a range of guest-facing services including dine-in, takeout, delivery and catering, and feature menus tailored to each brand’s positioning—Italian-American fare at Olive Garden, steaks and grilled items at LongHorn, and more premium steakhouse and chef-driven offerings at its upscale concepts.