Darden Restaurants, Inc. (NYSE:DRI) Stock Has Consensus Price Target of $232.48 According to Analysts

Shares of Darden Restaurants, Inc. (NYSE:DRI) have received an average rating of “Moderate Buy” from the twenty-six analysts that are covering the firm, Marketbeat Ratings reports. Nine analysts have rated the stock with a hold recommendation and seventeen have given a buy recommendation to the company. The average 12 month price target among brokers that have issued a report on the stock in the last year is $232.48.

A number of brokerages recently weighed in on DRI. UBS Group reissued a “buy” rating on shares of Darden Restaurants in a report on Friday, September 11th. Morgan Stanley upped their target price on Darden Restaurants from $236.00 to $255.00 and gave the stock an “overweight” rating in a research note on Monday, September 14th. Citigroup reduced their price target on shares of Darden Restaurants from $248.00 to $247.00 and set a “buy” rating on the stock in a research report on Friday, September 25th. Stephens reiterated an “equal weight” rating and set a $220.00 price target on shares of Darden Restaurants in a research report on Friday, September 25th. Finally, Robert W. Baird raised shares of Darden Restaurants from a “neutral” rating to an “outperform” rating and lifted their price target for the stock from $220.00 to $250.00 in a research note on Monday, August 24th.

Darden Restaurants Trading Up 2.9%

NYSE DRI opened at $214.56 on Tuesday. The company has a quick ratio of 0.20, a current ratio of 0.30 and a debt-to-equity ratio of 0.79. The stock’s 50-day simple moving average is $211.61 and its two-hundred day simple moving average is $204.74. Darden Restaurants has a twelve month low of $169.00 and a twelve month high of $229.76. The company has a market capitalization of $24.28 billion, a price-to-earnings ratio of 20.97, a PEG ratio of 1.95 and a beta of 0.63.

Darden Restaurants (NYSE:DRI) last posted its quarterly earnings data on Thursday, September 24th. The restaurant operator reported $2.05 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $2.05. Darden Restaurants had a return on equity of 58.64% and a net margin of 8.85%. The firm had revenue of $3.20 billion during the quarter, compared to analysts’ expectations of $3.21 billion. During the same period in the prior year, the business earned $1.97 EPS. The company’s revenue for the quarter was up 5.1% compared to the same quarter last year. Darden Restaurants has set its FY 2027 guidance at 11.100-11.350 EPS. Research analysts forecast that Darden Restaurants will post 11.24 EPS for the current fiscal year.

Darden Restaurants Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, November 2nd. Stockholders of record on Friday, October 9th will be paid a $1.62 dividend. The ex-dividend date of this dividend is Friday, October 9th. This represents a $6.48 dividend on an annualized basis and a dividend yield of 3.0%. Darden Restaurants’s dividend payout ratio is 63.34%.

Insider Activity at Darden Restaurants

In other Darden Restaurants news, SVP Susan M. Connelly sold 2,226 shares of the business’s stock in a transaction on Wednesday, July 29th. The shares were sold at an average price of $208.17, for a total value of $463,386.42. Following the completion of the sale, the senior vice president directly owned 4,165 shares of the company’s stock, valued at $867,028.05. The trade was a 34.83% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, insider John W. Wilkerson sold 8,864 shares of the company’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $208.33, for a total transaction of $1,846,637.12. Following the sale, the insider owned 18,794 shares of the company’s stock, valued at approximately $3,915,354.02. The trade was a 32.05% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 60,255 shares of company stock worth $12,589,319 in the last 90 days. Corporate insiders own 0.67% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. BlackRock Inc. bought a new stake in shares of Darden Restaurants in the 2nd quarter valued at about $2,015,109,000. Bank of America Corp DE boosted its holdings in Darden Restaurants by 44.6% during the 1st quarter. Bank of America Corp DE now owns 3,212,283 shares of the restaurant operator’s stock valued at $629,736,000 after acquiring an additional 991,230 shares during the period. Dimensional Fund Advisors LP grew its position in Darden Restaurants by 2.8% during the 1st quarter. Dimensional Fund Advisors LP now owns 1,265,473 shares of the restaurant operator’s stock worth $248,083,000 after acquiring an additional 33,965 shares during the last quarter. Bank of New York Mellon Corp grew its position in Darden Restaurants by 0.5% during the 1st quarter. Bank of New York Mellon Corp now owns 1,010,169 shares of the restaurant operator’s stock worth $198,033,000 after acquiring an additional 5,318 shares during the last quarter. Finally, Arrowstreet Capital Limited Partnership grew its position in Darden Restaurants by 3.3% during the 4th quarter. Arrowstreet Capital Limited Partnership now owns 898,642 shares of the restaurant operator’s stock worth $165,368,000 after acquiring an additional 28,463 shares during the last quarter. Hedge funds and other institutional investors own 93.64% of the company’s stock.

Darden Restaurants Company Profile

Darden Restaurants, Inc is a full-service restaurant company that owns and operates a portfolio of well-known dining brands. Its restaurants serve a range of cuisines and occasions, from Italian and American casual dining to seafood, steak, and upscale experiences.

The company’s portfolio includes Olive Garden, LongHorn Steakhouse, Cheddar’s Scratch Kitchen, Yard House, Ruth’s Chris Steak House, Seasons 52, Bahama Breeze, Eddie V’s, and The Capital Grille. In 2024, Darden expanded its brand portfolio through the acquisition of Chuy’s, a full-service Mexican restaurant concept.

Founded by William B.