Assenagon Asset Management S.A. Has $12.27 Million Stock Holdings in Darden Restaurants, Inc. $DRI

Key Points

• Assenagon Asset Management S.A. increased its stake in Darden Restaurants by 674.9%, acquiring an additional 49,007 shares, bringing its total holdings to 56,268 shares valued at approximately $12.27 million.
• A recent earnings report revealed Darden's revenue of $3.04 billion for the quarter, which exceeded expectations, although earnings per share fell short of analyst predictions.
• The company's Board of Directors has initiated a stock buyback program allowing for the repurchase of up to $1 billion in outstanding shares, signaling confidence in the company's stock value.

Assenagon Asset Management S.A. lifted its stake in shares of Darden Restaurants, Inc. (NYSE:DRI - Free Report) by 674.9% in the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund owned 56,268 shares of the restaurant operator's stock after acquiring an additional 49,007 shares during the quarter. Assenagon Asset Management S.A.'s holdings in Darden Restaurants were worth $12,265,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other hedge funds also recently made changes to their positions in the stock. Perpetual Ltd bought a new position in shares of Darden Restaurants during the second quarter worth about $432,000. Livforsakringsbolaget Skandia Omsesidigt raised its position in shares of Darden Restaurants by 21.2% during the second quarter. Livforsakringsbolaget Skandia Omsesidigt now owns 28,581 shares of the restaurant operator's stock worth $6,228,000 after acquiring an additional 5,000 shares during the last quarter. IFM Investors Pty Ltd raised its position in shares of Darden Restaurants by 3.9% during the second quarter. IFM Investors Pty Ltd now owns 23,320 shares of the restaurant operator's stock worth $5,083,000 after acquiring an additional 876 shares during the last quarter. Vista Investment Partners LLC raised its position in shares of Darden Restaurants by 50.5% during the second quarter. Vista Investment Partners LLC now owns 19,177 shares of the restaurant operator's stock worth $4,180,000 after acquiring an additional 6,432 shares during the last quarter. Finally, NorthCrest Asset Manangement LLC raised its position in shares of Darden Restaurants by 19.4% during the second quarter. NorthCrest Asset Manangement LLC now owns 4,784 shares of the restaurant operator's stock worth $1,054,000 after acquiring an additional 777 shares during the last quarter. 93.64% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on the company. Robert W. Baird lowered their price objective on Darden Restaurants from $230.00 to $208.00 and set a "neutral" rating for the company in a research report on Friday. Barclays lowered their target price on Darden Restaurants from $255.00 to $230.00 and set an "overweight" rating for the company in a report on Friday. Evercore ISI lowered their target price on Darden Restaurants from $245.00 to $240.00 and set an "outperform" rating for the company in a report on Friday. Guggenheim lifted their target price on Darden Restaurants from $220.00 to $235.00 and gave the stock a "buy" rating in a report on Wednesday, September 17th. Finally, Melius Research upgraded Darden Restaurants to a "hold" rating in a report on Monday, July 14th. Eighteen equities research analysts have rated the stock with a Buy rating and ten have given a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average target price of $225.96.

Darden Restaurants Stock Up 0.2%

Shares of NYSE:DRI opened at $185.07 on Tuesday. The stock has a market cap of $21.58 billion, a price-to-earnings ratio of 19.84, a PEG ratio of 1.69 and a beta of 0.71. The company has a quick ratio of 0.27, a current ratio of 0.40 and a debt-to-equity ratio of 0.96. Darden Restaurants, Inc. has a 12-month low of $155.18 and a 12-month high of $228.27. The business's 50 day moving average is $205.88 and its 200 day moving average is $206.17.

Darden Restaurants (NYSE:DRI - Get Free Report) last posted its quarterly earnings data on Thursday, September 18th. The restaurant operator reported $1.97 earnings per share for the quarter, missing the consensus estimate of $2.01 by ($0.04). Darden Restaurants had a return on equity of 52.35% and a net margin of 8.90%.The business had revenue of $3.04 billion during the quarter, compared to analysts' expectations of $3.03 billion. During the same period in the prior year, the firm posted $1.75 EPS. The firm's revenue for the quarter was up 10.4% on a year-over-year basis. Darden Restaurants has set its FY 2026 guidance at 10.500-10.700 EPS. On average, sell-side analysts forecast that Darden Restaurants, Inc. will post 9.52 earnings per share for the current fiscal year.

Darden Restaurants Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, November 3rd. Shareholders of record on Friday, October 10th will be given a $1.50 dividend. The ex-dividend date of this dividend is Friday, October 10th. This represents a $6.00 annualized dividend and a yield of 3.2%. Darden Restaurants's payout ratio is currently 64.31%.

Darden Restaurants announced that its Board of Directors has initiated a stock buyback plan on Friday, June 20th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the restaurant operator to purchase up to 3.8% of its stock through open market purchases. Stock repurchase plans are usually an indication that the company's board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other Darden Restaurants news, SVP Matthew R. Broad sold 6,949 shares of the business's stock in a transaction on Monday, June 30th. The stock was sold at an average price of $218.00, for a total value of $1,514,882.00. Following the transaction, the senior vice president owned 14,367 shares of the company's stock, valued at approximately $3,132,006. The trade was a 32.60% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, insider Laura B. Williamson sold 1,157 shares of the business's stock in a transaction on Wednesday, July 30th. The stock was sold at an average price of $204.70, for a total value of $236,837.90. Following the completion of the transaction, the insider directly owned 10,632 shares in the company, valued at approximately $2,176,370.40. This represents a 9.81% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders have sold 23,264 shares of company stock valued at $5,024,790. Insiders own 0.49% of the company's stock.

Darden Restaurants Company Profile

Darden Restaurants, Inc, together with its subsidiaries, owns and operates full-service restaurants in the United States and Canada. It operates under Olive Garden, LongHorn Steakhouse, Cheddar's Scratch Kitchen, Yard House, The Capital Grille, Seasons 52, Bahama Breeze, Eddie V's Prime Seafood, and Capital Burger brand names.

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