Darden Restaurants, Inc. $DRI Shares Sold by Stephens Inc. AR

Key Points

• Stephens Inc. AR reduced its holdings in Darden Restaurants by 6.1%, now owning 55,100 shares valued at approximately $12 million.
• Analysts have differing outlooks, with Citigroup raising its target price to $253.00, while Truist Financial lowered its target to $240.00, reflecting a range of opinions on the company's stock.
• Darden Restaurants recently announced a quarterly dividend of $1.50 per share, resulting in an annualized yield of 3.2% for investors.

Stephens Inc. AR cut its position in shares of Darden Restaurants, Inc. (NYSE:DRI - Free Report) by 6.1% in the 2nd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 55,100 shares of the restaurant operator's stock after selling 3,601 shares during the quarter. Stephens Inc. AR's holdings in Darden Restaurants were worth $12,010,000 at the end of the most recent quarter.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the company. LMG Wealth Partners LLC increased its stake in Darden Restaurants by 18.7% during the second quarter. LMG Wealth Partners LLC now owns 5,996 shares of the restaurant operator's stock worth $1,307,000 after acquiring an additional 945 shares during the last quarter. Chicago Partners Investment Group LLC raised its holdings in shares of Darden Restaurants by 25.2% during the 2nd quarter. Chicago Partners Investment Group LLC now owns 6,692 shares of the restaurant operator's stock valued at $1,395,000 after buying an additional 1,345 shares during the period. TrueMark Investments LLC purchased a new stake in shares of Darden Restaurants during the 2nd quarter valued at about $4,986,000. Hamlin Capital Management LLC raised its holdings in shares of Darden Restaurants by 0.5% during the 2nd quarter. Hamlin Capital Management LLC now owns 918,387 shares of the restaurant operator's stock valued at $200,181,000 after buying an additional 4,989 shares during the period. Finally, Chevy Chase Trust Holdings LLC raised its holdings in shares of Darden Restaurants by 0.6% during the 2nd quarter. Chevy Chase Trust Holdings LLC now owns 62,704 shares of the restaurant operator's stock valued at $13,668,000 after buying an additional 372 shares during the period. 93.64% of the stock is currently owned by institutional investors and hedge funds.

Analysts Set New Price Targets

Several equities research analysts recently commented on the company. Citigroup raised their target price on Darden Restaurants from $245.00 to $253.00 and gave the company a "buy" rating in a report on Monday, June 23rd. Truist Financial dropped their target price on Darden Restaurants from $252.00 to $240.00 and set a "buy" rating on the stock in a report on Friday, September 19th. Guggenheim raised their target price on Darden Restaurants from $220.00 to $235.00 and gave the company a "buy" rating in a report on Wednesday, September 17th. Robert W. Baird dropped their target price on Darden Restaurants from $230.00 to $208.00 and set a "neutral" rating on the stock in a report on Friday, September 19th. Finally, Raymond James Financial dropped their target price on Darden Restaurants from $230.00 to $210.00 and set an "outperform" rating on the stock in a report on Friday, September 19th. Twenty research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $227.15.

Darden Restaurants Price Performance

Shares of NYSE DRI opened at $187.90 on Tuesday. Darden Restaurants, Inc. has a fifty-two week low of $157.89 and a fifty-two week high of $228.27. The business has a 50 day moving average price of $199.34 and a two-hundred day moving average price of $204.87. The company has a quick ratio of 0.27, a current ratio of 0.40 and a debt-to-equity ratio of 0.96. The firm has a market cap of $21.85 billion, a PE ratio of 20.14, a price-to-earnings-growth ratio of 1.72 and a beta of 0.77.

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

Darden Restaurants Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, November 3rd. Stockholders of record on Friday, October 10th will be given a $1.50 dividend. The ex-dividend date is Friday, October 10th. This represents a $6.00 annualized dividend and a dividend yield of 3.2%. Darden Restaurants's dividend payout ratio (DPR) is presently 64.31%.

Insider Activity at Darden Restaurants

In other news, insider Laura B. Williamson sold 1,157 shares of Darden Restaurants stock in a transaction that occurred 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 owned 10,632 shares in the company, valued at approximately $2,176,370.40. This trade represents a 9.81% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, SVP Matthew R. Broad sold 5,661 shares of Darden Restaurants stock in a transaction that occurred on Monday, October 6th. The stock was sold at an average price of $193.40, for a total value of $1,094,837.40. Following the completion of the transaction, the senior vice president owned 13,916 shares of the company's stock, valued at approximately $2,691,354.40. The trade was a 28.92% decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 7,341 shares of company stock valued at $1,438,707. 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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