Darden Restaurants, Inc. $DRI Stock Holdings Lessened by Marks Group Wealth Management Inc

Key Points

• Marks Group Wealth Management Inc has reduced its holdings in Darden Restaurants by 5.7%, now owning 44,482 shares, which is worth approximately $9.7 million.
• Overall, 93.64% of Darden Restaurants' stock is owned by institutional investors, indicating strong institutional interest in the company.
• Darden Restaurants announced a quarterly dividend of $1.50 per share, scheduled to be paid on November 3rd, representing a 3.1% dividend yield.

Marks Group Wealth Management Inc reduced its holdings in Darden Restaurants, Inc. (NYSE:DRI - Free Report) by 5.7% during the second quarter, according to the company in its most recent filing with the SEC. The fund owned 44,482 shares of the restaurant operator's stock after selling 2,696 shares during the quarter. Darden Restaurants makes up 0.9% of Marks Group Wealth Management Inc's portfolio, making the stock its 25th biggest position. Marks Group Wealth Management Inc's holdings in Darden Restaurants were worth $9,696,000 as of its most recent SEC filing.

Other hedge funds have also recently bought and sold shares of the company. Grove Bank & Trust lifted its position in Darden Restaurants by 171.4% in the 1st quarter. Grove Bank & Trust now owns 133 shares of the restaurant operator's stock valued at $28,000 after purchasing an additional 84 shares during the last quarter. ORG Partners LLC lifted its position in Darden Restaurants by 108.8% in the 1st quarter. ORG Partners LLC now owns 142 shares of the restaurant operator's stock valued at $30,000 after purchasing an additional 74 shares during the last quarter. Centennial Bank AR bought a new stake in Darden Restaurants in the 1st quarter valued at about $31,000. Alpine Bank Wealth Management bought a new stake in Darden Restaurants in the 1st quarter valued at about $34,000. Finally, SouthState Corp bought a new stake in Darden Restaurants in the 1st quarter valued at about $36,000. 93.64% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

Several brokerages recently weighed in on DRI. Evercore ISI cut their price objective on shares of Darden Restaurants from $245.00 to $240.00 and set an "outperform" rating on the stock in a research report on Friday, September 19th. TD Cowen reiterated a "hold" rating and issued a $235.00 price objective on shares of Darden Restaurants in a research report on Thursday, September 18th. Citigroup boosted their price target on shares of Darden Restaurants from $245.00 to $253.00 and gave the stock a "buy" rating in a research report on Monday, June 23rd. Stephens restated an "equal weight" rating and set a $215.00 price target on shares of Darden Restaurants in a research report on Thursday, September 18th. Finally, BMO Capital Markets dropped their price target on shares of Darden Restaurants from $215.00 to $205.00 and set a "market perform" rating on the stock in a research report on Friday, September 19th. Nineteen research analysts have rated the stock with a Buy rating and ten have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus price target of $225.96.

Darden Restaurants Stock Performance

Shares of DRI opened at $193.33 on Monday. The firm's 50 day moving average is $202.83 and its 200-day moving average is $206.22. The stock has a market capitalization of $22.49 billion, a P/E ratio of 20.72, a P/E/G ratio of 1.77 and a beta of 0.77. The company has a debt-to-equity ratio of 0.96, a current ratio of 0.40 and a quick ratio of 0.27. Darden Restaurants, Inc. has a 12-month low of $155.18 and a 12-month high of $228.27.

Darden Restaurants (NYSE:DRI - Get Free Report) last announced its quarterly earnings data on Thursday, September 18th. The restaurant operator reported $1.97 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.01 by ($0.04). The business had revenue of $3.04 billion during the quarter, compared to analyst estimates of $3.03 billion. Darden Restaurants had a return on equity of 52.35% and a net margin of 8.90%.The business's revenue for the quarter was up 10.4% on a year-over-year basis. During the same period in the prior year, the firm earned $1.75 EPS. Darden Restaurants has set its FY 2026 guidance at 10.500-10.700 EPS. Equities research analysts anticipate that Darden Restaurants, Inc. will post 9.52 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 3rd. Stockholders of record on Friday, October 10th will be paid a $1.50 dividend. The ex-dividend date of this dividend is Friday, October 10th. This represents a $6.00 annualized dividend and a dividend yield of 3.1%. Darden Restaurants's payout ratio is currently 64.31%.

Darden Restaurants declared that its board has authorized a stock repurchase program 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 shares through open market purchases. Shares repurchase programs are typically an indication that the company's board of directors believes its stock is undervalued.

Insider Activity

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 shares were sold at an average price of $204.70, for a total value of $236,837.90. Following the transaction, the insider directly owned 10,632 shares of the company's stock, valued at $2,176,370.40. This trade represents a 9.81% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Over the last 90 days, insiders have sold 2,013 shares of company stock valued at $412,738. Insiders own 0.49% of the company's stock.

Darden Restaurants 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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