Free Trial

Darden Restaurants (DRI) Stock Price, News & Analysis

$142.27
+0.37 (+0.26%)
(As of 07/26/2024 ET)
Today's Range
$141.88
$143.72
50-Day Range
$138.02
$154.29
52-Week Range
$133.36
$176.84
Volume
1.16 million shs
Average Volume
1.21 million shs
Market Capitalization
$16.91 billion
P/E Ratio
16.70
Dividend Yield
3.94%
Price Target
$170.95

Darden Restaurants MarketRank™ Stock Analysis

Analyst Rating
Moderate Buy
2.68 Rating Score
Upside/​Downside
20.2% Upside
$170.95 Price Target
Short Interest
Bearish
5.34% of Float Sold Short
Dividend Strength
Strong
Based on Four Factors
Sustainability
-3.04
Upright™ Environmental Score
News Sentiment
0.23mentions of Darden Restaurants in the last 14 days
Based on 30 Articles This Week
Insider Trading
N/A
Proj. Earnings Growth
9.81%
From $9.48 to $10.41 Per Share

Overall MarketRank

New Rank-Based ScoringMarketRank is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

4.65 out of 5 stars

Retail/Wholesale Sector

35th out of 201 stocks

Eating Places Industry

8th out of 41 stocks

DRI stock logo

About Darden Restaurants Stock (NYSE:DRI)

Darden Restaurants, Inc. is a prominent American multi-brand restaurant operator headquartered in Orlando, Florida. With a diverse portfolio of fine dining and casual dining restaurant chains, Darden has established itself as the world's largest full-service restaurant company. The company operates a range of well-known brands, including Ruth's Chris Steak House, Eddie V's, The Capital Grille, Olive Garden Italian Restaurant, LongHorn Steakhouse, Bahama Breeze, Seasons 52, Yard House, and Cheddar's Scratch Kitchen. Darden is committed to providing exceptional dining experiences and warm hospitality to its customers across various restaurant industry segments.

Darden Restaurants' mission is to create memorable experiences by delighting guests with outstanding food, service, and hospitality. The company aims to be the leading full-service restaurant company in the world, driven by a passion for excellence and a dedication to its employees, guests, and communities.

The company's restaurant brands offer a wide range of culinary options, from upscale dining experiences to casual, family-friendly atmospheres. Ruth's Chris Steak House, Eddie V's, and The Capital Grille cater to discerning diners seeking exceptional fine dining experiences. Olive Garden Italian Restaurant, LongHorn Steakhouse, Bahama Breeze, Seasons 52, Yard House, and Cheddar's Scratch Kitchen provide casual dining options with diverse menus and inviting atmospheres.

Darden Restaurants targets a broad market to serve customers across different demographic segments and dining preferences. Its brands cater to a wide range of customers, including families, couples, business professionals, and individuals looking for quality dining experiences.

Darden Restaurants boasts a talented and experienced leadership team that drives the company's success. Led by Chief Executive Officer and President Ricardo Cardenas, the management team brings a wealth of expertise and industry knowledge to the table. Ricardo Cardenas has a proven track record in the restaurant industry and oversees the company's strategic direction and overall performance.

Darden Restaurants has consistently delivered strong financial performance, showcasing its ability to navigate the competitive landscape of the restaurant industry. When analyzing the company's financials, it is important to consider long-term trends and broader industry benchmarks.

Over the past few years, Darden Restaurants has reported impressive revenue growth. This upward trend reflects the popularity and customer loyalty enjoyed by Darden's restaurant brands. Earnings metrics also demonstrate the company's solid financial performance. Darden's earnings metrics indicate favorable market sentiment and future growth expectations.

Profit margin metrics reveal Darden's ability to generate strong returns. The company has maintained a net profit margin of around 9%, showcasing its operational efficiency and effective cost management. Darden Restaurants maintains a healthy debt-to-equity ratio indicating a balanced approach to capital structure. This prudent debt management strategy contributes to the company's financial stability and resilience.

Darden Restaurants has enjoyed favorable stock performance recently, driven by its strong financial results and market positioning. While stock prices can fluctuate in response to market conditions and investor sentiment, Darden has demonstrated resilience and the ability to deliver shareholder value.

Darden Restaurants operates in the broader eating places industry, encompassing a wide range of dining establishments. The industry is highly competitive, with numerous players vying for market share and consumer attention. However, Darden has carved out a distinctive position through its diverse brand portfolio and commitment to culinary excellence.

Darden's competitive advantages lie in its well-established restaurant brands, each catering to different customer segments and culinary preferences. The company's scale and industry expertise enables it to leverage economies of scale, drive operational efficiencies and maintain strong relationships with suppliers and partners.

Darden Restaurants has several growth opportunities at its disposal. The company can leverage its existing brand portfolio to expand into new markets and capitalize on emerging consumer trends. Additionally, Darden can pursue strategic acquisitions or partnerships to enhance its offerings and reach new customer segments.

As consumer preferences evolve, Darden can focus on culinary innovation, menu diversification, and providing exceptional guest experiences. By continuously adapting to changing market dynamics and consumer demands, Darden can secure its position as a leader in the multi-brand restaurant industry.

While Darden Restaurants has a strong market position, it faces certain risks and challenges inherent to the industry. The restaurant business is susceptible to economic downturns, shifts in consumer preferences, and labor market dynamics. Additionally, increasing food costs, regulatory changes, and competitive pressures can impact the company's profitability.

However, Darden has demonstrated effective risk management strategies to mitigate these challenges. The company's strong financial position, operational expertise, and focus on guest satisfaction provide a solid foundation for navigating potential headwinds and maintaining long-term success.

DRI Stock Price History

DRI Stock News Headlines

Latrice Walker and Christina Rivera make fresh tortillas on opening day at Chuy's in Jacksonville, …
Darden Restaurants buys Tex-Mex chain Chuy's for $605 million
The parent company of Olive Garden, LongHorn Steakhouse, Yard House and other chains says it's buying the Tex-Mex chain Chuy’s as it seeks to expand its dining options
TD Cowen Downgrades Darden Restaurants (DRI)
Nvidia’s Quiet $1 Trillion Pivot
Nvidia recently added $277 billion in market cap … IN ONE DAY.
Darden Restaurants (NYSE:DRI) Downgraded by TD Cowen to "Hold"
625,000% Gain
Imagine swapping your daily coffee expense for a future free of financial worries. It might seem far-fetched, but results like this are within reach with the right knowledge and timing in the altcoin market. Plus, you’ll get $10 in real Bitcoin when you stay to the end of the call and take a short quiz.
Darden Restaurants to buy Chuy's in $605M deal
See More Headlines
Receive DRI Stock News and Ratings via Email

Sign-up to receive the latest news and ratings for Darden Restaurants and its competitors with MarketBeat's FREE daily newsletter.

Company Calendar

Ex-Dividend for 5/1 Dividend
4/09/2024
Dividend Payable
5/01/2024
Last Earnings
6/20/2024
Ex-Dividend for 8/15 Dividend
7/10/2024
Today
7/26/2024
Dividend Payable
8/15/2024
Next Earnings (Estimated)
9/19/2024
Fiscal Year End
5/31/2025

Industry, Sector and Symbol

Industry
Eating places
Sub-Industry
Restaurants
CUSIP
23719410
Employees
187,384
Year Founded
1968

Price Target and Rating

Average Stock Price Target
$170.95
High Stock Price Target
$192.00
Low Stock Price Target
$124.00
Potential Upside/Downside
+20.2%
Consensus Rating
Moderate Buy
Rating Score (0-4)
2.68
Research Coverage
22 Analysts

Profitability

Net Income
$1.03 billion
Pretax Margin
10.32%

Debt

Sales & Book Value

Annual Sales
$11.39 billion
Cash Flow
$13.16 per share
Book Value
$18.87 per share

Miscellaneous

Free Float
118,344,000
Market Cap
$16.91 billion
Optionable
Optionable
Beta
1.29

Social Links

7 Energy Stocks to Buy and Hold Forever Cover

Do you expect the global demand for energy to shrink?! If not, it's time to take a look at how energy stocks can play a part in your portfolio.

Get This Free Report

Should I Buy Darden Restaurants Stock? DRI Pros and Cons Explained

Pros

Here are some ways that investors could benefit from investing in Darden Restaurants, Inc.:

  • Darden Restaurants has a consistent track record of increasing revenue year-over-year, indicating a stable and growing business.
  • The company has a strong return on equity of 49.94%, showcasing efficient use of shareholder funds to generate profits.
  • Recent insider activity shows confidence in the company's future with significant stock purchases by key executives.
  • Darden Restaurants has a dividend yield of 3.34%, providing investors with a steady income stream.
  • The stock repurchase program signals that the company believes its shares are undervalued, potentially leading to future price appreciation.

Cons

Investors should be bearish about investing in Darden Restaurants, Inc. for these reasons:

  • The company recently missed earnings per share (EPS) estimates, indicating potential challenges in meeting financial expectations.
  • Darden Restaurants' revenue for the quarter was below consensus estimates, suggesting possible growth constraints.
  • There has been significant insider selling of company stock, which could be perceived as a lack of confidence in future performance.
  • The dividend payout ratio of 61.43% raises concerns about the sustainability of the current dividend payments.
  • Analysts have revised down EPS estimates for the current fiscal year, pointing to potential challenges ahead.
These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Monday, July 1, 2024. Please send any questions or comments about these Darden Restaurants pros and cons to contact@marketbeat.com.

DRI Stock Analysis - Frequently Asked Questions

How have DRI shares performed this year?

Darden Restaurants' stock was trading at $164.30 on January 1st, 2024. Since then, DRI stock has decreased by 13.4% and is now trading at $142.27.
View the best growth stocks for 2024 here
.

How were Darden Restaurants' earnings last quarter?

Darden Restaurants, Inc. (NYSE:DRI) announced its quarterly earnings data on Thursday, June, 20th. The restaurant operator reported $2.65 earnings per share for the quarter, topping the consensus estimate of $2.61 by $0.04. The firm's revenue for the quarter was up 8.3% compared to the same quarter last year.
Read the conference call transcript
.

How will Darden Restaurants' stock buyback program work?

Darden Restaurants' Board of Directors authorized a stock buyback program on Thursday, March 21st 2024, which allows the company to repurchase $1,000,000,000 in outstanding shares, according to EventVestor. This means that the company could repurchase up to 5% of its stock through open market purchases. Stock buyback programs are usually an indication that the company's board of directors believes its stock is undervalued.

What is Gene Lee's approval rating as Darden Restaurants' CEO?

333 employees have rated Darden Restaurants Chief Executive Officer Gene Lee on Glassdoor.com. Gene Lee has an approval rating of 88% among the company's employees.

Does Darden Restaurants have any subsidiaries?

The following companies are subsidiaries of Darden Restaurants: Cheddar's Scratch Kitchen, Yard House, Rare Hospitality Management, Bahama Breeze Holdings, Capital Grille Holdings, Cheddar’s Casual Café, Cheddar's Restaurant Holding Corp., and others.

Who are Darden Restaurants' major shareholders?

Top institutional investors of Darden Restaurants include Raymond James & Associates (1.93%), Raymond James Financial Services Advisors Inc. (0.84%), Bank of New York Mellon Corp (0.79%) and Sumitomo Mitsui Trust Holdings Inc. (0.23%). Insiders that own company stock include Eugene I Lee, Jr, Ricardo Cardenas, Todd Burrowes, Timothy J Wilmott, Richard L Renninger, Matthew R Broad, Melvin John Martin, Daniel J Kiernan, Susan M Connelly, John W Madonna, William S Simon, Rajesh Vennam, Douglas J Milanes, Sarah H King, Nana Mensah, Juliana L Chugg and M Shan Atkins.
View institutional ownership trends
.

How do I buy shares of Darden Restaurants?

Shares of DRI stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

What other stocks do shareholders of Darden Restaurants own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Darden Restaurants investors own include NVIDIA (NVDA), Boeing (BA), Walt Disney (DIS), Home Depot (HD), Intel (INTC), Johnson & Johnson (JNJ) and Micron Technology (MU).

This page (NYSE:DRI) was last updated on 7/26/2024 by MarketBeat.com Staff

From Our Partners