Darden Restaurants (NYSE:DRI) Issues FY 2026 Earnings Guidance

Darden Restaurants (NYSE:DRI) updated its FY 2026 earnings guidance on Thursday. The company provided EPS guidance of 10.500-10.700 for the period, compared to the consensus EPS estimate of 10.590. The company issued revenue guidance of -, compared to the consensus revenue estimate of $13.1 billion.

Darden Restaurants Stock Performance

DRI opened at $192.70 on Friday. The company has a debt-to-equity ratio of 0.96, a quick ratio of 0.27 and a current ratio of 0.40. Darden Restaurants has a 52-week low of $169.00 and a 52-week high of $228.27. The firm has a market cap of $22.41 billion, a P/E ratio of 20.65, a price-to-earnings-growth ratio of 1.83 and a beta of 0.66. The business’s fifty day moving average is $180.09 and its 200-day moving average is $198.14.

Darden Restaurants (NYSE:DRI) last released its quarterly earnings data on Thursday, December 18th. The restaurant operator reported $2.08 earnings per share for the quarter, missing the consensus estimate of $2.09 by ($0.01). The business had revenue of $3.10 billion during the quarter, compared to analyst estimates of $3.07 billion. Darden Restaurants had a net margin of 8.90% and a return on equity of 52.35%. The business’s quarterly revenue was up 7.3% compared to the same quarter last year. During the same period last year, the business earned $2.03 earnings per share. Darden Restaurants has set its FY 2026 guidance at 10.500-10.700 EPS. Sell-side analysts expect that Darden Restaurants will post 9.52 EPS for the current fiscal year.

Darden Restaurants Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, February 2nd. Stockholders of record on Friday, January 9th will be paid a $1.50 dividend. The ex-dividend date of this dividend is Friday, January 9th. This represents a $6.00 annualized dividend and a dividend yield of 3.1%. Darden Restaurants’s dividend payout ratio is presently 64.31%.

Analysts Set New Price Targets

DRI has been the subject of a number of analyst reports. Morgan Stanley lowered their price objective on Darden Restaurants from $238.00 to $236.00 and set an “overweight” rating for the company in a research report on Friday, December 12th. Guggenheim decreased their price objective on shares of Darden Restaurants from $235.00 to $230.00 and set a “buy” rating for the company in a research report on Wednesday. Stephens dropped their target price on shares of Darden Restaurants from $215.00 to $205.00 and set an “equal weight” rating on the stock in a report on Thursday, December 11th. Truist Financial decreased their price target on Darden Restaurants from $252.00 to $240.00 and set a “buy” rating for the company in a report on Friday, September 19th. Finally, Bank of America lifted their price objective on Darden Restaurants from $253.00 to $254.00 and gave the stock a “buy” rating in a research report on Tuesday, September 16th. Nineteen analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company’s stock. According to MarketBeat, Darden Restaurants currently has a consensus rating of “Moderate Buy” and a consensus price target of $223.39.

Insiders Place Their Bets

In other Darden Restaurants news, SVP Matthew R. Broad sold 5,661 shares of the firm’s stock in a transaction on Monday, October 6th. The shares were sold at an average price of $193.40, for a total value of $1,094,837.40. Following the transaction, the senior vice president directly owned 13,916 shares of the company’s stock, valued at approximately $2,691,354.40. This trade represents a 28.92% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.49% of the company’s stock.

Hedge Funds Weigh In On Darden Restaurants

A number of hedge funds have recently added to or reduced their stakes in the stock. CIBC Bancorp USA Inc. purchased a new stake in shares of Darden Restaurants in the third quarter worth approximately $3,074,000. Coldstream Capital Management Inc. grew its holdings in Darden Restaurants by 5.5% during the third quarter. Coldstream Capital Management Inc. now owns 3,412 shares of the restaurant operator’s stock worth $650,000 after buying an additional 179 shares in the last quarter. Danske Bank A S purchased a new stake in Darden Restaurants in the 3rd quarter valued at $11,543,000. Advisory Services Network LLC lifted its stake in Darden Restaurants by 25.5% during the 3rd quarter. Advisory Services Network LLC now owns 18,029 shares of the restaurant operator’s stock valued at $3,432,000 after acquiring an additional 3,667 shares in the last quarter. Finally, OmniStar Financial Group Inc. purchased a new position in Darden Restaurants during the 3rd quarter worth $534,000. Institutional investors and hedge funds own 93.64% 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.