Guggenheim Cuts Darden Restaurants (NYSE:DRI) Price Target to $230.00

Darden Restaurants (NYSE:DRI) had its price objective reduced by Guggenheim from $235.00 to $230.00 in a report published on Wednesday morning, Marketbeat reports. They currently have a buy rating on the restaurant operator’s stock.

A number of other research analysts also recently commented on DRI. Bank of America upped their price objective on Darden Restaurants from $253.00 to $254.00 and gave the stock a “buy” rating in a research note on Tuesday, September 16th. Mizuho reduced their price target on shares of Darden Restaurants from $190.00 to $185.00 and set a “neutral” rating for the company in a report on Monday, November 24th. Raymond James Financial lowered their price target on shares of Darden Restaurants from $230.00 to $210.00 and set an “outperform” rating for the company in a research report on Friday, September 19th. BTIG Research cut their price objective on shares of Darden Restaurants from $235.00 to $225.00 and set a “buy” rating on the stock in a research report on Friday, September 19th. Finally, Stephens reduced their target price on shares of Darden Restaurants from $215.00 to $205.00 and set an “equal weight” rating for the company in a research note on Thursday, December 11th. Nineteen analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $223.39.

Darden Restaurants Price Performance

DRI opened at $189.91 on Wednesday. The company has a quick ratio of 0.27, a current ratio of 0.39 and a debt-to-equity ratio of 1.03. The company’s 50-day moving average price is $180.27 and its 200 day moving average price is $197.95. Darden Restaurants has a fifty-two week low of $169.00 and a fifty-two week high of $228.27. The firm has a market cap of $22.09 billion, a price-to-earnings ratio of 19.91, a price-to-earnings-growth ratio of 1.87 and a beta of 0.66.

Darden Restaurants (NYSE:DRI) last issued its earnings results on Thursday, December 18th. The restaurant operator reported $2.08 EPS for the quarter, missing analysts’ consensus estimates of $2.09 by ($0.01). The company had revenue of $3.10 billion during the quarter, compared to analyst estimates of $3.07 billion. Darden Restaurants had a net margin of 8.92% and a return on equity of 52.44%. The business’s revenue was up 7.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned $2.03 earnings per share. Darden Restaurants has set its FY 2026 guidance at 10.500-10.700 EPS. As a group, sell-side analysts expect that Darden Restaurants will post 9.52 earnings per share for the current year.

Darden Restaurants Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, February 2nd. Investors of record on Friday, January 9th will be paid a dividend of $1.50 per share. This represents a $6.00 dividend on an annualized basis and a dividend yield of 3.2%. The ex-dividend date is Friday, January 9th. Darden Restaurants’s dividend payout ratio (DPR) is currently 64.31%.

Insiders Place Their Bets

In other Darden Restaurants news, SVP Matthew R. Broad sold 5,661 shares of the company’s 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 sale, the senior vice president directly owned 13,916 shares in the company, valued at $2,691,354.40. This represents a 28.92% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.49% of the stock is owned by company insiders.

Institutional Trading of Darden Restaurants

Several institutional investors and hedge funds have recently added to or reduced their stakes in DRI. Twin Peaks Wealth Advisors LLC acquired a new position in Darden Restaurants in the second quarter worth approximately $26,000. Quent Capital LLC bought a new stake in shares of Darden Restaurants during the 3rd quarter worth $27,000. True Wealth Design LLC grew its holdings in shares of Darden Restaurants by 419.2% in the 2nd quarter. True Wealth Design LLC now owns 135 shares of the restaurant operator’s stock worth $29,000 after acquiring an additional 109 shares during the last quarter. Elevation Point Wealth Partners LLC acquired a new stake in shares of Darden Restaurants during the second quarter worth $29,000. Finally, Ameriflex Group Inc. purchased a new stake in shares of Darden Restaurants during the third quarter valued at $35,000. 93.64% of the stock is owned by institutional investors and hedge funds.

More Darden Restaurants News

Here are the key news stories impacting Darden Restaurants this week:

• Positive Sentiment: Raised revenue outlook and solid top‑line — Darden reported revenue of $3.10B (+7.3% y/y) and strong comps at Olive Garden and LongHorn, and raised its full‑year sales outlook, a clear positive for growth expectations. PR Newswire: Q2 results & outlook
• Positive Sentiment: Strong analyst buy support — Multiple firms reiterated buy ratings and bullish price targets (Bank of America kept a Buy with a $261 target; BTIG reaffirmed Buy at $225; Stifel maintained bullish stance), supporting upside sentiment. TipRanks: BofA reiterates Buy
• Positive Sentiment: Dividend and cash returns remain attractive — Darden declared a $1.50 quarterly dividend (roughly a 3% yield), which supports income investors and signals confidence in cash flow. Seeking Alpha: Dividend declared
• Neutral Sentiment: FY26 EPS guidance roughly in line — Darden set FY2026 EPS guidance at $10.50–$10.70, close to consensus, which reduces uncertainty but doesn’t materially change the valuation picture. MarketBeat: Guidance and call
• Neutral Sentiment: Mixed analyst views on valuation — Some firms reiterate Hold/Equal‑Weight ratings citing full valuation despite solid execution, suggesting limited near‑term upside for investors who focus on valuation. TickerReport: Stephens equal weight
• Negative Sentiment: Slight EPS miss pressured the stock — Reported EPS was $2.08 vs. the $2.09 consensus (a $0.01 miss), which, despite being tiny, triggered downside given elevated expectations and the stock’s recent run. Benzinga: What’s going on with DRI stock?
• Negative Sentiment: Margin pressure from commodity costs — Beef and other commodity inflation compressed margins (especially at LongHorn); management expects easing but cost pressure remains a near‑term risk to profitability. Seeking Alpha: Margin pressure analysis
• Negative Sentiment: Unusual put buying and insider selling — Elevated put option activity and notable insider share sales were reported, which can add short‑term downside pressure or signal caution among some market participants. QuiverQuant: Options & insider activity

About Darden Restaurants

Darden Restaurants, Inc is a multi-brand, full-service restaurant company headquartered in Orlando, Florida. The company owns and operates a portfolio of casual and fine-dining concepts that together serve millions of guests through company-owned and franchised locations. Its well-known brands include Olive Garden and LongHorn Steakhouse, alongside other dining concepts that span Italian, American, steakhouse and upscale casual formats.

Darden’s restaurants provide a range of guest-facing services including dine-in, takeout, delivery and catering, and feature menus tailored to each brand’s positioning—Italian-American fare at Olive Garden, steaks and grilled items at LongHorn, and more premium steakhouse and chef-driven offerings at its upscale concepts.