Darden Restaurants’ (DRI) “Buy” Rating Reaffirmed at BTIG Research

Darden Restaurants (NYSE:DRI)‘s stock had its “buy” rating restated by investment analysts at BTIG Research in a research report issued on Friday, Benzinga reports. They currently have a $235.00 target price on the restaurant operator’s stock. BTIG Research’s price target would suggest a potential upside of 17.84% from the stock’s current price.

DRI has been the topic of a number of other reports. Evercore cut Darden Restaurants from an “outperform” rating to an “in-line” rating and set a $230.00 target price on the stock. in a research note on Tuesday, June 23rd. Stephens lifted their price objective on shares of Darden Restaurants from $216.00 to $220.00 and gave the company an “equal weight” rating in a research note on Friday, September 11th. Deutsche Bank Aktiengesellschaft lifted their price objective on shares of Darden Restaurants from $230.00 to $236.00 and gave the company a “buy” rating in a research note on Friday, June 26th. Morgan Stanley lifted their price objective on shares of Darden Restaurants from $236.00 to $255.00 and gave the company an “overweight” rating in a research note on Monday, September 14th. Finally, TD Cowen restated a “hold” rating and set a $215.00 price objective on shares of Darden Restaurants in a research note on Thursday. Eighteen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company. According to data from MarketBeat, Darden Restaurants currently has an average rating of “Moderate Buy” and an average target price of $232.38.

Darden Restaurants Stock Performance

DRI stock traded down $7.82 during mid-day trading on Friday, reaching $199.42. The company had a trading volume of 1,913,183 shares, compared to its average volume of 1,344,564. The company has a quick ratio of 0.21, a current ratio of 0.31 and a debt-to-equity ratio of 0.74. The stock has a market capitalization of $22.75 billion, a P/E ratio of 19.21, a P/E/G ratio of 2.01 and a beta of 0.60. Darden Restaurants has a one year low of $169.00 and a one year high of $229.76. The stock’s 50-day simple moving average is $212.01 and its two-hundred day simple moving average is $204.76.

Darden Restaurants (NYSE:DRI) last posted its earnings results on Thursday, September 24th. The restaurant operator reported $2.05 earnings per share (EPS) for the quarter, meeting analysts’ consensus estimates of $2.05. The company had revenue of $3.20 billion for the quarter, compared to analysts’ expectations of $3.21 billion. Darden Restaurants had a return on equity of 57.44% and a net margin of 9.13%.The firm’s quarterly revenue was up 5.1% compared to the same quarter last year. During the same period last year, the business posted $1.97 earnings per share. Darden Restaurants has set its FY 2027 guidance at 11.100-11.350 EPS. Research analysts anticipate that Darden Restaurants will post 11.26 EPS for the current year.

Insider Transactions at Darden Restaurants

In related news, insider Laura Williamson sold 1,110 shares of Darden Restaurants stock in a transaction dated Friday, July 31st. The stock was sold at an average price of $204.32, for a total value of $226,795.20. Following the transaction, the insider owned 10,754 shares of the company’s stock, valued at approximately $2,197,257.28. This trade represents a 9.36% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider John Wilkerson sold 8,864 shares of Darden Restaurants stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $208.33, for a total value of $1,846,637.12. Following the transaction, the insider directly owned 18,794 shares in the company, valued at approximately $3,915,354.02. This trade represents a 32.05% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold a total of 70,185 shares of company stock worth $14,636,984 in the last three months. Insiders own 0.67% of the company’s stock.

Hedge Funds Weigh In On Darden Restaurants

Several institutional investors and hedge funds have recently bought and sold shares of the business. Nicholas Investment Partners LP acquired a new stake in Darden Restaurants in the 2nd quarter worth approximately $923,000. Empowered Funds LLC bought a new stake in shares of Darden Restaurants during the second quarter valued at approximately $3,313,000. BNP Paribas Financial Markets lifted its stake in Darden Restaurants by 22.3% during the fourth quarter. BNP Paribas Financial Markets now owns 293,895 shares of the restaurant operator’s stock worth $54,083,000 after purchasing an additional 53,549 shares during the period. Eurizon Capital SGR S.p.A. bought a new stake in Darden Restaurants in the fourth quarter valued at $44,190,000. Finally, United Capital Financial Advisors LLC bought a new stake in Darden Restaurants in the second quarter valued at $3,280,000. Hedge funds and other institutional investors own 93.64% of the company’s stock.

Key Darden Restaurants News

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

• Positive Sentiment: Fiscal 2027 first-quarter revenue rose 5.1% year over year to $3.20 billion, while blended same-restaurant sales increased 3.1%. LongHorn Steakhouse and Yard House were cited as stronger performers, and management said it continues to gain market share. Darden revenue rises but misses estimates in fiscal first quarter
• Positive Sentiment: Darden reaffirmed fiscal 2027 adjusted EPS guidance of $11.10–$11.35 and maintained its broader full-year outlook. The company also highlighted plans for 13 new Yard House locations, supporting its longer-term growth strategy. Darden reaffirms fiscal 2027 guidance
• Positive Sentiment: Darden declared a quarterly dividend of $1.62 per share, equal to $6.48 annually and an approximately 3.1% yield. Analysts at Mizuho, Bernstein, Guggenheim and BTIG remained constructive, with price targets generally above the current trading level.
• Neutral Sentiment: Shareholders approved the board and maintained the company’s existing governance structure, removing a potential source of uncertainty. Darden shareholders back board and governance status quo
• Negative Sentiment: Adjusted EPS of $2.05 was roughly in line with estimates but revenue narrowly missed forecasts of about $3.21 billion. Reported net income declined to approximately $233.4 million from $257.8 million a year earlier as higher food and labor expenses compressed profitability. Darden stock falls as Olive Garden reports slower growth
• Negative Sentiment: Olive Garden, Darden’s largest brand, delivered only 1.1% same-store sales growth, raising concerns about slowing customer traffic and consumer sensitivity in casual dining. Analysts also described the stock as fairly valued, limiting the upside from an otherwise resilient quarter. Darden is winning share but stock is fairly priced

About Darden Restaurants

Darden Restaurants, Inc (NYSE: DRI) is a full-service restaurant company headquartered in Orlando, Florida. It operates and franchises a portfolio of dining brands serving a range of cuisines, price points and occasions, with restaurants primarily located in the United States and select international markets.

Its restaurant portfolio includes Olive Garden, an Italian-American dining chain; LongHorn Steakhouse; Cheddar’s Scratch Kitchen; Yard House; The Capital Grille; Seasons 52; Bahama Breeze; Eddie V’s; Ruth’s Chris Steak House; and Chuy’s.