Darden Restaurants, Inc. (NYSE:DRI) Increases Dividend to $1.62 Per Share

Darden Restaurants, Inc. (NYSE:DRI) declared a quarterly dividend on Thursday, June 25th. Shareholders of record on Friday, July 10th will be paid a dividend of 1.62 per share by the restaurant operator on Monday, August 3rd. This represents a c) annualized dividend and a dividend yield of 3.0%. The ex-dividend date of this dividend is Friday, July 10th. This is a 8.0% increase from Darden Restaurants’s previous quarterly dividend of $1.50.

Darden Restaurants has raised its dividend payment by an average of 0.2%annually over the last three years and has raised its dividend annually for the last 4 consecutive years. Darden Restaurants has a dividend payout ratio of 52.1% indicating that its dividend is sufficiently covered by earnings. Equities analysts expect Darden Restaurants to earn $11.38 per share next year, which means the company should continue to be able to cover its $6.00 annual dividend with an expected future payout ratio of 52.7%.

Darden Restaurants Stock Performance

NYSE:DRI traded down $0.77 during midday trading on Thursday, reaching $212.69. The stock had a trading volume of 3,423,179 shares, compared to its average volume of 1,202,643. The firm has a fifty day simple moving average of $201.60 and a two-hundred day simple moving average of $200.89. Darden Restaurants has a 12-month low of $169.00 and a 12-month high of $222.56. The company has a quick ratio of 0.25, a current ratio of 0.39 and a debt-to-equity ratio of 1.02. The stock has a market cap of $24.36 billion, a P/E ratio of 22.51, a P/E/G ratio of 1.91 and a beta of 0.60.

Darden Restaurants (NYSE:DRI) last announced its quarterly earnings data on Thursday, June 25th. The restaurant operator reported $3.66 earnings per share for the quarter, beating analysts’ consensus estimates of $3.63 by $0.03. Darden Restaurants had a return on equity of 53.54% and a net margin of 8.66%.The company had revenue of $3.72 billion for the quarter, compared to analyst estimates of $3.73 billion. During the same quarter in the previous year, the company earned $2.98 EPS. The firm’s revenue for the quarter was up 13.7% compared to the same quarter last year. Darden Restaurants has set its FY 2027 guidance at 11.100-11.350 EPS. On average, equities analysts expect that Darden Restaurants will post 10.62 EPS for the current year.

Darden Restaurants News Summary

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

• Positive Sentiment: Darden posted adjusted EPS of $3.66, topping estimates, while quarterly revenue rose 13.7% year over year, showing the business is still growing. Article Title
• Positive Sentiment: The company increased its quarterly dividend and authorized a new $1.5 billion share repurchase program, both of which support shareholder returns. Article Title
• Positive Sentiment: Operationally, same-restaurant sales beat expectations overall, with LongHorn Steakhouse helping drive the quarter and margins remaining strong. Article Title
• Neutral Sentiment: Darden said it modernized its bylaws to enhance shareholder participation, a governance update that is unlikely to materially move near-term earnings. Article Title
• Negative Sentiment: Revenue missed estimates and Olive Garden’s growth looked softer than expected, raising concern that traffic and comparable sales momentum may be slowing. Article Title
• Negative Sentiment: Fiscal 2027 EPS guidance of $11.10 to $11.35 came in below consensus, suggesting margin or cost pressure could limit upside next year. Article Title

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.