Jefferies Financial Group Issues Pessimistic Forecast for Darden Restaurants (NYSE:DRI) Stock Price

Darden Restaurants (NYSE:DRI) had its price objective decreased by investment analysts at Jefferies Financial Group from $210.00 to $200.00 in a research report issued on Monday,Benzinga reports. The brokerage currently has a “hold” rating on the restaurant operator’s stock. Jefferies Financial Group’s target price indicates a potential upside of 7.74% from the stock’s previous close.

A number of other equities research analysts have also weighed in on DRI. Guggenheim upped their target price on shares of Darden Restaurants from $220.00 to $235.00 and gave the stock a “buy” rating in a report on Wednesday, September 17th. The Goldman Sachs Group upgraded Darden Restaurants from a “neutral” rating to a “buy” rating and set a $225.00 price target for the company in a research note on Monday, October 20th. Mizuho lowered their price objective on Darden Restaurants from $190.00 to $185.00 and set a “neutral” rating for the company in a research note on Monday, November 24th. Barclays dropped their target price on Darden Restaurants from $255.00 to $230.00 and set an “overweight” rating on the stock in a report on Friday, September 19th. Finally, Morgan Stanley cut their target price on Darden Restaurants from $238.00 to $236.00 and set an “overweight” rating on the stock in a research report on Friday, December 12th. Nineteen research analysts have rated the stock with a Buy rating and eleven have assigned a Hold rating to the company. According to data from MarketBeat, Darden Restaurants currently has an average rating of “Moderate Buy” and a consensus price target of $223.57.

Darden Restaurants Price Performance

Shares of DRI opened at $185.64 on Monday. Darden Restaurants has a 12-month low of $159.67 and a 12-month high of $228.27. The business’s fifty day moving average is $179.94 and its 200 day moving average is $198.24. The company has a quick ratio of 0.27, a current ratio of 0.40 and a debt-to-equity ratio of 0.96. The stock has a market cap of $21.59 billion, a P/E ratio of 19.90, a P/E/G ratio of 1.80 and a beta of 0.66.

Darden Restaurants (NYSE:DRI) last announced its quarterly earnings results on Thursday, September 18th. The restaurant operator reported $1.97 EPS for the quarter, missing analysts’ consensus estimates of $2.01 by ($0.04). Darden Restaurants had a net margin of 8.90% and a return on equity of 52.35%. The business had revenue of $3.04 billion for the quarter, compared to the consensus estimate of $3.03 billion. During the same quarter last year, the firm posted $1.75 EPS. The business’s revenue for the quarter was up 10.4% compared to the same quarter last year. Darden Restaurants has set its FY 2026 guidance at 10.500-10.700 EPS. Sell-side analysts anticipate that Darden Restaurants will post 9.52 earnings per share for the current fiscal year.

Insider Activity at Darden Restaurants

In related news, SVP Matthew R. Broad sold 5,661 shares of Darden Restaurants stock in a transaction on Monday, October 6th. The stock was sold at an average price of $193.40, for a total transaction of $1,094,837.40. Following the sale, the senior vice president directly owned 13,916 shares in the company, valued at approximately $2,691,354.40. This trade represents a 28.92% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Insiders own 0.49% of the company’s stock.

Institutional Investors Weigh In On Darden Restaurants

Several large investors have recently made changes to their positions in the business. Farmers National Bank raised its stake in shares of Darden Restaurants by 3.4% during the 3rd quarter. Farmers National Bank now owns 3,719 shares of the restaurant operator’s stock worth $708,000 after purchasing an additional 122 shares during the period. Hudson Bay Capital Management LP increased its holdings in Darden Restaurants by 127.1% during the third quarter. Hudson Bay Capital Management LP now owns 55,254 shares of the restaurant operator’s stock worth $10,518,000 after buying an additional 30,922 shares during the last quarter. Saranac Partners Ltd bought a new stake in Darden Restaurants in the third quarter worth about $92,000. Severin Investments LLC boosted its stake in Darden Restaurants by 14.4% in the third quarter. Severin Investments LLC now owns 2,141 shares of the restaurant operator’s stock valued at $408,000 after acquiring an additional 269 shares during the last quarter. Finally, Allworth Financial LP grew its position in shares of Darden Restaurants by 3.8% during the 3rd quarter. Allworth Financial LP now owns 3,948 shares of the restaurant operator’s stock valued at $751,000 after acquiring an additional 144 shares during the period. 93.64% of the stock is owned by hedge funds and other institutional investors.

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.