Darden Restaurants Sees Unusually Large Options Volume (NYSE:DRI)

Darden Restaurants, Inc. (NYSE:DRI) was the recipient of unusually large options trading on Thursday. Stock traders acquired 3,025 put options on the company. This is an increase of approximately 50% compared to the typical volume of 2,011 put options.

Insider Buying and Selling at Darden Restaurants

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

Hedge Funds Weigh In On Darden Restaurants

Large investors have recently modified their holdings of the stock. Twin Peaks Wealth Advisors LLC acquired a new position in Darden Restaurants in the 2nd quarter valued at about $26,000. Quent Capital LLC acquired a new stake in Darden Restaurants during the third quarter worth approximately $27,000. True Wealth Design LLC boosted its holdings in shares of Darden Restaurants by 419.2% during the second 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 period. Elevation Point Wealth Partners LLC acquired a new position in shares of Darden Restaurants in the second quarter valued at approximately $29,000. Finally, Ameriflex Group Inc. acquired a new position in shares of Darden Restaurants in the third quarter valued at approximately $35,000. 93.64% of the stock is owned by institutional investors.

Darden Restaurants Price Performance

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

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

Darden Restaurants Announces Dividend

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

Wall Street Analyst Weigh In

A number of research firms recently weighed in on DRI. Barclays decreased their target price on shares of Darden Restaurants from $255.00 to $230.00 and set an “overweight” rating for the company in a research report on Friday, September 19th. Evercore ISI restated an “outperform” rating on shares of Darden Restaurants in a research note on Friday. Deutsche Bank Aktiengesellschaft decreased their price objective on Darden Restaurants from $239.00 to $220.00 and set a “buy” rating for the company in a report on Friday, September 19th. Bank of America increased their price target on Darden Restaurants from $253.00 to $254.00 and gave the company a “buy” rating in a research report on Tuesday, September 16th. Finally, Weiss Ratings restated a “hold (c+)” rating on shares of Darden Restaurants in a research note on Monday. Nineteen equities research analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company’s stock. According to data from MarketBeat.com, Darden Restaurants currently has an average rating of “Moderate Buy” and a consensus price target of $223.39.

Key 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.