Darden Restaurants (NYSE:DRI) Issues FY 2025 Earnings Guidance

Darden Restaurants (NYSE:DRI) updated its FY 2025 earnings guidance on Thursday. The company provided EPS guidance of 9.400-9.600 for the period, compared to the consensus EPS estimate of 9.440. The company issued revenue guidance of $12.1 billion-$12.1 billion, compared to the consensus revenue estimate of $12.1 billion.

Analysts Set New Price Targets

A number of research analysts have weighed in on the stock. BMO Capital Markets reduced their price target on shares of Darden Restaurants from $175.00 to $165.00 and set a “market perform” rating on the stock in a research report on Tuesday, December 10th. JPMorgan Chase & Co. lifted their target price on shares of Darden Restaurants from $165.00 to $176.00 and gave the company an “overweight” rating in a report on Friday, September 20th. Truist Financial increased their price target on Darden Restaurants from $185.00 to $195.00 and gave the company a “buy” rating in a report on Friday, September 20th. TD Cowen reiterated a “hold” rating and issued a $150.00 target price on shares of Darden Restaurants in a research note on Thursday, September 19th. Finally, UBS Group boosted their price target on Darden Restaurants from $188.00 to $195.00 and gave the stock a “buy” rating in a research report on Friday, September 20th. One equities research analyst has rated the stock with a sell rating, eight have given a hold rating and sixteen have issued a buy rating to the company. According to data from MarketBeat.com, Darden Restaurants presently has an average rating of “Moderate Buy” and an average price target of $180.46.

Darden Restaurants Stock Down 3.4 %

DRI stock opened at $159.87 on Thursday. The firm has a market cap of $18.78 billion, a price-to-earnings ratio of 18.44, a PEG ratio of 1.90 and a beta of 1.31. Darden Restaurants has a 1-year low of $135.87 and a 1-year high of $177.67. The firm has a fifty day moving average price of $165.70 and a two-hundred day moving average price of $156.81. The company has a debt-to-equity ratio of 0.65, a current ratio of 0.35 and a quick ratio of 0.22.

Darden Restaurants (NYSE:DRI) last announced its quarterly earnings data on Thursday, September 19th. The restaurant operator reported $1.75 earnings per share for the quarter, missing analysts’ consensus estimates of $1.83 by ($0.08). Darden Restaurants had a net margin of 9.11% and a return on equity of 49.46%. The business had revenue of $2.76 billion for the quarter, compared to the consensus estimate of $2.80 billion. During the same period in the prior year, the company earned $1.78 EPS. Darden Restaurants’s quarterly revenue was up 1.0% on a year-over-year basis. Research analysts predict that Darden Restaurants will post 9.47 EPS for the current year.

Darden Restaurants Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, February 3rd. Stockholders of record on Friday, January 10th will be given a dividend of $1.40 per share. This represents a $5.60 dividend on an annualized basis and a dividend yield of 3.50%. Darden Restaurants’s payout ratio is 64.59%.

Insider Buying and Selling

In related news, insider Laura B. Williamson sold 1,666 shares of the stock in a transaction that occurred on Monday, September 23rd. The stock was sold at an average price of $172.00, for a total value of $286,552.00. Following the completion of the transaction, the insider now directly owns 5,334 shares of the company’s stock, valued at $917,448. This represents a 23.80 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. Also, SVP Douglas J. Milanes sold 5,705 shares of the firm’s stock in a transaction that occurred on Monday, September 23rd. The shares were sold at an average price of $172.04, for a total value of $981,488.20. Following the completion of the sale, the senior vice president now owns 3,834 shares in the company, valued at approximately $659,601.36. This represents a 59.81 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 59,265 shares of company stock valued at $10,116,030. Insiders own 0.58% of the company’s stock.

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.