Darden Restaurants (NYSE:DRI) Releases Earnings Results

Darden Restaurants (NYSE:DRI) issued its quarterly earnings results on Thursday. The restaurant operator reported $2.05 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $2.05, Zacks reports. Darden Restaurants had a return on equity of 57.44% and a net margin of 9.13%. Darden Restaurants updated its FY 2027 guidance to 11.100-11.350 EPS.

Darden Restaurants Price Performance

Shares of NYSE:DRI opened at $213.46 on Thursday. The company has a 50-day simple moving average of $211.90 and a 200-day simple moving average of $204.73. Darden Restaurants has a one year low of $169.00 and a one year high of $229.76. The company has a debt-to-equity ratio of 0.74, a quick ratio of 0.21 and a current ratio of 0.31. The stock has a market capitalization of $24.35 billion, a price-to-earnings ratio of 20.56, a PEG ratio of 2.01 and a beta of 0.60.

More Darden Restaurants News

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

• Positive Sentiment: Darden reported fiscal 2027 first-quarter results, declared its quarterly dividend and reaffirmed its full-year outlook. The combination of ongoing profitability and shareholder returns provides reassurance ahead of the company’s broader fiscal-year performance. Darden Restaurants Reports Fiscal 2027 First Quarter Results
• Positive Sentiment: Bank of America raised its estimate for LongHorn’s first-quarter same-store sales growth to 6.5% from 4.2%, citing sustained market-share gains and stronger category trends. This suggests LongHorn remains a key growth engine for Darden. Darden sales momentum strengthens despite casual-dining slowdown
• Neutral Sentiment: Darden updated fiscal 2027 EPS guidance to $11.10–$11.35, compared with the $11.28 consensus estimate. The range broadly brackets expectations, but its $11.225 midpoint is slightly below consensus, limiting the upside surprise.
• Neutral Sentiment: The stock had already been trading above both its 50-day and 200-day moving averages, indicating relatively strong momentum but also leaving investors focused on whether the earnings report and outlook justify its valuation.
• Negative Sentiment: Analysts lowered their Olive Garden expectations amid a broader casual-dining slowdown. Since Olive Garden is a major Darden brand, weaker performance there could offset LongHorn’s market-share gains. Darden sales momentum strengthens despite casual-dining slowdown

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on DRI shares. UBS Group restated a “buy” rating on shares of Darden Restaurants in a research report on Friday, September 11th. Deutsche Bank Aktiengesellschaft boosted their price target on shares of Darden Restaurants from $230.00 to $236.00 and gave the company a “buy” rating in a research report on Friday, June 26th. Piper Sandler raised their price target on shares of Darden Restaurants from $208.00 to $212.00 and gave the stock a “neutral” rating in a report on Friday, June 26th. Morgan Stanley increased their price objective on Darden Restaurants from $236.00 to $255.00 and gave the stock an “overweight” rating in a research report on Monday, September 14th. Finally, BMO Capital Markets reaffirmed a “market perform” rating on shares of Darden Restaurants in a research report on Monday, June 22nd. Eighteen research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $232.09.

Insider Transactions at Darden Restaurants

In related news, CEO Ricardo Cardenas sold 39,134 shares of the stock in a transaction on Tuesday, July 28th. The stock was sold at an average price of $209.06, for a total transaction of $8,181,354.04. Following the completion of the sale, the chief executive officer directly owned 86,146 shares of the company’s stock, valued at $18,009,682.76. This trade represents a 31.24% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, CFO Rajesh Vennam sold 8,478 shares of the company’s stock in a transaction on Wednesday, July 29th. The stock was sold at an average price of $210.00, for a total transaction of $1,780,380.00. Following the transaction, the chief financial officer owned 8,569 shares of the company’s stock, valued at approximately $1,799,490. The trade was a 49.73% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 70,185 shares of company stock worth $14,636,984 over the last three months. 0.67% of the stock is currently owned by company insiders.

Darden Restaurants Company Profile

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.