Zacks Research Issues Optimistic Estimate for DRI Earnings

Darden Restaurants, Inc. (NYSE:DRI) – Research analysts at Zacks Research boosted their Q3 2025 earnings estimates for Darden Restaurants in a research report issued to clients and investors on Thursday, January 2nd. Zacks Research analyst M. Kaushik now anticipates that the restaurant operator will earn $2.82 per share for the quarter, up from their previous estimate of $2.80. The consensus estimate for Darden Restaurants’ current full-year earnings is $9.47 per share. Zacks Research also issued estimates for Darden Restaurants’ Q2 2026 earnings at $2.12 EPS, Q3 2026 earnings at $2.97 EPS, Q4 2026 earnings at $3.32 EPS, FY2026 earnings at $10.32 EPS and FY2027 earnings at $11.27 EPS.

DRI has been the topic of a number of other reports. BTIG Research raised their price target on Darden Restaurants from $175.00 to $195.00 and gave the company a “buy” rating in a report on Friday, September 20th. BMO Capital Markets raised their target price on Darden Restaurants from $165.00 to $175.00 and gave the company a “market perform” rating in a research note on Friday, December 20th. Stephens upped their price target on shares of Darden Restaurants from $164.00 to $175.00 and gave the company an “equal weight” rating in a report on Friday, December 20th. Morgan Stanley lifted their price target on Darden Restaurants from $193.00 to $209.00 and gave the stock an “overweight” rating in a research note on Monday, December 23rd. Finally, TD Cowen reaffirmed a “hold” rating and set a $150.00 price objective on shares of Darden Restaurants in a research note on Thursday, September 19th. One research analyst has rated the stock with a sell rating, eight have given a hold rating and sixteen have assigned a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $187.44.

Darden Restaurants Stock Down 2.1 %

DRI opened at $183.69 on Monday. The stock’s 50 day moving average price is $172.30 and its 200 day moving average price is $160.19. The company has a debt-to-equity ratio of 0.65, a current ratio of 0.35 and a quick ratio of 0.22. The stock has a market cap of $21.58 billion, a P/E ratio of 21.19, a P/E/G ratio of 1.90 and a beta of 1.31. Darden Restaurants has a 12 month low of $135.87 and a 12 month high of $189.18.

Darden Restaurants (NYSE:DRI) last posted its earnings results on Thursday, December 19th. The restaurant operator reported $2.03 EPS for the quarter, hitting the consensus estimate of $2.03. The firm had revenue of $2.89 billion during the quarter, compared to analysts’ expectations of $2.87 billion. Darden Restaurants had a net margin of 9.11% and a return on equity of 49.46%. Darden Restaurants’s quarterly revenue was up 6.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $1.84 EPS.

Institutional Trading of Darden Restaurants

Several institutional investors have recently made changes to their positions in DRI. Mizuho Securities USA LLC boosted its stake in Darden Restaurants by 96,162.9% in the 3rd quarter. Mizuho Securities USA LLC now owns 8,861,000 shares of the restaurant operator’s stock valued at $1,454,356,000 after buying an additional 8,851,795 shares in the last quarter. Massachusetts Financial Services Co. MA lifted its holdings in Darden Restaurants by 111.0% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 1,469,083 shares of the restaurant operator’s stock valued at $241,121,000 after purchasing an additional 772,907 shares during the last quarter. International Assets Investment Management LLC boosted its position in Darden Restaurants by 16,996.9% in the third quarter. International Assets Investment Management LLC now owns 377,500 shares of the restaurant operator’s stock valued at $61,959,000 after buying an additional 375,292 shares in the last quarter. Healthcare of Ontario Pension Plan Trust Fund acquired a new position in Darden Restaurants in the third quarter worth $40,048,000. Finally, Toronto Dominion Bank grew its holdings in shares of Darden Restaurants by 139.9% during the second quarter. Toronto Dominion Bank now owns 352,344 shares of the restaurant operator’s stock worth $53,317,000 after purchasing an additional 205,450 shares during the last quarter. 93.64% of the stock is currently owned by institutional investors and hedge funds.

Insiders Place Their Bets

In other Darden Restaurants news, CFO Rajesh Vennam sold 7,228 shares of the company’s stock in a transaction that occurred on Monday, December 23rd. The stock was sold at an average price of $181.71, for a total value of $1,313,399.88. Following the completion of the transaction, the chief financial officer now owns 10,262 shares of the company’s stock, valued at $1,864,708.02. This represents a 41.33 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available at this link. Company insiders own 0.58% of the company’s stock.

Darden Restaurants Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, February 3rd. Shareholders of record on Friday, January 10th will be given a $1.40 dividend. This represents a $5.60 annualized dividend and a yield of 3.05%. The ex-dividend date is Friday, January 10th. Darden Restaurants’s dividend payout ratio is currently 64.15%.

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.