Mezzasalma Advisors LLC Sells 4,591 Shares of Darden Restaurants, Inc. (NYSE:DRI)

Mezzasalma Advisors LLC trimmed its position in shares of Darden Restaurants, Inc. (NYSE:DRI) by 39.2% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 7,112 shares of the restaurant operator’s stock after selling 4,591 shares during the period. Mezzasalma Advisors LLC’s holdings in Darden Restaurants were worth $1,189,000 as of its most recent filing with the Securities and Exchange Commission.

Other large investors have also bought and sold shares of the company. Prime Capital Investment Advisors LLC grew its stake in shares of Darden Restaurants by 19.7% during the 4th quarter. Prime Capital Investment Advisors LLC now owns 2,789 shares of the restaurant operator’s stock worth $458,000 after acquiring an additional 459 shares during the period. International Assets Investment Management LLC purchased a new stake in shares of Darden Restaurants during the 4th quarter valued at approximately $17,202,000. Peddock Capital Advisors LLC boosted its holdings in Darden Restaurants by 1.1% in the 4th quarter. Peddock Capital Advisors LLC now owns 18,095 shares of the restaurant operator’s stock worth $2,973,000 after buying an additional 197 shares during the period. Cibc World Markets Corp grew its stake in Darden Restaurants by 39.7% in the 4th quarter. Cibc World Markets Corp now owns 30,344 shares of the restaurant operator’s stock valued at $4,986,000 after buying an additional 8,619 shares in the last quarter. Finally, Dimensional Fund Advisors LP raised its holdings in Darden Restaurants by 7.2% during the 4th quarter. Dimensional Fund Advisors LP now owns 968,029 shares of the restaurant operator’s stock valued at $159,047,000 after acquiring an additional 65,223 shares during the period. 93.64% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other news, Director William S. Simon sold 1,219 shares of the stock in a transaction that occurred on Monday, April 8th. The stock was sold at an average price of $158.21, for a total transaction of $192,857.99. Following the completion of the sale, the director now owns 6,281 shares of the company’s stock, valued at $993,717.01. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. In related news, SVP Matthew R. Broad sold 4,707 shares of the firm’s stock in a transaction dated Thursday, April 25th. The stock was sold at an average price of $156.15, for a total value of $734,998.05. Following the sale, the senior vice president now directly owns 19,179 shares of the company’s stock, valued at $2,994,800.85. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director William S. Simon sold 1,219 shares of the company’s stock in a transaction that occurred on Monday, April 8th. The shares were sold at an average price of $158.21, for a total value of $192,857.99. Following the transaction, the director now directly owns 6,281 shares of the company’s stock, valued at approximately $993,717.01. The disclosure for this sale can be found here. Insiders own 0.85% of the company’s stock.

Darden Restaurants Price Performance

Shares of DRI stock traded down $1.35 during trading hours on Thursday, hitting $145.42. 603,932 shares of the company’s stock were exchanged, compared to its average volume of 1,335,329. Darden Restaurants, Inc. has a 12-month low of $133.36 and a 12-month high of $176.84. The company has a market capitalization of $17.36 billion, a PE ratio of 17.07, a PEG ratio of 1.68 and a beta of 1.29. The business’s 50 day simple moving average is $149.88 and its 200-day simple moving average is $158.92. The company has a current ratio of 0.38, a quick ratio of 0.24 and a debt-to-equity ratio of 0.61.

Darden Restaurants (NYSE:DRI) last issued its earnings results on Thursday, June 20th. The restaurant operator reported $2.65 EPS for the quarter, topping analysts’ consensus estimates of $2.61 by $0.04. Darden Restaurants had a net margin of 9.02% and a return on equity of 49.82%. The company had revenue of $3 billion for the quarter, compared to analysts’ expectations of $2.97 billion. During the same quarter last year, the company earned $2.58 EPS. The firm’s revenue was up 8.3% compared to the same quarter last year. On average, equities research analysts anticipate that Darden Restaurants, Inc. will post 9.5 earnings per share for the current year.

Darden Restaurants declared that its Board of Directors has approved a stock buyback program on Thursday, March 21st that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the restaurant operator to purchase up to 5% of its stock through open market purchases. Stock repurchase programs are often a sign that the company’s management believes its shares are undervalued.

Darden Restaurants Cuts Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, August 15th. Investors of record on Thursday, July 11th will be given a dividend of $1.29 per share. The ex-dividend date of this dividend is Wednesday, July 10th. This represents a $5.16 annualized dividend and a yield of 3.55%. Darden Restaurants’s payout ratio is 61.50%.

Wall Street Analyst Weigh In

Several equities analysts have recently weighed in on DRI shares. JPMorgan Chase & Co. reduced their price target on Darden Restaurants from $176.00 to $165.00 and set an “overweight” rating for the company in a research report on Tuesday, May 28th. Guggenheim upped their price target on Darden Restaurants from $180.00 to $185.00 and gave the company a “buy” rating in a research report on Tuesday, March 19th. Morgan Stanley reissued an “overweight” rating and issued a $175.00 price target on shares of Darden Restaurants in a report on Friday, June 21st. Stephens reaffirmed an “equal weight” rating and set a $165.00 price objective on shares of Darden Restaurants in a research note on Thursday, June 20th. Finally, Truist Financial reiterated a “buy” rating and issued a $190.00 target price on shares of Darden Restaurants in a research note on Friday, March 22nd. Five investment analysts have rated the stock with a hold rating and seventeen have assigned a buy rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $174.24.

About Darden Restaurants

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.