Darden Restaurants (NYSE:DRI) Reaches New 52-Week High – What’s Next?

Darden Restaurants, Inc. (NYSE:DRI)’s share price hit a new 52-week high during mid-day trading on Monday . The stock traded as high as $203.09 and last traded at $200.13, with a volume of 69852 shares. The stock had previously closed at $200.46.

Wall Street Analyst Weigh In

Several research analysts recently commented on DRI shares. Morgan Stanley lifted their target price on shares of Darden Restaurants from $193.00 to $209.00 and gave the stock an “overweight” rating in a research note on Monday, December 23rd. Wedbush upped their price objective on shares of Darden Restaurants from $200.00 to $220.00 and gave the company an “outperform” rating in a research note on Friday, December 20th. Truist Financial boosted their price target on Darden Restaurants from $195.00 to $200.00 and gave the company a “buy” rating in a report on Friday, December 20th. The Goldman Sachs Group started coverage on Darden Restaurants in a research report on Thursday, December 5th. They set a “neutral” rating and a $183.00 price target for the company. Finally, Oppenheimer lifted their price objective on Darden Restaurants from $200.00 to $218.00 and gave the stock an “outperform” rating in a research report on Tuesday, January 7th. One analyst has rated the stock with a sell rating, seven have issued a hold rating and seventeen have assigned a buy rating to the company’s stock. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $192.52.

Darden Restaurants Stock Performance

The company has a debt-to-equity ratio of 1.02, a current ratio of 0.37 and a quick ratio of 0.23. The business has a 50 day moving average price of $190.60 and a 200 day moving average price of $173.63. The stock has a market capitalization of $22.83 billion, a PE ratio of 22.32, a PEG ratio of 2.15 and a beta of 1.31.

Darden Restaurants (NYSE:DRI) last announced its quarterly earnings data on Thursday, December 19th. The restaurant operator reported $2.03 EPS for the quarter, meeting the consensus estimate of $2.03. The company had revenue of $2.89 billion for the quarter, compared to the consensus estimate of $2.87 billion. Darden Restaurants had a net margin of 9.01% and a return on equity of 50.12%. Darden Restaurants’s revenue for the quarter was up 6.0% on a year-over-year basis. During the same period in the prior year, the firm posted $1.84 EPS. As a group, equities research analysts expect that Darden Restaurants, Inc. will post 9.52 earnings per share for the current year.

Darden Restaurants Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, February 3rd. Investors of record on Friday, January 10th were given a $1.40 dividend. The ex-dividend date was Friday, January 10th. This represents a $5.60 annualized dividend and a yield of 2.87%. Darden Restaurants’s dividend payout ratio (DPR) is presently 64.15%.

Insider Buying and Selling at Darden Restaurants

In other news, insider Todd Burrowes sold 15,783 shares of the firm’s stock in a transaction dated Tuesday, January 14th. The shares were sold at an average price of $183.03, for a total transaction of $2,888,762.49. Following the sale, the insider now owns 46,288 shares of the company’s stock, valued at $8,472,092.64. This trade represents a 25.43 % decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CFO Rajesh Vennam sold 7,228 shares of the business’s stock in a transaction that occurred on Monday, December 23rd. The shares were sold at an average price of $181.71, for a total transaction of $1,313,399.88. Following the transaction, the chief financial officer now directly owns 10,262 shares of the company’s stock, valued at $1,864,708.02. The trade was a 41.33 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 52,926 shares of company stock worth $9,850,129. Insiders own 0.58% of the company’s stock.

Institutional Investors Weigh In On Darden Restaurants

Several institutional investors and hedge funds have recently added to or reduced their stakes in DRI. Universal Beteiligungs und Servicegesellschaft mbH purchased a new position in shares of Darden Restaurants in the 4th quarter worth $15,175,000. Brooklyn FI LLC purchased a new position in Darden Restaurants in the fourth quarter worth about $701,000. LM Advisors LLC purchased a new position in Darden Restaurants in the fourth quarter worth about $1,133,000. Integrated Advisors Network LLC bought a new stake in shares of Darden Restaurants during the 4th quarter valued at about $224,000. Finally, Hall Capital Management Co. Inc. purchased a new stake in shares of Darden Restaurants during the 4th quarter valued at about $299,000. Hedge funds and other institutional investors own 93.64% 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.