BMO Capital Markets Cuts Darden Restaurants (NYSE:DRI) Price Target to $220.00

Darden Restaurants (NYSE:DRI) had its price target lowered by stock analysts at BMO Capital Markets from $225.00 to $220.00 in a research report issued to clients and investors on Friday, MarketBeat Ratings reports. The firm currently has a “market perform” rating on the restaurant operator’s stock. BMO Capital Markets’ price objective suggests a potential upside of 11.82% from the stock’s previous close.

A number of other equities analysts also recently commented on DRI. Deutsche Bank Aktiengesellschaft boosted their target price on shares of Darden Restaurants from $230.00 to $236.00 and gave the stock a “buy” rating in a report on Friday, June 26th. KeyCorp reaffirmed an “overweight” rating on shares of Darden Restaurants in a report on Wednesday, September 23rd. BTIG Research reaffirmed a “buy” rating and set a $235.00 price target on shares of Darden Restaurants in a research report on Friday. Weiss Ratings upgraded Darden Restaurants from a “buy (b-)” rating to a “buy (b)” rating in a report on Thursday, September 17th. Finally, TD Cowen reaffirmed a “hold” rating and set a $215.00 target price on shares of Darden Restaurants in a research report on Thursday. Eighteen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus target price of $232.38.

Darden Restaurants Trading Down 1.5%

Darden Restaurants stock traded down $3.01 during midday trading on Friday, reaching $196.74. The stock had a trading volume of 579,839 shares, compared to its average volume of 1,340,081. The firm has a market cap of $22.44 billion, a price-to-earnings ratio of 19.23, a price-to-earnings-growth ratio of 1.88 and a beta of 0.60. The company has a fifty day moving average of $212.04 and a 200 day moving average of $204.74. Darden Restaurants has a 52-week low of $169.00 and a 52-week high of $229.76. The company has a quick ratio of 0.20, a current ratio of 0.30 and a debt-to-equity ratio of 0.79.

Darden Restaurants (NYSE:DRI) last issued its earnings results on Thursday, September 24th. The restaurant operator reported $2.05 EPS for the quarter, hitting analysts’ consensus estimates of $2.05. The business had revenue of $3.20 billion for the quarter, compared to the consensus estimate of $3.21 billion. Darden Restaurants had a net margin of 8.85% and a return on equity of 58.64%. The company’s revenue for the quarter was up 5.1% compared to the same quarter last year. During the same period in the prior year, the firm earned $1.97 EPS. Darden Restaurants has set its FY 2027 guidance at 11.100-11.350 EPS. On average, analysts anticipate that Darden Restaurants will post 11.25 earnings per share for the current fiscal year.

Insiders Place Their Bets

In related news, insider John Wilkerson sold 8,864 shares of the business’s stock in a transaction on Wednesday, August 5th. The shares were sold at an average price of $208.33, for a total value of $1,846,637.12. Following the completion of the sale, the insider owned 18,794 shares of the company’s stock, valued at approximately $3,915,354.02. The trade was a 32.05% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, insider Laura Williamson sold 1,110 shares of the stock in a transaction that occurred on Friday, July 31st. The shares were sold at an average price of $204.32, for a total value of $226,795.20. Following the transaction, the insider directly owned 10,754 shares of the company’s stock, valued at $2,197,257.28. The trade was a 9.36% decrease in their position. The SEC filing for this sale provides additional information. In the last 90 days, insiders have sold 70,185 shares of company stock valued at $14,636,984. Insiders own 0.67% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of DRI. Nicholas Investment Partners LP purchased a new position in Darden Restaurants during the 2nd quarter valued at about $923,000. Empowered Funds LLC purchased a new stake in Darden Restaurants during the 2nd quarter worth about $3,313,000. BNP Paribas Financial Markets boosted its holdings in Darden Restaurants by 22.3% in the fourth quarter. BNP Paribas Financial Markets now owns 293,895 shares of the restaurant operator’s stock valued at $54,083,000 after purchasing an additional 53,549 shares in the last quarter. Eurizon Capital SGR S.p.A. acquired a new stake in Darden Restaurants during the 4th quarter worth $44,190,000. Finally, Canada Pension Plan Investment Board purchased a new stake in shares of Darden Restaurants in the 2nd quarter valued at about $661,000. Institutional investors and hedge funds own 93.64% of the company’s stock.

About Darden Restaurants

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.