Stephens Reaffirms “Equal Weight” Rating for Darden Restaurants (NYSE:DRI)

Posted by Brenda Bartman on Sep 25th, 2026

Darden Restaurants (NYSE:DRI – Get Free Report)‘s stock had its “equal weight” rating reissued by equities research analysts at Stephens in a research note issued on Friday, Benzinga reports. They presently have a $220.00 price objective on the restaurant operator’s stock. Stephens’ price objective points to a potential upside of 10.10% from the company’s current price.

A number of other equities analysts have also issued reports on the company. Guggenheim increased their price objective on Darden Restaurants from $230.00 to $235.00 and gave the stock a “buy” rating in a report on Wednesday, June 24th. UBS Group reaffirmed a “buy” rating on shares of Darden Restaurants in a research note on Friday, September 11th. TD Cowen reaffirmed a “hold” rating and set a $215.00 price target on shares of Darden Restaurants in a research note on Thursday. Bank of America increased their price target on Darden Restaurants from $272.00 to $276.00 and gave the company a “buy” rating in a research note on Friday, June 5th. Finally, Robert W. Baird upgraded Darden Restaurants from a “neutral” rating to an “outperform” rating and increased their price objective for the company from $220.00 to $250.00 in a research report on Monday, August 24th. Eighteen investment analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat, Darden Restaurants has an average rating of “Moderate Buy” and a consensus target price of $232.38.

Check Out Our Latest Stock Analysis on DRI

Darden Restaurants Stock Down 3.6%

NYSE DRI traded down $7.43 on Friday, hitting $199.81. 933,894 shares of the stock traded hands, compared to its average volume of 1,338,813. The stock has a 50-day moving average of $212.01 and a 200 day moving average of $204.76. Darden Restaurants has a twelve month low of $169.00 and a twelve month high of $229.76. The company has a market capitalization of $22.79 billion, a P/E ratio of 19.25, a price-to-earnings-growth ratio of 2.01 and a beta of 0.60. The company has a current ratio of 0.31, a quick ratio of 0.21 and a debt-to-equity ratio of 0.74.

Darden Restaurants (NYSE:DRI – Get Free Report) last posted its earnings results on Thursday, September 24th. The restaurant operator reported $2.05 EPS for the quarter, meeting the consensus estimate of $2.05. The company had revenue of $3.20 billion during the quarter, compared to analyst estimates of $3.21 billion. Darden Restaurants had a return on equity of 57.44% and a net margin of 9.13%.The business’s revenue was up 5.1% compared to the same quarter last year. During the same period in the prior year, the company earned $1.97 earnings per share. Darden Restaurants has set its FY 2027 guidance at 11.100-11.350 EPS. As a group, analysts expect that Darden Restaurants will post 11.26 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Rajesh Vennam sold 8,478 shares of the firm’s stock in a transaction dated Wednesday, July 29th. The stock was sold at an average price of $210.00, for a total value of $1,780,380.00. Following the sale, the chief financial officer directly owned 8,569 shares of the company’s stock, valued at approximately $1,799,490. This trade represents a 49.73% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Laura B. Williamson sold 1,110 shares of the firm’s stock in a transaction dated Friday, July 31st. The shares were sold at an average price of $204.32, for a total value of $226,795.20. Following the completion of the sale, the insider directly owned 10,754 shares in the company, valued at approximately $2,197,257.28. This represents a 9.36% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 70,185 shares of company stock valued at $14,636,984. Corporate insiders own 0.67% of the company’s stock.

Institutional Investors Weigh In On Darden Restaurants

Several hedge funds have recently made changes to their positions in DRI. QRG Capital Management Inc. lifted its stake in shares of Darden Restaurants by 881.2% in the second quarter. QRG Capital Management Inc. now owns 47,136 shares of the restaurant operator’s stock valued at $9,710,000 after buying an additional 42,332 shares during the period. Envestnet Portfolio Solutions Inc. lifted its stake in Darden Restaurants by 118.1% during the second quarter. Envestnet Portfolio Solutions Inc. now owns 6,122 shares of the restaurant operator’s stock worth $1,261,000 after purchasing an additional 3,315 shares during the period. Tidal Investments LLC lifted its stake in Darden Restaurants by 34.9% during the second quarter. Tidal Investments LLC now owns 26,408 shares of the restaurant operator’s stock worth $5,440,000 after purchasing an additional 6,830 shares during the period. National Pension Service lifted its stake in Darden Restaurants by 637.5% during the second quarter. National Pension Service now owns 249,346 shares of the restaurant operator’s stock worth $51,368,000 after purchasing an additional 215,537 shares during the period. Finally, WINTON GROUP Ltd bought a new position in Darden Restaurants during the second quarter worth about $1,355,000. Institutional investors own 93.64% of the company’s stock.

Key Headlines Impacting Darden Restaurants

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

Positive Sentiment: Darden reported revenue of $3.20 billion, up 5.1% year over year, while blended same-restaurant sales increased 3.1%. LongHorn Steakhouse and Yard House were key outperformers, helping offset more modest Olive Garden growth. Darden revenue rises but misses estimates in fiscal first quarter
Positive Sentiment: Management reaffirmed fiscal 2027 adjusted EPS guidance of $11.10–$11.35 and maintained its broader outlook, suggesting the company views the earnings shortfall as manageable. Darden fiscal 2027 first-quarter results
Positive Sentiment: Darden declared a quarterly dividend of $1.62 per share, equivalent to $6.48 annually and an approximately 3.1% yield. Analysts at Mizuho, Citi, Guggenheim, BTIG and Bernstein retained positive ratings, with targets generally above the current trading level.
Neutral Sentiment: Shareholders approved the board and maintained the company’s existing governance structure, removing a potential source of uncertainty but providing little immediate earnings impact. Darden shareholders back board and governance status quo
Negative Sentiment: Quarterly revenue of $3.20 billion fell short of the roughly $3.21 billion consensus estimate, while adjusted EPS of $2.05 was at best in line and slightly below some estimates. Darden stock falls as Olive Garden reports slower growth
Negative Sentiment: Net income declined to $233.4 million from $257.8 million a year earlier as food, labor and other operating expenses pressured margins. Olive Garden same-restaurant sales rose only 1.1%, raising concerns about consumer traffic and the company’s largest brand. Darden profit slips on higher expenses
Negative Sentiment: Some analysts characterized DRI as fairly valued, with underwhelming growth prospects amid macroeconomic and inflationary pressures. BMO lowered its target to $220 and Stephens maintained an equal-weight view, limiting the market’s enthusiasm despite the broader analyst support.

Darden Restaurants Company Profile

(Get Free Report)

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.