Citigroup Forecasts Strong Price Appreciation for Darden Restaurants (NYSE:DRI) Stock

Darden Restaurants (NYSE:DRI - Get Free Report) had its price objective boosted by equities researchers at Citigroup from $223.00 to $229.00 in a research report issued to clients and investors on Friday,Benzinga reports. The firm currently has a "buy" rating on the restaurant operator's stock. Citigroup's price target would suggest a potential upside of 10.68% from the company's previous close.

DRI has been the subject of a number of other reports. The Goldman Sachs Group initiated coverage on shares of Darden Restaurants in a research report on Thursday, December 5th. They set a "neutral" rating and a $183.00 price target for the company. Bank of America boosted their target price on Darden Restaurants from $230.00 to $238.00 and gave the company a "buy" rating in a research report on Friday. TD Securities raised their price target on Darden Restaurants from $180.00 to $190.00 and gave the stock a "hold" rating in a research report on Friday. Truist Financial lifted their price objective on Darden Restaurants from $200.00 to $212.00 and gave the company a "buy" rating in a research note on Monday, March 17th. Finally, Morgan Stanley raised their target price on Darden Restaurants from $209.00 to $217.00 and gave the company an "overweight" rating in a report on Friday. One equities research analyst has rated the stock with a sell rating, eight have issued a hold rating and seventeen have assigned a buy rating to the company. According to data from MarketBeat.com, Darden Restaurants presently has a consensus rating of "Moderate Buy" and a consensus target price of $202.08.

Remove Ads

Darden Restaurants Stock Performance

DRI stock traded down $1.65 during midday trading on Friday, hitting $206.91. 497,269 shares of the stock traded hands, compared to its average volume of 1,246,882. The stock's fifty day simple moving average is $192.60 and its 200-day simple moving average is $177.21. The company has a debt-to-equity ratio of 1.02, a current ratio of 0.37 and a quick ratio of 0.23. Darden Restaurants has a 1-year low of $135.87 and a 1-year high of $210.47. The firm has a market cap of $24.24 billion, a P/E ratio of 23.72, a PEG ratio of 2.15 and a beta of 1.27.

Darden Restaurants (NYSE:DRI - Get Free Report) last posted its quarterly earnings data on Thursday, March 20th. The restaurant operator reported $2.80 earnings per share (EPS) for the quarter, meeting the consensus estimate of $2.80. Darden Restaurants had a net margin of 9.01% and a return on equity of 50.12%. The business had revenue of $3.16 billion for the quarter, compared to the consensus estimate of $3.22 billion. During the same period last year, the firm posted $2.60 earnings per share. The company's revenue was up 6.2% compared to the same quarter last year. On average, analysts expect that Darden Restaurants will post 9.52 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Todd Burrowes sold 15,783 shares of the stock in a transaction that occurred on 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 in the company, valued at approximately $8,472,092.64. This trade represents a 25.43 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, SVP Susan M. Connelly sold 9,264 shares of Darden Restaurants stock in a transaction dated Monday, January 6th. The shares were sold at an average price of $184.68, for a total value of $1,710,875.52. Following the completion of the transaction, the senior vice president now owns 4,567 shares in the company, valued at approximately $843,433.56. This represents a 66.98 % decrease in their position. The disclosure for this sale can be found here. In the last 90 days, insiders sold 45,698 shares of company stock valued at $8,536,729. Company insiders own 0.58% of the company's stock.

Institutional Investors Weigh In On Darden Restaurants

Several hedge funds have recently added to or reduced their stakes in the business. Kestra Investment Management LLC bought a new position in Darden Restaurants during the 4th quarter worth $25,000. Compass Wealth Management LLC bought a new position in shares of Darden Restaurants during the fourth quarter worth about $28,000. TCTC Holdings LLC acquired a new position in shares of Darden Restaurants in the fourth quarter worth approximately $28,000. MCF Advisors LLC boosted its holdings in Darden Restaurants by 50.9% in the fourth quarter. MCF Advisors LLC now owns 175 shares of the restaurant operator's stock valued at $33,000 after acquiring an additional 59 shares during the last quarter. Finally, HHM Wealth Advisors LLC increased its position in Darden Restaurants by 103.2% during the 4th quarter. HHM Wealth Advisors LLC now owns 254 shares of the restaurant operator's stock valued at $47,000 after purchasing an additional 129 shares during the period. 93.64% of the stock is currently owned by institutional investors and hedge funds.

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.