(DRI) Darden Restaurants - Ratings and Ratios
ItalianFood, Steak, Seafood, AmericanCuisine, FineDining
DRI EPS (Earnings per Share)
DRI Revenue
Description: DRI Darden Restaurants
Darden Restaurants, Inc. is a leading operator of full-service restaurants in the United States and Canada, boasting a diverse portfolio of renowned brands including Olive Garden, LongHorn Steakhouse, and The Capital Grille. With a history dating back to 1968, the company has established itself as a prominent player in the casual dining sector.
From a financial perspective, Darden Restaurants has demonstrated robust performance, with a market capitalization of approximately $25.7 billion. Key performance indicators (KPIs) such as revenue growth, same-restaurant sales, and menu pricing power are crucial in evaluating the companys success. Notably, the companys return on equity (RoE) stands at 48.09%, indicating a strong ability to generate profits from shareholder equity.
In terms of operational metrics, Darden Restaurants brand portfolio is characterized by varying levels of penetration and growth potential. Olive Garden and LongHorn Steakhouse are among the companys most established brands, while newer concepts like Cheddars Scratch Kitchen and Yard House offer opportunities for expansion. The companys ability to drive sales growth through menu innovation, marketing initiatives, and strategic restaurant development will be critical in maintaining its competitive edge.
To further assess Darden Restaurants prospects, it is essential to monitor KPIs such as average unit volume (AUV), restaurant count growth, and customer traffic trends. AUV is a key indicator of the companys ability to drive sales at individual locations, while restaurant count growth reflects its capacity to expand its footprint. By examining these metrics in conjunction with financial performance and operational trends, investors can gain a more comprehensive understanding of Darden Restaurants investment potential.
DRI Stock Overview
| Market Cap in USD | 24,128m |
| Sub-Industry | Restaurants |
| IPO / Inception | 1995-05-05 |
DRI Stock Ratings
| Growth Rating | 92.1% |
| Fundamental | 83.2% |
| Dividend Rating | 76.1% |
| Return 12m vs S&P 500 | 16.4% |
| Analyst Rating | 3.90 of 5 |
DRI Dividends
| Dividend Yield 12m | 2.86% |
| Yield on Cost 5y | 7.66% |
| Annual Growth 5y | 35.65% |
| Payout Consistency | 95.7% |
| Payout Ratio | 59.6% |
DRI Growth Ratios
| Growth Correlation 3m | -76.5% |
| Growth Correlation 12m | 92.7% |
| Growth Correlation 5y | 89.9% |
| CAGR 5y | 22.81% |
| CAGR/Max DD 5y | 0.80 |
| Sharpe Ratio 12m | -0.15 |
| Alpha | 26.31 |
| Beta | 0.427 |
| Volatility | 21.28% |
| Current Volume | 701.7k |
| Average Volume 20d | 934.7k |
| Stop Loss | 200.7 (-3%) |
| Signal | -0.74 |
Piotroski VR‑10 (Strict, 0-10) 5.5
| Net Income (1.05b TTM) > 0 and > 6% of Revenue (6% = 724.6m TTM) |
| FCFTA 0.08 (>2.0%) and ΔFCFTA -0.28pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue -10.85% (prev -12.03%; Δ 1.18pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.14 (>3.0%) and CFO 1.71b > Net Income 1.05b (YES >=105%, WARN >=100%) |
| Net Debt (5.71b) to EBITDA (1.88b) ratio: 3.03 <= 3.0 (WARN <= 3.5) |
| Current Ratio 0.42 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (117.9m) change vs 12m ago -1.83% (target <= -2.0% for YES) |
| Gross Margin 21.88% (prev 21.16%; Δ 0.72pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 101.0% (prev 100.6%; Δ 0.43pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 7.65 (EBITDA TTM 1.88b / Interest Expense TTM 178.5m) >= 6 (WARN >= 3) |
Altman Z'' 0.32
| (A) -0.10 = (Total Current Assets 937.7m - Total Current Liabilities 2.25b) / Total Assets 12.59b |
| (B) -0.00 = Retained Earnings (Balance) -16.1m / Total Assets 12.59b |
| (C) 0.11 = EBIT TTM 1.37b / Avg Total Assets 11.96b |
| (D) 0.22 = Book Value of Equity 2.31b / Total Liabilities 10.28b |
| Total Rating: 0.32 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 83.15
| 1. Piotroski 5.50pt = 0.50 |
| 2. FCF Yield 4.08% = 2.04 |
| 3. FCF Margin 8.79% = 2.20 |
| 4. Debt/Equity 0.92 = 2.09 |
| 5. Debt/Ebitda 1.13 = 1.58 |
| 6. ROIC - WACC 20.61% = 12.50 |
| 7. RoE 48.09% = 2.50 |
| 8. Rev. Trend 87.48% = 4.37 |
| 9. Rev. CAGR 11.15% = 1.39 |
| 10. EPS Trend 59.04% = 1.48 |
| 11. EPS CAGR 27.43% = 2.50 |
What is the price of DRI shares?
Over the past week, the price has changed by -0.79%, over one month by +2.08%, over three months by -2.49% and over the past year by +36.15%.
Is Darden Restaurants a good stock to buy?
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of DRI is around 232.35 USD . This means that DRI is currently undervalued and has a potential upside of +12.28% (Margin of Safety).
Is DRI a buy, sell or hold?
- Strong Buy: 14
- Buy: 4
- Hold: 11
- Sell: 0
- Strong Sell: 2
What are the forecasts/targets for the DRI price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 232.8 | 12.5% |
| Analysts Target Price | 232.8 | 12.5% |
| ValueRay Target Price | 256.9 | 24.2% |
Last update: 2025-08-30 04:38
DRI Fundamental Data Overview
CCE Cash And Equivalents = 240.0m USD (last quarter)
P/E Trailing = 23.3041
P/E Forward = 19.3424
P/S = 1.9979
P/B = 10.4276
P/EG = 1.9722
Beta = 0.746
Revenue TTM = 12.08b USD
EBIT TTM = 1.37b USD
EBITDA TTM = 1.88b USD
Long Term Debt = 2.13b USD (from longTermDebt, last quarter)
Short Term Debt = unknown (0.0)
Debt = 2.13b USD (Calculated: Short Term 0.0 + Long Term 2.13b)
Net Debt = 5.71b USD (from netDebt column, last quarter)
Enterprise Value = 26.02b USD (24.13b + Debt 2.13b - CCE 240.0m)
Interest Coverage Ratio = 7.65 (Ebit TTM 1.37b / Interest Expense TTM 178.5m)
FCF Yield = 4.08% (FCF TTM 1.06b / Enterprise Value 26.02b)
FCF Margin = 8.79% (FCF TTM 1.06b / Revenue TTM 12.08b)
Net Margin = 8.69% (Net Income TTM 1.05b / Revenue TTM 12.08b)
Gross Margin = 21.88% ((Revenue TTM 12.08b - Cost of Revenue TTM 9.43b) / Revenue TTM)
Tobins Q-Ratio = 11.26 (Enterprise Value 26.02b / Book Value Of Equity 2.31b)
Interest Expense / Debt = 8.38% (Interest Expense 178.5m / Debt 2.13b)
Taxrate = 11.47% (from yearly Income Tax Expense: 136.2m / 1.19b)
NOPAT = 1.21b (EBIT 1.37b * (1 - 11.47%))
Current Ratio = 0.42 (Total Current Assets 937.7m / Total Current Liabilities 2.25b)
Debt / Equity = 0.92 (Debt 2.13b / last Quarter total Stockholder Equity 2.31b)
Debt / EBITDA = 1.13 (Net Debt 5.71b / EBITDA 1.88b)
Debt / FCF = 2.01 (Debt 2.13b / FCF TTM 1.06b)
Total Stockholder Equity = 2.18b (last 4 quarters mean)
RoA = 8.34% (Net Income 1.05b, Total Assets 12.59b )
RoE = 48.09% (Net Income TTM 1.05b / Total Stockholder Equity 2.18b)
RoCE = 31.68% (Ebit 1.37b / (Equity 2.18b + L.T.Debt 2.13b))
RoIC = 28.19% (NOPAT 1.21b / Invested Capital 4.29b)
WACC = 7.58% (E(24.13b)/V(26.26b) * Re(7.59%)) + (D(2.13b)/V(26.26b) * Rd(8.38%) * (1-Tc(0.11)))
Shares Correlation 5-Years: -100.0 | Cagr: -2.51%
Discount Rate = 7.59% (= CAPM, Blume Beta Adj.) -> floored to rf + ERP 8.05%
[DCF Debug] Terminal Value 79.03% ; FCFE base≈1.03b ; Y1≈1.09b ; Y5≈1.28b
Fair Price DCF = 192.1 (DCF Value 22.40b / Shares Outstanding 116.6m; 5y FCF grow 5.81% → 3.0% )
Revenue Correlation: 87.48 | Revenue CAGR: 11.15%
Rev Growth-of-Growth: -1.45
EPS Correlation: 59.04 | EPS CAGR: 27.43%
EPS Growth-of-Growth: -4.34
Additional Sources for DRI Stock
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