(DRI) Darden Restaurants - Overview

Sector: Consumer Cyclical | Industry: Restaurants | Exchange: NYSE (USA) | Market Cap: 21.949m USD | Total Return: 3.3% in 12m

Steakhouse, Italian, Seafood, Casual Dining
Total Rating 53
Safety 65
Buy Signal -0.25
Restaurants
Industry Rotation: -5.0
Market Cap: 21.9B
Avg Turnover: 261M USD
ATR: 3.01%
Peers RS (IBD): 61.8
Risk 5d forecast
Volatility26.0%
Rel. Tail Risk-11.9%
Reward TTM
Sharpe Ratio0.02
Alpha-18.00
Character TTM
Beta0.608
Beta Downside0.539
Drawdowns 3y
Max DD23.92%
CAGR/Max DD0.49
EPS (Earnings per Share) EPS (Earnings per Share) of DRI over the last years for every Quarter: "2021-02": 0.98, "2021-05": 2.03, "2021-08": 1.76, "2021-11": 1.48, "2022-02": 1.93, "2022-05": 2.27, "2022-08": 1.53, "2022-11": 1.52, "2023-02": 2.36, "2023-05": 2.6, "2023-08": 1.78, "2023-11": 1.84, "2024-02": 2.62, "2024-05": 2.65, "2024-08": 1.74, "2024-11": 2.03, "2025-02": 2.8, "2025-05": 2.98, "2025-08": 1.97, "2025-11": 2.08, "2026-02": 2.95,
EPS CAGR: 7.24%
EPS Trend: 44.6%
Last SUE: 0.24
Qual. Beats: 0
Revenue Revenue of DRI over the last years for every Quarter: 2021-02: 1733, 2021-05: 2279.2, 2021-08: 2306, 2021-11: 2272.2, 2022-02: 2448.9, 2022-05: 2602.9, 2022-08: 2446.1, 2022-11: 2486.5, 2023-02: 2786.2, 2023-05: 2769, 2023-08: 2730.6, 2023-11: 2727.3, 2024-02: 2974.8, 2024-05: 2957.3, 2024-08: 2757, 2024-11: 2890, 2025-02: 3158, 2025-05: 3271.7, 2025-08: 3044.7, 2025-11: 3102.1, 2026-02: 3345.3,
Rev. CAGR: 6.92%
Rev. Trend: 89.8%
Last SUE: 0.43
Qual. Beats: 0

Warnings

Altman Z'' 0.10 < 1.0 - financial distress zone

Tailwinds

No distinct edge detected

Description: DRI Darden Restaurants

Darden Restaurants, Inc. (DRI) operates full-service restaurants across the United States and Canada. The company manages a portfolio of diverse brands, including Olive Garden and LongHorn Steakhouse, targeting various dining preferences within the casual and fine dining segments.

The restaurant industry is characterized by high competition and sensitivity to consumer discretionary spending. Dardens business model relies on managing multiple restaurant concepts, each with distinct menus and target demographics, to capture a broad market share.

For a deeper dive into Dardens performance metrics and competitive landscape, ValueRay offers comprehensive analytics.

Headlines to Watch Out For
  • Olive Garden and LongHorn Steakhouse sales drive revenue growth
  • Food and labor costs impact profit margins
  • Consumer discretionary spending affects restaurant traffic
  • Acquisition of Ruths Chris expands fine dining portfolio
Piotroski VR‑10 (Strict) 8.0
Net Income: 1.11b TTM > 0 and > 6% of Revenue
FCF/TA: 0.12 > 0.02 and ΔFCF/TA 3.95 > 1.0
NWC/Revenue: -12.46% < 20% (prev -11.92%; Δ -0.53% < -1%)
CFO/TA 0.13 > 3% & CFO 1.74b > Net Income 1.11b
Net Debt (5.94b) to EBITDA (1.98b): 2.99 < 3
Current Ratio: 0.39 > 1.5 & < 3
Outstanding Shares: last quarter (116.7m) vs 12m ago -1.10% < -2%
Gross Margin: 44.03% > 18% (prev 0.22%; Δ 4.38k% > 0.5%)
Asset Turnover: 100.3% > 50% (prev 93.64%; Δ 6.66% > 0%)
Interest Coverage Ratio: 7.57 > 6 (EBITDA TTM 1.98b / Interest Expense TTM 189.4m)
Altman Z'' 0.10
A: -0.12 (Total Current Assets 1.02b - Total Current Liabilities 2.61b) / Total Assets 12.89b
B: -0.02 (Retained Earnings -217.4m / Total Assets 12.89b)
C: 0.11 (EBIT TTM 1.43b / Avg Total Assets 12.72b)
D: 0.20 (Book Value of Equity 2.10b / Total Liabilities 10.78b)
Altman-Z'' Score: 0.10 = B
Beneish M -3.06
DSRI: 1.51 (Receivables 107.7m/65.6m, Revenue 12.76b/11.76b)
GMI: 0.49 (GM 44.03% / 21.55%)
AQI: 0.99 (AQ_t 0.26 / AQ_t-1 0.27)
SGI: 1.09 (Revenue 12.76b / 11.76b)
TATA: -0.05 (NI 1.11b - CFO 1.74b) / TA 12.89b)
Beneish M-Score: -3.06 (Cap -4..+1) = AA
What is the price of DRI shares? As of April 11, 2026, the stock is trading at USD 192.39 with a total of 1,025,079 shares traded.
Over the past week, the price has changed by -1.37%, over one month by -4.72%, over three months by -7.42% and over the past year by +3.25%.
Is DRI a buy, sell or hold? Darden Restaurants has received a consensus analysts rating of 3.90. Therefore, it is recommended to buy DRI.
  • StrongBuy: 14
  • Buy: 4
  • Hold: 11
  • Sell: 0
  • StrongSell: 2
What are the forecasts/targets for the DRI price?
Analysts Target Price 225.9 17.4%
Darden Restaurants (DRI) - Fundamental Data Overview as of 09 April 2026
P/E Trailing = 20.0875
P/E Forward = 17.0648
P/S = 1.7196
P/B = 10.6876
P/EG = 1.7175
Revenue TTM = 12.76b USD
EBIT TTM = 1.43b USD
EBITDA TTM = 1.98b USD
Long Term Debt = 2.14b USD (from longTermDebt, last quarter)
Short Term Debt = 290.0m USD (from shortTermDebt, last quarter)
Debt = 6.19b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 5.94b USD (from netDebt column, last quarter)
Enterprise Value = 27.89b USD (21.95b + Debt 6.19b - CCE 248.5m)
Interest Coverage Ratio = 7.57 (Ebit TTM 1.43b / Interest Expense TTM 189.4m)
EV/FCF = 17.81x (Enterprise Value 27.89b / FCF TTM 1.57b)
FCF Yield = 5.61% (FCF TTM 1.57b / Enterprise Value 27.89b)
FCF Margin = 12.26% (FCF TTM 1.57b / Revenue TTM 12.76b)
Net Margin = 8.66% (Net Income TTM 1.11b / Revenue TTM 12.76b)
Gross Margin = 44.03% ((Revenue TTM 12.76b - Cost of Revenue TTM 7.14b) / Revenue TTM)
Gross Margin QoQ = 17.97% (prev 68.93%)
Tobins Q-Ratio = 2.16 (Enterprise Value 27.89b / Total Assets 12.89b)
Interest Expense / Debt = 0.80% (Interest Expense 49.6m / Debt 6.19b)
Taxrate = 12.95% (46.2m / 356.8m)
NOPAT = 1.25b (EBIT 1.43b * (1 - 12.95%))
Current Ratio = 0.39 (Total Current Assets 1.02b / Total Current Liabilities 2.61b)
Debt / Equity = 2.94 (Debt 6.19b / totalStockholderEquity, last quarter 2.10b)
Debt / EBITDA = 2.99 (Net Debt 5.94b / EBITDA 1.98b)
Debt / FCF = 3.79 (Net Debt 5.94b / FCF TTM 1.57b)
Total Stockholder Equity = 2.18b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.69% (Net Income 1.11b / Total Assets 12.89b)
RoE = 50.71% (Net Income TTM 1.11b / Total Stockholder Equity 2.18b)
RoCE = 33.19% (EBIT 1.43b / Capital Employed (Equity 2.18b + L.T.Debt 2.14b))
RoIC = 27.48% (NOPAT 1.25b / Invested Capital 4.54b)
WACC = 6.49% (E(21.95b)/V(28.13b) * Re(8.12%) + D(6.19b)/V(28.13b) * Rd(0.80%) * (1-Tc(0.13)))
Discount Rate = 8.12% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -81.65 | Cagr: -0.68%
[DCF] Terminal Value 85.09% ; FCFF base≈1.35b ; Y1≈1.45b ; Y5≈1.77b
[DCF] Fair Price = 340.2 (EV 44.90b - Net Debt 5.94b = Equity 38.97b / Shares 114.5m; r=6.49% [WACC]; 5y FCF grow 8.22% → 3.0% )
EPS Correlation: 44.64 | EPS CAGR: 7.24% | SUE: 0.24 | # QB: 0
Revenue Correlation: 89.78 | Revenue CAGR: 6.92% | SUE: 0.43 | # QB: 0
EPS next Quarter (2026-08-31): EPS=2.11 | Chg7d=+0.000 | Chg30d=-0.028 | Revisions Net=-3 | Analysts=22
EPS next Year (2027-05-31): EPS=11.37 | Chg7d=+0.006 | Chg30d=-0.016 | Revisions Net=-2 | Growth EPS=+7.1% | Growth Revenue=+3.6%
[Analyst] Revisions Ratio: -0.18 (7 Up / 10 Down within 30d for Next Quarter)
[Growth] Implied Growth Rate = 3.1% (Discount Rate 8.1% - Earnings Yield 5.0%)
[Growth] Growth Spread = +2.3% (Analyst 5.4% - Implied 3.1%)
External Resources
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