Overview Dividends

(DRI) Darden Restaurants - Ratings and Ratios

Exchange: NYSE • Country: United States • Currency: USD • Type: Common Stock • ISIN: US2371941053

Pasta, Steak, Seafood, Cocktails, Desserts

DRI EPS (Earnings per Share)

EPS Growth (3Y CAGR): 9.89%
EPS Trend (3Y Correlation): 34.1%

DRI Revenue

Revenue Growth (3Y CAGR): 7.64%
Revenue Trend (3Y Correlation): 82.7%

Description: DRI Darden Restaurants

Darden Restaurants, Inc. (NYSE: DRI) is a U.S.-based operator of full-service dining concepts, including Olive Garden, LongHorn Steakhouse, Yard House, Ruth’s Chris Steak House, and several others, with a footprint across the United States and Canada. Founded in 1938 and headquartered in Orlando, Florida, Darden’s portfolio spans casual-to-upscale segments, giving it exposure to a broad range of consumer spending patterns.

Key performance indicators from the most recent quarter show comparable-sales growth of 5.2% year-over-year, driven largely by Olive Garden’s 6.1% increase and a modest 2.8% rise at LongHorn. The company reported an adjusted EBITDA margin of 14.5%, reflecting disciplined cost control despite a 4.3% rise in labor expenses. A salient sector driver is the ongoing shift toward digital ordering and delivery, which Darden has accelerated through its “Darden Direct” platform, now accounting for roughly 12% of total sales.

If you’re looking for a deeper quantitative breakdown and scenario analysis, ValueRay’s research tools can help you evaluate DRI’s valuation sensitivities more precisely.

DRI Stock Overview

Market Cap in USD	22,141m
Sub-Industry	Restaurants
IPO / Inception	1995-05-05

DRI Stock Ratings

Growth Rating	79.7%
Fundamental	77.4%
Dividend Rating	78.0%
Return 12m vs S&P 500	4.37%
Analyst Rating	3.90 of 5

DRI Dividends

Dividend Yield 12m	3.08%
Yield on Cost 5y	7.03%
Annual Growth 5y	46.40%
Payout Consistency	95.7%
Payout Ratio	50.4%

DRI Growth Ratios

Growth Correlation 3m	-44.1%
Growth Correlation 12m	72.9%
Growth Correlation 5y	89.6%
CAGR 5y	16.22%
CAGR/Max DD 3y (Calmar Ratio)	0.76
CAGR/Mean DD 3y (Pain Ratio)	2.66
Sharpe Ratio 12m	0.27
Alpha	11.18
Beta	0.708
Volatility	23.78%
Current Volume	710.7k
Average Volume 20d	1190.9k
Stop Loss	182.7 (-3%)
Signal	-0.07

Piotroski VR‑10 (Strict, 0-10) 7.0

Net Income (1.10b TTM) > 0 and > 6% of Revenue (6% = 741.9m TTM)

FCFTA 0.10 (>2.0%) and ΔFCFTA 1.09pp (YES ≥ +1.0pp, WARN ≥ +0.5pp)

NWC/Revenue -11.44% (prev -13.18%; Δ 1.75pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp)

CFO/TA 0.14 (>3.0%) and CFO 1.77b > Net Income 1.10b (YES >=105%, WARN >=100%)

Net Debt (5.94b) to EBITDA (1.92b) ratio: 3.10 <= 3.0 (WARN <= 3.5)

Current Ratio 0.40 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active)

Outstanding Shares last Quarter (117.6m) change vs 12m ago -1.34% (target <= -2.0% for YES)

Gross Margin 33.93% (prev 21.16%; Δ 12.77pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0)

Asset Turnover 102.5% (prev 100.5%; Δ 2.01pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0)

Interest Coverage Ratio 9.99 (EBITDA TTM 1.92b / Interest Expense TTM 139.0m) >= 6 (WARN >= 3)

Altman Z'' 0.24

(A) -0.11 = (Total Current Assets 932.8m - Total Current Liabilities 2.35b) / Total Assets 12.76b

(B) -0.01 = Retained Earnings (Balance) -100.6m / Total Assets 12.76b

(D) 0.21 = Book Value of Equity 2.23b / Total Liabilities 10.53b

Total Rating: 0.24 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D)

ValueRay F-Score (Strict, 0-100) 77.37

1. Piotroski 7.0pt = 2.0

2. FCF Yield 4.47% = 2.24

3. FCF Margin 10.16% = 2.54

4. Debt/Equity 2.77 = -0.42

5. Debt/Ebitda 3.10 = -1.90

6. ROIC - WACC (= 20.46)% = 12.50

7. RoE 49.94% = 2.50

8. Rev. Trend 82.71% = 6.20

9. EPS Trend 34.13% = 1.71

What is the price of DRI shares?

As of October 17, 2025, the stock is trading at USD 188.36 with a total of 710,656 shares traded.
Over the past week, the price has changed by +1.05%, over one month by -10.50%, over three months by -8.14% and over the past year by +21.20%.

Is Darden Restaurants a good stock to buy?

Partly, yes. Based on ValueRay´s Fundamental Analyses, Darden Restaurants (NYSE:DRI) is currently (October 2025) ok to buy, but has to be watched. It has a ValueRay Fundamental Rating of 77.37 and therefor a somewhat positive outlook according to the companies health.
Based on momentum, paid dividends and discounted-cash-flow analyses, the fair value of DRI is around 193.90 USD . This means that DRI is currently overvalued and has a potential downside of 2.94%.

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.

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	224.1	19%
Analysts Target Price	224.1	19%
ValueRay Target Price	213.1	13.1%

Last update: 2025-10-02 02:24

DRI Fundamental Data Overview

Market Cap USD = 22.14b (22.14b USD * 1.0 USD.USD)
P/E Trailing = 19.8913
P/E Forward = 17.6991
P/S = 1.7907
P/B = 9.8552
P/EG = 1.8244
Beta = 0.708
Revenue TTM = 12.36b USD
EBIT TTM = 1.39b USD
EBITDA TTM = 1.92b USD
Long Term Debt = 2.14b USD (from longTermDebt, last quarter)
Short Term Debt = 142.0m USD (from shortTermDebt, last quarter)
Debt = 6.16b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 5.94b USD (from netDebt column, last quarter)
Enterprise Value = 28.09b USD (22.14b + Debt 6.16b - CCE 211.0m)
Interest Coverage Ratio = 9.99 (Ebit TTM 1.39b / Interest Expense TTM 139.0m)
FCF Yield = 4.47% (FCF TTM 1.26b / Enterprise Value 28.09b)
FCF Margin = 10.16% (FCF TTM 1.26b / Revenue TTM 12.36b)
Net Margin = 8.90% (Net Income TTM 1.10b / Revenue TTM 12.36b)
Gross Margin = 33.93% ((Revenue TTM 12.36b - Cost of Revenue TTM 8.17b) / Revenue TTM)
Gross Margin QoQ = 69.48% (prev 23.38%)
Tobins Q-Ratio = 2.20 (Enterprise Value 28.09b / Total Assets 12.76b)
Interest Expense / Debt = 0.74% (Interest Expense 45.6m / Debt 6.16b)
Taxrate = 12.22% (35.9m / 293.8m)
NOPAT = 1.22b (EBIT 1.39b * (1 - 12.22%))
Current Ratio = 0.40 (Total Current Assets 932.8m / Total Current Liabilities 2.35b)
Debt / Equity = 2.77 (Debt 6.16b / totalStockholderEquity, last quarter 2.23b)
Debt / EBITDA = 3.10 (Net Debt 5.94b / EBITDA 1.92b)
Debt / FCF = 4.73 (Net Debt 5.94b / FCF TTM 1.26b)
Total Stockholder Equity = 2.20b (last 4 quarters mean from totalStockholderEquity)
RoA = 8.62% (Net Income 1.10b / Total Assets 12.76b)
RoE = 49.94% (Net Income TTM 1.10b / Total Stockholder Equity 2.20b)
RoCE = 32.03% (EBIT 1.39b / Capital Employed (Equity 2.20b + L.T.Debt 2.14b))
RoIC = 27.35% (NOPAT 1.22b / Invested Capital 4.46b)
WACC = 6.89% (E(22.14b)/V(28.30b) * Re(8.62%) + D(6.16b)/V(28.30b) * Rd(0.74%) * (1-Tc(0.12)))
Discount Rate = 8.62% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -1.33%
[DCF Debug] Terminal Value 76.86% ; FCFE base≈1.15b ; Y1≈1.20b ; Y5≈1.39b
Fair Price DCF = 187.9 (DCF Value 21.86b / Shares Outstanding 116.3m; 5y FCF grow 4.54% → 3.0% )
EPS Correlation: 34.13 | EPS CAGR: 9.89% | SUE: -0.68 | # QB: 0
Revenue Correlation: 82.71 | Revenue CAGR: 7.64% | SUE: 0.15 | # QB: 0

Additional Sources for DRI Stock

News: Wall Street Journal | Benzinga | Yahoo Finance
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle