Analyst Ratings for Darden Restaurants Inc. (DRI)

Updated: 2017-07-26

Darden Restaurants Inc. (NYSE:DRI) was awarded an average rating of Overweight from investment analysts following the stock. Last month, DRI received an average rating of Overweight.

Of the 26 analysts covering the stock, 7 gave it a buy rating, 1 issued an overweight rating, 17 gave a hold rating, 1 issued an underweight rating, and 0 issued a sell rating. Today, there are 0 more analysts optimistic about the company future as compared with 90 days ago. Over the same time period, there has been an increase of 0 in the number of analysts with a negative outlook on the stock.

Investment analysts gave a few price targets for DRI. The most optimistic price target was 105, implying a possible profit of 21.5 percent. The lowest price target was 85, implying potential capital losses of -1.64 percent. One must be careful with overanalyzing price targets and ratings due to possible conflicts of interest among the analysts releasing them.

Analysts have revised their earnings estimates upwards for this quarter, by about 3.69 percent on average, compared to last month. The average change in earnings estimates over the last 90 days is 5.37 percent. On the other hand, earnings estimates for the fiscal year have been revised upwards by 1.36 percent, as compared to a month ago. Expanding the time horizon to 3 months, the average change in fiscal year estimates becomes 2.41 percent.

Investors like to see analysts making revisions in the same direction, as that raises confidence in the revisions. 8 analysts made positive revisions to their quarterly estimates over the past month, which can be compared to the 0 analysts that decreased their estimates. Over the same time period, 8 analysts revised their FY earnings estimates upwards, compared to 2 analysts that revised their FY estimates downwards.

DRI has an estimated earnings growth rate of 16.31 percent as forecasted by analysts. The PEG ratio of a stock is another value frequently studied by investors. A lower PEG ratio is favorable, because people typically see that as an indicator of higher growth relative to stock price. Wall Street investors typically prefer a PEG ratio to be smaller than 1, even though it may be more relevant to compare the ratio to that of a firm's competitors. The PEG ratio of DRI is 1.39.

In the trailing 52-weeks, DRI hit 95.22 at the highest peak, while it's lowest trading point was 59.50. Today's price is 45.24 percent above the 52-week low, and 9.24 percent lower than its 52-week high. DRI has a P/E ratio of 22.68. Investors typically compare the P/E ratio to a company's peers in the industry. The DRI value stock report compares DRI to some of its peers using value stock charts. The stock has a market capitalization of $10.89 billion. DRI's next earnings release will be on 0000-00-00, which is days away.