Stock Analysis
Darden Restaurants, Inc.DRI
P/E 20.78×· 5Y range 13.88–25.54×· 65th percentile of history
Sector: Consumer Cyclical · Industry: Retail-Eating Places
AnalystsBuy33 analystsP/E 20.8× sits at the 65th percentile of its 5.086926762491444-year history.
Cash covers 10% of debt · Q3 2026.
PMP Verdict
Mixed fundamentals, fairly valued
Strengths
- Quality94
- Profitability75
Risks
- Growth48
- Financial Health48
Mixed picture — no clear quality or value edge.
Bull Case
- ✓Piotroski F-Score 7/9 — high earnings quality
- ✓ROE 56.2% — efficient capital deployment
- ✓Interest coverage 8.2× — debt well covered
What's happening with DRI
Profile
Strong earnings quality and profitability; growth and financial health lag behind.
How is each axis scored?
- Valuation54/100 · Moderate
- P/E vs own history (65th pct)5/25
- FCF yield (4.3%)12/25
- P/S (1.8x)25/25
- EV/EBIT (17.1x)12/25
- Growth48/100 · Weak
- Revenue CAGR (8.2%)12/25
- Net income CAGR (6.1%)12/25
- EPS CAGR 5Y (8.9%)12/25
- Fwd implied growth (13.2%)12/25
- Profitability75/100 · Strong
- ROIC (28.7%)25/25
- ROE (56.2%)25/25
- Net margin (8.8%)13/25
- Operating margin (11.7%)12/25
- Financial Health48/100 · Weak
- Altman Z (2.24)18/25
- Current ratio (0.39)0/25
- Interest coverage (8.2x)18/25
- Net cash / debt (D/A 17%)12/25
- Quality94/100 · Strong
- Piotroski F (7/9)22/25
- Beneish M (-7.58)25/25
- FCF conversion (89%)22/25
- Margin stability (σ 2.2%)25/25
- Moat70/100 · Moderate
- ROIC >12% years (8/9 yrs)20/25
- Median gross margin (52.7%)20/25
- FCF-positive years (10/10 yrs)25/25
- Worst-year net margin (worst -0.7%)5/25
About Darden Restaurants, Inc.
Darden Restaurants is the largest global full-service dining operator, with over $12 billion in system sales across 2,159 company-owned stores at the end of fiscal 2025, spanning the US and Canada. Show more
The firm operates 10 banners in four segments, including Olive Garden (43% of sales), LongHorn Steakhouse (25%), and fine dining (21%), which includes The Capital Grille, Ruth's Chris, and Eddie V's. The other 11% of sales comes from smaller concepts such as Yard House and Cheddar's. Darden primarily generates revenue through sales of food and beverage items at its company-owned restaurants. It also earns royalties on sales from 154 franchised locations in US and international markets, which sit within the other segment but are immaterial to consolidated results.
Headquarters: ORLANDO, FL · Employees: 209,931 · Website ↗
Price History
Weekly Candlestick Chart — up to 5Y
Key Metrics
Financial snapshot · Tap any metric for its definition and grade
TTM Snapshot
trailing twelve months · YoYValuation
54CP/E (TTM)20.8xB
Grade B: FairPrice / TTM EPS (own statements) — vs own 5Y history: 13.9x–25.5x · 65th pct
P/FCF23.5xB
Grade B: FairPrice / Free Cash Flow per share (Finnhub). Inverse of FCF yield — negative when FCF is negative
FCF Yield4.3%C
Grade C: LowTTM (OCF − CapEx) / Market Cap — vs own 5Y history: 3.9%–7.3% · 11th pct
P/S (TTM)1.83xA
Grade A: CheapPrice / TTM Revenue (own statements) — vs own 5Y history: 1.5x–2.6x · 57th pct
EV/EBIT17.1xB
Grade B: FairEnterprise value / TTM EBIT (D&A not in our data) — capital-structure neutral — vs own 5Y history: 13.0x–24.1x · 54th pct
EV/Sales2.1xB
Grade B: FairEnterprise Value / TTM Revenue (Finnhub) — capital-structure neutral sales multiple
Forward P/E18.4xB
Grade B: FairPrice / next-year EPS estimate — shows whether the TTM multiple is rich or just front-loading growth
P/B Ratio11.63xD
Grade D: Very expensivePrice to Book Value. Neg. equity = heavy buybacks
PEG Ratio2.28C
Grade C: ExpensiveFinnhub PEG — their P/E basis ÷ expected EPS growth. Suppressed when their P/E diverges >2× from our TTM P/E (different basis)
Dividend Yield2.92%A
Grade A: PaysTTM dividend yield (Finnhub) — annual dividends / price. None = no dividend; very high yield can signal distress
Payout Ratio59.4%A
Grade A: SafeDividends / Net Income (Finnhub) — share of earnings paid out; >90% or negative = unsustainable
Profitability
75B+ROIC28.7%A
Grade A: MoatNOPAT (EBIT less ~21% tax) / invested capital (equity + debt − cash). Flagship quality metric — durable >15% signals a moat
ROE56.2%A
Grade A: StrongReturn on Equity. Neg. equity = heavy buybacks
ROA9.1%C
Grade C: AverageReturn on Assets (Finnhub) — Net Income / Total Assets; how efficiently assets produce profit
Net Margin8.8%C
Grade C: AverageNet Income / Revenue
Operating Margin11.7%C
Grade C: AverageTTM EBIT / TTM Revenue
Gross Margin49.0%C
Grade C: AverageGross Profit / Revenue
FCF Margin7.9%D
Grade D: LowFCF / Revenue
True FCF Margin7.3%C
Grade C: AverageTTM (OCF − CapEx − SBC) / TTM Revenue — SBC treated as a real cost
Growth
48D+Revenue CAGR8.2%C
Grade C: OkCompound annual revenue growth (up to 5Y depending on data availability)
Net Income CAGR6.1%C
Grade C: OkCompound annual net income growth (up to 5Y depending on data availability)
EPS CAGR (5Y)8.9%C
Grade C: OkCompound annual EPS growth over up to 5Y of per-share earnings (own statements). Null when either endpoint EPS ≤ 0
Implied EPS Growth13.2%B
Grade B: LowAnalyst forward EPS (normalized basis) vs our GAAP TTM EPS — different bases, so extreme values usually mark cyclically depressed TTM earnings, not real growth
Dilution (5Y)-13.8%A
Grade A: BuybacksShare count change over 5Y
SBC / Net Income6.8%A
Grade A: LowStock-based comp/Net income. >30% = dilution risk
SBC / Revenue0.6%A
Grade A: LowTTM stock-based comp / TTM Revenue
Financial Health
48D+Altman Z-Score2.24C
Grade C: Gray zoneBankruptcy risk. >3 Safe, <1.8 Distress
Current Ratio0.39xD
Grade D: LowCurrent Assets/Liabilities
Quick Ratio0.11xD
Grade D: Low(Current Assets − Inventory) / Current Liabilities (Finnhub) — stricter liquidity test, excludes inventory
Interest Coverage8.2xC
Grade C: OkEBIT/Interest. >10 Strong
Debt Repayment2.1yA
Grade A: FastYears to repay net debt via FCF
Net Debt/EBIT1.4xA
Grade A: LowLeverage. <2x Low, >4x High
Debt/Equity1.16xC
Grade C: MedDebt / Equity: <1 Conservative, >2 Risky. Not meaningful with non-positive equity; shown as unavailable rather than low debt.
Cash / Debt0.10xD
Grade D: ThinCash covers how much of total debt. >1 = could repay all debt from cash
Quality
94A+Piotroski F-Score7/9A
Grade A: StrongFinancial strength 0–9. >7 Strong
Beneish M-Score-7.58A
Grade A: SafeEarnings manipulation risk. < -2.22 Safe
FCF Conversion89.2%A
Grade A: StrongFCF / Net Income
Margin Stability2.2%A
Grade A: StableEBIT margin std deviation. Lower = stable
Capex / Revenue5.5%C
Grade C: AverageTTM CapEx / TTM Revenue — high % = capital-hungry business
Asset Turnover1.03xA
Grade A: HighRevenue / Total Assets (Finnhub) — how efficiently the asset base generates sales
Insider Transactions
SEC Form 4 · 8 recordsP/S codes are the directional signal; grants, option exercises and tax withholding carry none. Form 4 doesn't flag 10b5-1 plans — scheduled sales may appear within open-market sells.
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Martin Melvin John Filed | Martin Melvin John | SellOpen market sale | -2209 | |
Madonna John W. Filed | Madonna John W. | Gift | -75 | |
Madonna John W. Filed | Madonna John W. | Gift | -510 | |
Kenningham Daryl Filed | Kenningham Daryl | Grant / award | +936 | |
CHUGG JULIANA L Filed | CHUGG JULIANA L | Grant / award | +936 |
Show 3 more filingsShow fewer filings
| Trade date | Insider | Transaction | Shares | Filed |
|---|---|---|---|---|
Simon William S Filed | Simon William S | Grant / award | +936 | |
ATKINS M SHAN Filed | ATKINS M SHAN | Grant / award | +936 | |
FOGARTY JAMES P Filed | FOGARTY JAMES P | Grant / award | +936 |
More metrics — Moat, Per Share, Balance Sheet, MarketHide additional metrics
Moat
70B+ROIC >12% Years8/9 yrsA
Grade A: DurableShare of completed fiscal years with ROIC > 12% — measures multi-year capital-return durability
Gross Margin (Med.)52.7%A
Grade A: DurableMedian annual gross margin across available fiscal years — pricing-power durability
FCF-Positive Years10/10 yrsA
Grade A: DurableShare of completed fiscal years with positive free cash flow
Net Margin Floor-0.7%D
Grade D: WeakWeakest annual net margin across completed fiscal years — recession/downcycle resilience
Per Share
EPS (TTM)$10.41
Own TTM net income / shares — same earnings basis as P/E
Cash / Share$1.95
Cash & short-term investments per share (Finnhub)
Book Value / Share$18.26
Shareholders' equity per share (Finnhub). Negative = accumulated losses / heavy buybacks
Balance Sheet
Total Debt$2.43B
Total debt obligations (short + long term)
Cash & Equiv.$240.40M
Cash and short-term investments
Net Debt$2.19B
Total Debt minus Cash. Negative = Net Cash position
Total Equity$2.10B
Shareholders' equity (book value)
Asset / Liability1.20xC
Grade C: AdequateTotal Assets / Total Liabilities
Market
Market Cap$24.48B
Current Market Capitalization
Beta0.67B
Grade B: DefensivePrice sensitivity vs the market (Finnhub) — 1.0 moves with market, >1.2 amplifies swings
How grades work: each metric is graded A–D against fixed thresholds (tap a row for the meaning). Card grades map the pillar score to A+–E — a card grade is that pillar's own score, not an average of the rows shown.
Financials as of Aug 2026 · Ratio snapshot Oct 17, 2026
Key Insights: Darden Restaurants, Inc. (DRI)
DRI is up 0.95% at the last close. Darden Restaurants, Inc. meets 7 of 9 Piotroski F-Score criteria, placing its fundamental strength in the top tier of US-listed stocks. Altman Z-Score of 2.24 falls in the grey zone (1.81–2.99) — financial distress is unlikely but not ruled out. Beneish M-Score of -7.58 suggests a low likelihood of earnings manipulation.
- Takes ~2.1 years to repay net debt from free cash flow.
- Darden Restaurants, Inc. posted a net loss in 1 of 10 available completed fiscal years (2017–2026).
- Return on equity of 56.2% is well above the market average.
- The stock currently yields 2.9% in dividends.
See how DRI ranks on the Capex Tracker — top 50 capital spenders compared.
Earnings
View earnings calendar →Recent Earnings Results
| Date | Time | EPS Est. | EPS Actual | Surprise | Rev Est. | Rev Actual |
|---|---|---|---|---|---|---|
| Sep 24, 2026 | Pre-Mkt | $2.08 | $2.05 | -1.2% | $3.2B | $3.2B |
Recent Market Moves
See all DRI moves →| Date | Session | Price | Move | Z-Score |
|---|---|---|---|---|
| Oct 13 | Regular | 206.81 | +3.61% | 2.52 |
| Oct 13 | After-hours | 205.60 | +3.00% | 2.12 |
| Sep 25 | Regular | 199.34 | -3.81% | -2.01 |
Frequently Asked Questions about DRI
What is the current Darden Restaurants, Inc. (DRI) stock price?
DRI is trading at $216.35 at the last market close, up 0.95% on the session. PreMarketPrice tracks DRI pre-market, intraday and after-hours prices.
Is DRI stock a buy right now?
PreMarketPrice's quantitative model rates Darden Restaurants, Inc.'s financial health at 48/100. This is a data-driven snapshot of fundamentals, not investment advice.
Is DRI stock overvalued?
Darden Restaurants, Inc. trades at a trailing P/E of 20.8 and our valuation score rates it 54/100 (higher = cheaper vs. its own history). See the Valuation History and Key Metrics sections for forward P/E, EV/EBITDA and PEG context.
When does Darden Restaurants, Inc. report earnings?
No confirmed earnings date is currently scheduled for DRI. The Earnings section lists recent reports and updates as dates are announced.
What sector does Darden Restaurants, Inc. operate in?
Darden Restaurants, Inc. operates in the Consumer Cyclical sector, within the Retail-Eating Places industry. The Related Stocks section lists sector peers for comparison.
What does Darden Restaurants, Inc. do?
Darden Restaurants is the largest global full-service dining operator, with over $12 billion in system sales across 2,159 company-owned stores at the end of fiscal 2025, spanning the US and Canada.
About Darden Restaurants, Inc. (DRI) Stock
Darden Restaurants, Inc. (DRI) is a US-listed stock operating in the Consumer Cyclical sector, specifically the Retail-Eating Places industry. As of the latest update, Darden Restaurants, Inc. is trading at $216.35, up 0.95% on the day with a market capitalization of $24.5 billion. The financial health score for DRI is 48/100, which indicates moderate financial strength based on profitability, leverage, liquidity, and growth metrics. This page provides real-time pre-market pricing, earnings calendar, financial health analysis, and valuation metrics for DRI stock.
DRI Stock Analysis & Key Metrics
On PreMarketPrice, you can track Darden Restaurants, Inc. (DRI) across multiple dimensions:
- Pre-market price & movement: Real-time DRI stock price with percentage change, updated continuously during pre-market and regular trading hours.
- Earnings calendar: Upcoming and past earnings reports for DRI, including EPS estimates, actual results, and surprise percentages.
- Valuation & P/E history: Historical P/E, P/S, and P/B ratios for DRI with trend analysis and normalized valuation multiples.
- Financial statements: Revenue, net income, assets, liabilities, and equity for Darden Restaurants, Inc. across multiple reporting periods.
- Financial health score: A composite score of 48/100 based on Altman Z-Score, Piotroski F-Score, profitability, and leverage metrics for DRI.
- Sector peers: Compare DRI against 6 other consumer cyclical stocks on key financial metrics.
Is DRI a Good Stock to Buy?
This page provides data-driven analysis to help you evaluate Darden Restaurants, Inc. (DRI) as an investment. The financial health score of 48/100 suggests moderate financial fundamentals. Valuation metrics show whether the stock is trading above or below its historical average. Earnings data reveals whether the company is meeting or beating analyst expectations.However, this is not financial advice — always do your own research before investing.
Data on this page is sourced from real-time market feeds, Polygon.io, and Finnhub.Darden Restaurants, Inc. (DRI) trades on NYSE/NASDAQ. Pre-market trading occurs 4:00 AM – 9:30 AM ET. Regular market hours are 9:30 AM – 4:00 PM ET.