Retail-Eating Places · SIC 5812

DARDEN RESTAURANTS INC

DRI

Watch

Latest revenue

$3.35B

as of 2026-02-22

Latest net income

$306.8M

as of 2026-02-22

Net margin

9.2%

as of 2026-02-22

Price · 5Y

+10.9% / yr 2.8 pts / yr vs S&P 500 67.6% total
Compare:

Live market

delayed ≤15 min
$203.51
3.27%
Market cap
$23.31B
Enterprise value
$25.50B
P/E (trailing)
22.2×
Forward P/E
P/B
11.08×
Dividend yield
2.9%
52-wk high
$228.27
52-wk low
$169.00
Beta
Shares out
114.5M

5-year trend

What this company does

AI

Darden operates roughly 2,000 full-service restaurants across the US under brands including Olive Garden, LongHorn Steakhouse, Cheddar's, Yard House, Ruth's Chris, and The Capital Grille. Nearly all revenue comes from company-owned restaurant sales, with a small contribution from 164 franchised locations domestically and abroad; nine-month sales reached $9.49 billion, up 8% year-over-year. Following last year's $614 million Chuy's acquisition, Darden is now focused on integrating that brand while returning cash through aggressive buybacks ($531 million) and a raised $4.50 nine-month dividend.

Generated from DRI's filing dated 2025-07-18

Key risks

AI
  • Margin compression: Q3 operating income fell to $406.4M from $418.2M YoY despite 5.9% sales growth, with $25.1M impairment charge
  • Aggressive capital return outpacing FCF: $531.5M buybacks + $525.2M dividends YTD vs $1,281M operating cash flow, driving retained earnings to -$217.4M
  • Rising leverage: Short-term debt jumped from $0 to $290M; total liabilities grew to $10.78B against just $2.10B equity and $240M cash

Generated from DRI's filing dated 2025-07-18

Profitability

Operating margin

11.3%

2.2%

Net margin

8.7%

3.7%

Return on equity

45.4%

0.9%

Return on assets

8.3%

8.1%

Leverage

Debt / equity

4.45×

9.8%

Long-term debt / equity

0.92×

50.7%

Debt / assets

81.6%

1.8%

Earnings tracker

QuarterRevenueYoYNet incomeYoYNet margin

Q1 2026

2026-02-22

$3.35B+5.9%$306.8M-5.1%9.2%

Q4 2025

2025-11-23

$3.10B+7.3%$237.2M+10.3%7.6%

Q3 2025

2025-08-24

$3.04B+10.4%$257.8M+24.4%8.5%

Q2 2025

2025-05-25

$3.27B+10.6%$303.9M-1.4%9.3%

Q1 2025

2025-02-23

$3.16B+6.2%$323.4M+3.4%10.2%

Q4 2024

2024-11-24

$2.89B+6.0%$215.1M+1.4%7.4%

Q3 2024

2024-08-25

$2.76B+1.0%$207.2M+6.5%7.5%

Q2 2024

2024-05-26

$2.96B$308.1M10.4%

Year-over-year change vs the same fiscal quarter one year prior. Revenue + net income sourced from SEC 10-Q / 10-K filings — no analyst-consensus dependency.

Industry trend

Retail-Eating Places · SIC 5812

No data yet for industry average

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Insider activity

Insider buying

$0

Insider selling

$22.9M

Net activity

−$22.9M

Distinct insiders

14

Open-market trades over the last 365 days.

Recent transactions

DateInsiderTypeSharesPriceValue
2026-04-17

Douglas J. Milanes

SVP, Chief Supply Chain Ofcr

Sale3,620$202.16$731.8K
2026-04-07

Lindsay L. Koren

SVP General Counsel

Sale300$194.32$58.3K
2026-04-06

Melvin John Martin

Group President

Sale5,091$196.04$998.0K
2026-03-23

William S Simon

Director

Sale2,333$203.96$475.8K
2026-03-23

William S Simon

Director

Sale2,333$200.64$468.1K
2026-01-23

Charles M Sonsteby

Director

Sale3,123$205.32$641.2K
2026-01-22

Sarah H. King

SVP, Chief People Officer

Sale200$207.28$41.5K
2026-01-22

Sarah H. King

SVP, Chief People Officer

Sale4,405$206.62$910.2K
2026-01-16

John W. Wilkerson

President Elect, Olive Garden

Sale2,258$213.00$481.0K
2026-01-15

Rajesh Vennam

SVP, CFO

Sale3,182$214.12$681.3K
2026-01-15

Rajesh Vennam

SVP, CFO

Sale3,592$214.12$769.1K
2026-01-14

Susan M. Connelly

SVP, Chief Comm & PA Officer

Sale2,635$207.36$546.4K
2026-01-13

Todd Burrowes

Group President

Sale7,103$207.12$1.5M
2026-01-06

Melvin John Martin

Group President

Sale1,200$197.47$237.0K
2025-10-14

Melvin John Martin

Group President

Sale1,700$184.58$313.8K
2025-10-06

Matthew R Broad

SVP General Counsel

Sale5,661$193.40$1.1M

Source: SEC Form 4 filings. Officers, directors, and 10%+ owners must disclose share transactions within two business days. RSU grants and tax-withholding rows are excluded by default — compensation activity is not a trading signal.

Who owns DRI

Institutional value

$12.01B

Total shares held

62.2M

Distinct holders

720

As of

2026-03-31

Filers with $100M+ AUM disclose holdings 45 days after quarter end.

Top institutional holders

#ManagerSharesValueQoQ changeAction
1Capital World Investors14.9M$2.93BNew
2BlackRock, Inc.9.6M$1.89BNew
3VANGUARD CAPITAL MANAGEMENT LLC7.5M$1.47BNew
4VANGUARD PORTFOLIO MANAGEMENT LLC5.4M$1.05BNew
5Invesco Ltd.1.9M$364.8MNew
6DIMENSIONAL FUND ADVISORS LP1.3M$248.1MNew
7BAHL & GAYNOR INC1.0M$198.0MNew
8Bank of New York Mellon Corp1.0M$198.0MNew
9UBS Group AG964.8K$189.1MNew
10Hamlin Capital Management, LLC851.0K$166.8MNew
11Capital International Investors718.2K$140.7MNew
12Legal & General Group Plc696.3K$136.5MNew
13VANGUARD FIDUCIARY TRUST CO663.3K$130.0MNew
14Boston Partners593.1K$116.3MNew
15WELLS FARGO & COMPANY/MN578.1K$113.3MNew
16ENVESTNET ASSET MANAGEMENT INC493.3K$96.7MNew
17DEUTSCHE BANK AG\464.0K$91.0MNew
18CITIGROUP INC440.3K$86.3MNew
19Nuveen, LLC381.7K$74.8MNew
20JANE STREET GROUP, LLC378.0K$74.1MNew

Source: SEC Form 13F-HR. Positions aggregated across sub-managers within each firm. Options (puts/calls) excluded — common stock only.

Top questions investors are asking

AI
  1. 1

    Q3 operating margin compressed to 12.1% from 13.2% YoY despite 5.9% sales growth—why are labor and restaurant expenses outpacing menu pricing?

  2. 2

    You took a $25.1M Q3 impairment charge after a $19.8M nine-month gain on disposals—which brands or units are underperforming, and is more coming?

  3. 3

    With $531M in buybacks and $525M dividends versus $1.28B operating cash flow, why add $290M short-term debt rather than moderate capital return?

Refreshed when DRI files a new report · last from 2025-07-18