Is DRI a good stock to buy right now?

Based on our 6-factor quantitative model, DARDEN RESTAURANTS INC (DRI) receives a "Reduce" rating with a composite score of 45.0/100. It is ranked #2,369 out of 4,446 stocks. Key factor scores: Quality 50/100, Value 46/100, Momentum 45/100. The timing signal is "Neutral". This is quantitative analysis only — not investment advice.

What is the stock rating for DRI?

DARDEN RESTAURANTS INC (DRI) has a "Reduce" rating and 2-star score. The composite score of 45.0 ranks it #2,369 among 4,446 U.S. stocks. Ratings are updated weekly using academically-proven factor models.

What sector is DRI in?

DARDEN RESTAURANTS INC operates in the Consumer Discretionary sector (Restaurants, Hotels, Motels industry) with a market cap of $22.11 billion. It is classified as a large-cap stock.

Does DRI pay a dividend?

Yes, DRI pays a dividend with a current yield of 3.32%. For every $1,000 invested, you would receive approximately $33.20 in annual dividend income.

What is DRI's P/E ratio?

DRI has a trailing P/E ratio of 19.40x. The Consumer Discretionary sector average is 24.5x. This P/E is in a moderate range relative to the broader market.

How profitable is DRI?

DRI's quality factor score is 50/100. Gross margin: 19.9%. ROE: 53.5% vs sector average 6.2%. Margins are moderate to low, reflecting competitive market dynamics.

How is DRI valued compared to peers?

DRI's value factor score is 46/100 (higher = cheaper). Key multiples: P/E 19.4x, EV/EBITDA 16.1x. Valuation is roughly in line with peers.

What is DRI's debt level?

DRI's debt-to-equity ratio is 102%. Sector average: 89%. Moderate leverage is normal for established companies.

DRI has a beta of 0.55, meaning it is less volatile than the market. Stability score: 83/100.

Does DRI have high short interest?

DRI's short interest factor score is 10/100 (higher = less short selling). Elevated short interest may indicate bearish sentiment or short squeeze potential.

DRI Stock Analysis: Reduce (Score 45.0/100) | Blank Capital Research

Data Series	1D	5D	1M	YTD	1Y	3Y	5Y	10Y
DRI	-2.01%	-2.01%	-5.45%	+4.55%	+0.19%	-	-	-
Industry Proxy XLY	+0.13%	+4.38%	-1.35%	-5.46%	-39.92%	-	-	-
U.S. Market SPY	-0.07%	+3.60%	+0.34%	-0.36%	+29.52%	-	-	-
Alpha vs Market	-1.95%	-5.61%	-5.78%	+4.91%	-29.34%	-	-	-
Alpha vs Sector	-2.14%	-6.39%	-4.09%	+10.01%	+40.11%	-	-	-

Metric	DRI	Benchmark
P/E Ratio	19.4x	-21%
EV/EBITDA	16.1x	+229%
Price / Book	10.4x

Stock Entity	Score▼	Quality	Value	Momentum	P/E Ratio	ROE	Gross Margin	Net Margin	Rev Growth	D/E Ratio	Market Cap	Compare
CASY CASEYS GENERAL STORES INC	57	50	68	67	42.2x	16.9%	24.0%	3.8%	0.3%	123.0x	$27.2B	VS
TGT TARGET CORP	53	50	70	56	16.2x	20.7%	28.4%	3.4%	-0.7%	89.0x	$54.5B	VS
APEI AMERICAN PUBLIC EDUCATION INC	53	49	58	72	78.3x	4.6%	52.8%	2.1%	6.8%	32.0x	$1.1B	VS
LINC LINCOLN EDUCATIONAL SERVICES CORP	52	50	48	75	116.7x	5.6%	59.2%	2.3%	37.4%	147.0x	$1.3B	VS
FIVE FIVE BELOW, INC	52	50	56	73	105.5x	5.4%	32.5%	3.1%	26.5%	125.0x	$13.0B	VS
IMKTA INGLES MARKETS INC	51	50	51	62	17.4x	6.2%	23.9%	1.9%	0.4%	57.0x	$1.7B	VS
PRDO PERDOCEO EDUCATION Corp	51	50	70	57	14.2x	16.7%	100.0%	20.4%	27.1%	28.0x	$2.4B	VS
MCRI MONARCH CASINO & RESORT INC	51	50	66	47	16.7x	19.7%	24.5%	19.4%	11.5%	33.0x	$1.7B	VS
FCFS FirstCash Holdings, Inc.	49	50	29	66	34.7x	10.8%	50.2%	8.0%	26.6%	98.0x	$8.4B	VS
ESCA ESCALADE INC	48	50	65	51	15.2x	9.0%	26.1%	6.2%	8.4%	11.0x	$249M	VS
DRI DARDEN RESTAURANTS INC	45	50	46	45	19.4x	53.5%	19.9%	8.9%	15.8%	102.0x	$22.1B

Key Ratio	TTM	2026	2025	2024	2023	2022	2021	2020	2019	2018	2017
Gross Margin %	0.2%	0.2%	0.2%	0.2%	0.2%	0.2%	0.2%	0.2%	1.0%	0.2%	0.7%
Operating Margin %	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%	0.0%	0.1%	0.1%	0.1%
EBITDA Margin %	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%	0.0%	0.1%	0.1%	0.1%
Net Margin %	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%	0.1%	-0.0%	0.1%	0.1%	0.1%
FCF Margin %	-	-	-	-	-	-	12.8%	3.0%	9.3%	7.2%	9.2%
ROE %	0.5%	0.1%	0.5%	0.5%	0.4%	0.4%	0.2%	-0.0%	0.3%	0.3%	0.2%
ROA %	0.1%	0.0%	0.1%	0.1%	0.1%	0.1%	0.1%	-0.0%	0.1%	0.1%	0.1%
ROIC %	0.3%	7.6%	24.2%	28.7%	30.8%	29.6%	20.3%	1.4%	23.0%	20.4%	19.1%

Key Ratio

TTM

2026

2025

2024

2023

2022

2021

2020

2019

2018

2017

Gross Margin %

0.2%

1.0%

0.2%

0.7%

Operating Margin %

0.1%

0.0%

0.1%

EBITDA Margin %

0.1%

0.0%

0.1%

Net Margin %

0.1%

-0.0%

0.1%

FCF Margin %

12.8%

3.0%

9.3%

7.2%

9.2%

ROE %

0.5%

0.1%

0.5%

0.4%

0.2%

-0.0%

0.3%

0.2%

ROA %

0.1%

0.0%

0.1%

-0.0%

0.1%

ROIC %

0.3%

7.6%

24.2%

28.7%

30.8%

29.6%

20.3%

1.4%

23.0%

20.4%

19.1%

Line Item	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
	$12.7B	$12.1B	$11.4B	$10.5B	$9.6B	$7.2B	$7.8B	$8.5B	$8.1B	$7.2B	$6.9B	$6.8B
	—	$9.6B	$9.1B	$8.5B	$7.7B	—	—	—	—	—	—	—
	$2.5B	$2.5B	$2.3B	$2.0B	$1.9B	$1.5B	$1.4B	$5.7B	$5.5B	$1.6B	$1.5B	$1.4B
Gross Margin	19.9%	20.5%	19.9%	18.7%	19.8%	20.8%	18.0%	100.0%	21.6%	68.4%	68.4%	21.0%
	—	—	—	—	—	$351M	$356M	$337M	$315M	$274M	$290M	$319M
Total Operating Expenses	—	$1.1B	$952M	$763M	$740M	—	—	—	—	—	—	—
	$1.5B	$1.4B	$1.3B	$1.2B	$1.2B	$649M	$48M	$833M	$767M	$678M	$622M	$368M
EBIT	$1.5B	$1.4B	$1.3B	$1.2B	$1.2B	$649M	$48M	$833M	$767M	$678M	$622M	$368M
EBITDA	$1.5B	$1.4B	$1.3B	$1.2B	$1.2B	$991M	$252M	$1.2B	$1.1B	$950M	$912M	$687M
Operating Margin	11.7%	11.3%	11.5%	11.5%	12.1%	9.0%	0.6%	9.8%	9.5%	9.4%	9.0%	5.4%
EBITDA Margin	11.7%	11.3%	11.5%	11.5%	12.1%	13.8%	3.2%	13.7%	13.4%	13.3%	13.2%	10.2%
	—	—	—	$50M	$41M	—	—	—	—	—	—	—
	—	$1.2B	$1.2B	$1.1B	$1.1B	—	—	—	—	—	—	—
Income Tax Expense	—	$136M	$145M	$137M	$139M	-$56M	-$112M	$64M	$2M	$155M	$90M	-$21M
	$1.1B	$1.0B	$1.0B	$982M	$953M	$629M	-$52M	$713M	$596M	$479M	$375M	$710M
Net Margin	8.9%	8.7%	9.0%	9.4%	9.9%	8.7%	-0.7%	8.4%	7.4%	6.7%	5.4%	10.5%
	$2.67	$8.93	$8.57	$8.06	$7.46	$4.83	$-0.43	$5.78	$4.81	$3.85	$2.94	$5.56
Diluted EPS	$2.67	$8.86	$8.51	$7.99	$7.39	$4.83	$-0.43	$5.78	$4.81	$3.85	$2.94	$5.56
Weighted Avg Basic	—	118M	120M	122M	128M	—	—	—	—	—	—	—
Weighted Avg Diluted	—	118M	121M	123M	129M	—	—	—	—	—	—	—

Line Item

TTM

2025

2024

2023

2022

2021

2020

2019

2018

2017

2016

2015

$12.7B

$12.1B

$11.4B

$10.5B

$9.6B

$7.2B

$7.8B

$8.5B

$8.1B

$7.2B

$6.9B

$6.8B

—

$9.6B

$9.1B

$8.5B

$7.7B

—

$2.5B

$2.3B

$2.0B

$1.9B

$1.5B

$1.4B

$5.7B

$5.5B

$1.6B

$1.5B

$1.4B

Gross Margin

19.9%

20.5%

19.9%

18.7%

19.8%

20.8%

18.0%

100.0%

21.6%

68.4%

21.0%

—

$351M

$356M

$337M

$315M

$274M

$290M

$319M

Total Operating Expenses

—

$1.1B

$952M

$763M

$740M

—

$1.5B

$1.4B

$1.3B

$1.2B

$649M

$48M

$833M

$767M

$678M

$622M

$368M

EBIT

$1.5B

$1.4B

$1.3B

$1.2B

$649M

$48M

$833M

$767M

$678M

$622M

$368M

EBITDA

$1.5B

$1.4B

$1.3B

$1.2B

$991M

$252M

$1.2B

$1.1B

$950M

$912M

$687M

Operating Margin

11.7%

11.3%

11.5%

12.1%

9.0%

0.6%

9.8%

9.5%

9.4%

9.0%

5.4%

EBITDA Margin

11.7%

11.3%

11.5%

12.1%

13.8%

3.2%

13.7%

13.4%

13.3%

13.2%

10.2%

—

$50M

$41M

—

$1.2B

$1.1B

—

Income Tax Expense

—

$136M

$145M

$137M

$139M

-$56M

-$112M

$64M

$2M

$155M

$90M

-$21M

$1.1B

$1.0B

$982M

$953M

$629M

-$52M

$713M

$596M

$479M

$375M

$710M

Net Margin

8.9%

8.7%

9.0%

9.4%

9.9%

8.7%

-0.7%

8.4%

7.4%

6.7%

5.4%

10.5%

$2.67

$8.93

$8.57

$8.06

$7.46

$4.83

$-0.43

$5.78

$4.81

$3.85

$2.94

$5.56

Diluted EPS

$2.67

$8.86

$8.51

$7.99

$7.39

$4.83

$-0.43

$5.78

$4.81

$3.85

$2.94

$5.56

Weighted Avg Basic

—

118M

120M

122M

128M

—

Weighted Avg Diluted

—

118M

121M

123M

129M

—

DARDEN RESTAURANTS INC (DRI) Stock Analysis — April 2026 Rating, Price, and Forecast

Last updated: April 2026

Company Overview — What Does DARDEN RESTAURANTS INC Do?

Darden Restaurants, Inc., through its subsidiaries, owns and operates full-service restaurants in the United States and Canada. As of May 30, 2021, it owned and operated 1,834 restaurants, which included 875 under the Olive Garden, 533 under the LongHorn Steakhouse, 170 under the Cheddar's Scratch Kitchen, 81 under the Yard House, 63 under The Capital Grille, 44 under the Seasons 52, 42 under the Bahama Breeze, and 26 under the Eddie V's Prime Seafood brands. The company was founded in 1968 and is based in Orlando, Florida. DARDEN RESTAURANTS INC (DRI) is classified as a large-cap stock in the Consumer Discretionary sector, specifically within the Restaurants, Hotels, Motels industry. The company is led by CEO Ricardo Cardenas and employs approximately 179,000 people, headquartered in Orlando, Florida. With a market capitalization of $22.1B, DRI is one of the prominent companies in the Consumer Discretionary sector.

DARDEN RESTAURANTS INC (DRI) Stock Rating — Reduce (April 2026)

As of April 2026, DARDEN RESTAURANTS INC receives a Reduce rating with a composite score of 45.0/100 and 2 out of 5 stars from the Blank Capital Research quantitative model.DRI ranks #2,369 out of 4,446 stocks in our coverage universe. Within the Consumer Discretionary sector, DARDEN RESTAURANTS INC ranks #238 of 442 stocks, placing it in the lower half of its Consumer Discretionary peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).

DRI Stock Price and 52-Week Range

DARDEN RESTAURANTS INC (DRI) currently trades at $192.39. The stock lost $3.95 (2.0%) in the most recent trading session. The 52-week high for DRI is $228.27, which means the stock is currently trading -15.7% from its annual peak. The 52-week low is $169.00, putting the stock 13.8% above its annual trough. Recent trading volume was 1.2M shares, reflecting moderate market activity.

Is DRI Overvalued or Undervalued? — Valuation Analysis

DARDEN RESTAURANTS INC (DRI) carries a value factor score of 46/100 in the Blank Capital model, indicating fair valuation relative to historical norms. The trailing price-to-earnings ratio is 19.40x, compared to the Consumer Discretionary sector average of 24.47x — a discount of 21%. The price-to-book ratio stands at 10.38x, versus the sector average of 1.99x. The price-to-sales ratio is 1.73x, compared to 0.27x for the average Consumer Discretionary stock. On an enterprise value basis, DRI trades at 16.15x EV/EBITDA, versus 4.91x for the sector.

Overall, DRI's valuation appears roughly in line with sector benchmarks, suggesting the market is pricing the stock fairly given its current fundamentals and growth trajectory. Neither deep value nor significantly overpriced, the stock occupies a middle ground on valuation.

DARDEN RESTAURANTS INC Profitability — ROE, Margins, and Quality Score

DARDEN RESTAURANTS INC (DRI) earns a quality factor score of 50/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 53.5%, compared to the Consumer Discretionary sector average of 6.2%, which demonstrates strong shareholder value creation. Return on assets (ROA) comes in at 8.7% versus the sector average of 2.5%.

On a margin basis, DARDEN RESTAURANTS INC reports gross margins of 19.9%, compared to 36.9% for the sector. The operating margin is 11.7% (sector: 3.8%). Net profit margin stands at 8.9%, versus 2.1% for the average Consumer Discretionary stock. Revenue growth is running at 15.8% on a trailing basis, compared to 3.3% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.

DRI Debt, Balance Sheet, and Financial Health

DARDEN RESTAURANTS INC has a debt-to-equity ratio of 102.0%, compared to the Consumer Discretionary sector average of 89.0%. Leverage is within a manageable range for the industry, though investors should monitor debt trends over time. The current ratio is 0.39x, which may signal near-term liquidity tightness. Total debt on the balance sheet is $2.14B.

DRI has a beta of 0.55, meaning it is less volatile than the S&P 500, making it a relatively defensive holding. The stability factor score for DARDEN RESTAURANTS INC is 83/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.

DARDEN RESTAURANTS INC Revenue and Earnings History — Quarterly Trend

In TTM 2026, DARDEN RESTAURANTS INC reported revenue of $12.65B and earnings per share (EPS) of $2.67. Net income for the quarter was $1.13B. Gross margin was 19.9%. Operating income came in at $1.48B.

In Q3 2026, DARDEN RESTAURANTS INC reported revenue of $3.35B and earnings per share (EPS) of $2.67. Net income for the quarter was $307M. Gross margin was 21.0%. Revenue grew 5.9% year-over-year compared to Q3 2025. Operating income came in at $406M.

In Q2 2026, DARDEN RESTAURANTS INC reported revenue of $3.10B and earnings per share (EPS) of $2.05. Net income for the quarter was $237M. Gross margin was 18.7%. Revenue grew 7.3% year-over-year compared to Q2 2025. Operating income came in at $320M.

In Q1 2026, DARDEN RESTAURANTS INC reported revenue of $3.04B and earnings per share (EPS) of $2.21. Net income for the quarter was $258M. Gross margin was 18.9%. Revenue grew 10.4% year-over-year compared to Q1 2025. Operating income came in at $339M.

Over the past 8 quarters, DARDEN RESTAURANTS INC has demonstrated a growth trajectory, with revenue expanding from $2.76B to $12.65B. Investors analyzing DRI stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.

DRI Dividend Yield and Income Analysis

DARDEN RESTAURANTS INC (DRI) currently pays a dividend yield of 3.3%. At this yield, a $10,000 investment in DRI stock would generate approximately $$332.00 in annual dividend income. The net margin of 8.9% provides reasonable coverage for the dividend, though investors should monitor payout sustainability.

DRI Momentum and Technical Analysis Profile

DARDEN RESTAURANTS INC (DRI) has a momentum factor score of 45/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 27/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 10/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.

DRI vs Competitors — Consumer Discretionary Sector Ranking and Peer Comparison

Within the Consumer Discretionary sector, DARDEN RESTAURANTS INC (DRI) ranks #238 out of 442 stocks based on the Blank Capital composite score. This places DRI in the lower half of all Consumer Discretionary stocks in our coverage universe. Key competitors and sector peers include MONARCH CASINO & RESORT INC (MCRI) with a score of 50.5/100, CASEYS GENERAL STORES INC (CASY) with a score of 57.3/100, INGLES MARKETS INC (IMKTA) with a score of 51.0/100, FIVE BELOW, INC (FIVE) with a score of 51.6/100, and TARGET CORP (TGT) with a score of 52.6/100.

Comparing DRI against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full DRI vs S&P 500 (SPY) comparison to assess how DARDEN RESTAURANTS INC stacks up against the broader market across all factor dimensions.

DRI Next Earnings Date

No upcoming earnings date has been announced for DARDEN RESTAURANTS INC (DRI) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.

Should You Buy DRI? — Investment Thesis Summary

The quantitative profile for DARDEN RESTAURANTS INC suggests caution. Low volatility (stability score 83/100) reduces downside risk.

In summary, DARDEN RESTAURANTS INC (DRI) earns a Reduce rating with a composite score of 45.0/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on DRI stock.

Related Resources for DRI Investors

Explore more research and tools: DRI vs S&P 500 comparison, top Consumer Discretionary stocks, stock screener, our methodology, quality factor explained, value factor explained, momentum factor explained. Compare DRI head-to-head with peers: DRI vs MCRI, DRI vs CASY, DRI vs IMKTA.

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DARDEN RESTAURANTS INC (DRI) Stock Analysis — April 2026 Rating, Price, and Forecast

Company Overview — What Does DARDEN RESTAURANTS INC Do?

DARDEN RESTAURANTS INC (DRI) Stock Rating — Reduce (April 2026)

DRI Stock Price and 52-Week Range

Is DRI Overvalued or Undervalued? — Valuation Analysis

DARDEN RESTAURANTS INC Profitability — ROE, Margins, and Quality Score

DRI Debt, Balance Sheet, and Financial Health

DARDEN RESTAURANTS INC Revenue and Earnings History — Quarterly Trend

DRI Dividend Yield and Income Analysis

DRI Momentum and Technical Analysis Profile

DRI vs Competitors — Consumer Discretionary Sector Ranking and Peer Comparison

DRI Next Earnings Date

Should You Buy DRI? — Investment Thesis Summary

Related Resources for DRI Investors

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