Freedom Investment Management Inc. has decreased its holdings in Darden Restaurants, Inc. (NYSE: DRI) by 11.3% during the second quarter of 2023. According to its recent Form 13F filing with the Securities and Exchange Commission, the institutional investor now owns 4,212 shares of the restaurant operator after selling 537 shares in the reported period. As of the latest filing, Freedom Investment Management’s stake in Darden Restaurants is valued at approximately $918,000.
Other institutional investors have also adjusted their positions in Darden Restaurants. Notably, Centennial Bank AR acquired a new stake valued at around $31,000, while Alpine Bank Wealth Management and SouthState Corp purchased stakes worth approximately $34,000 and $36,000, respectively. Rise Advisors LLC increased its holdings by 32.2%, acquiring an additional 49 shares, bringing their total to 201 shares valued at $42,000. Meanwhile, Migdal Insurance & Financial Holdings Ltd. also entered the market with a new stake valued at around $44,000. Currently, institutional investors hold approximately 93.64% of Darden Restaurants’ stock.
Darden Restaurants Stock Performance and Upcoming Dividend
On October 6, 2023, shares of Darden Restaurants opened at $184.92. The stock has fluctuated in the past year, reaching a low of $157.89 and a high of $228.27. The company’s fifty-day moving average stands at $197.74, while its two-hundred-day moving average is $204.61. Darden Restaurants maintains a debt-to-equity ratio of 0.96, a current ratio of 0.40, and a quick ratio of 0.27. The firm boasts a market capitalization of $21.51 billion, a price-to-earnings ratio of 19.82, a PEG ratio of 1.71, and a beta of 0.77.
Additionally, Darden Restaurants has announced a quarterly dividend of $1.50 per share, which will be paid on November 3, 2023. Stockholders of record on October 10, 2023, will receive the dividend, which represents an annualized total of $6.00 and a dividend yield of 3.2%. The company’s payout ratio currently stands at 64.31%.
Insider Transactions and Analyst Ratings
In recent insider trading activities, Senior Vice President Matthew R. Broad sold 5,661 shares on October 6, 2023, for an average price of $193.40, totaling approximately $1,094,837.40. Following this transaction, Broad retains 13,916 shares valued at around $2,691,354.40, marking a 28.92% reduction in his position. Another insider, Laura B. Williamson, sold 523 shares on July 30, 2023, at an average price of $204.65, resulting in a transaction of approximately $107,031.95. Insiders have collectively sold 7,341 shares worth about $1,438,707 over the past three months and now hold 0.49% of the company’s stock.
Equity analysts have recently provided updated ratings on Darden Restaurants. Morgan Stanley raised its price target from $235.00 to $238.00, maintaining an “overweight” rating. Argus lowered its target from $260.00 to $220.00, designating it as a “buy.” The Goldman Sachs Group upgraded its rating from “neutral” to “buy,” setting a target price of $225.00. Weiss Ratings reaffirmed a “buy (b)” rating, while Stephens maintained an “equal weight” rating with a target price of $215.00. Overall, twenty analysts have assigned a “buy” rating, while nine have given a “hold” rating, leading to an average rating of “Moderate Buy” and a consensus price target of $227.15, according to MarketBeat.com.
Darden Restaurants, Inc., along with its subsidiaries, operates a variety of full-service restaurants across the United States and Canada, under popular brands such as Olive Garden, LongHorn Steakhouse, and The Capital Grille.
