Darden Restaurants Inc. has arrived. (NYSE:) reached an all-time high, with its stock price rising to $188.91. This achievement reflects significant upside for the company, which operates a network of well-known restaurant chains. With a market capitalization of $22.2 billion and a price-to-earnings ratio of 21.4. InvestingPro The analysis indicates that the stock is trading slightly above its fair value. Over the past year, Darden Restaurants has seen its stock value increase by 15.43%, with an impressive six-month gain of 25%. The company maintains a strong 3% dividend yield and has paid a dividend consistently for 30 consecutive years. Achieving this all-time high price level represents a notable event for the company and its shareholders, with 12 analysts recently revising earnings forecasts upward. InvestingPro Subscribers can access 8 additional key insights into DRI's financial health and growth prospects.
In other recent news, Darden Restaurants has been in the spotlight for impressive earnings and revenue results, with its fiscal 2025 second quarter performance exceeding expectations. BMO Capital, Stevens, Oppenheimer, KeyBank Capital Markets, Baird, and Raymond (NS:) James all raised Darden's price targets, reflecting confidence in the company's financial trajectory. Darden reported fiscal 2025 second-quarter earnings per share of $2.03, beating the consensus estimate of $2.02, driven by stronger comparable sales and lower food costs. The company's revenue grew nearly 6% over the past 12 months to $11.4 billion.
Darden reaffirmed its full-year 2025 earnings per share guidance, which is expected to be between $9.40 and $9.60, and revised its full-year 2025 comparable sales guidance to about 1.5%. The company's strong financial health is evidenced by its consistent dividend, which it has maintained for 30 consecutive years. These are the latest developments in Darden's financial journey.
Analysts from various firms, such as Oppenheimer and Baird, have expressed optimism about Darden's initiatives, including new advertising strategies and the planned national rollout of Olive Garden's delivery service. However, they maintain a cautious stance due to the need for evidence of sustainable improvements in same-store traffic performance.
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