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With a market cap of $23 billion, Darden Restaurants, Inc. (DRI) is a hospitality company that owns and operates a diverse portfolio of full-service restaurant brands across the United States and Canada. It manages well-known chains such as Olive Garden, LongHorn Steakhouse, and Ruth’s Chris Steak House.
The Orlando, Florida-based company is expected to announce its fiscal Q4 2026 results soon. Ahead of this event, analysts predict Darden Restaurants to report an adjusted EPS of $3.64, up 22.2% from $2.98 in the year-ago quarter. It has exceeded or met Wall Street's earnings estimates in two of the last four quarters while missing on two other occasions.
For fiscal 2026, analysts forecast the Olive Garden parent to post an adjusted EPS of $10.61, an increase of 11.1% from $9.55 in fiscal 2025.
Shares of Darden Restaurants have risen marginally over the past 52 weeks, lagging behind both the S&P 500 Index's ($SPX) 29.4% gain and the State Street Consumer Discretionary Select Sector SPDR ETF's (XLY) 18.8% return over the period.
Shares of Darden Restaurants rose 1.9% on Mar. 19 after the company reported strong Q3 2026 results, including total sales growth of 5.9% to $3.3 billion and a same-restaurant sales increase of 4.2%. Investor sentiment was further supported by adjusted EPS of $2.95 (up 5.4%) and solid brand-level performance, particularly at Olive Garden (3.2%) and LongHorn Steakhouse (7.2%).
Additionally, confidence was boosted by a full-year adjusted EPS forecast of $10.57 - $10.67 with ~9.5% expected sales growth.
Analysts' consensus view on DRI stock is cautiously optimistic, with an overall "Moderate Buy" rating. Among 31 analysts covering the stock, 19 recommend "Strong Buy," one suggests "Moderate Buy," and 11 indicate “Hold.” The average analyst price target for Darden Restaurants is $226.66, suggesting a potential upside of 13.1% from current levels.
