Q3 EPS Forecast for Darden Restaurants Reduced by Analyst

Darden Restaurants, Inc. (NYSE:DRI) – Equities research analysts at Zacks Research dropped their Q3 2026 earnings estimates for shares of Darden Restaurants in a report issued on Wednesday, December 31st. Zacks Research analyst Team now forecasts that the restaurant operator will post earnings of $2.96 per share for the quarter, down from their previous estimate of $2.97. The consensus estimate for Darden Restaurants’ current full-year earnings is $9.52 per share. Zacks Research also issued estimates for Darden Restaurants’ Q4 2026 earnings at $3.55 EPS, FY2026 earnings at $10.56 EPS, Q1 2027 earnings at $2.10 EPS, Q2 2027 earnings at $2.26 EPS, Q3 2027 earnings at $3.30 EPS, Q4 2027 earnings at $3.62 EPS, FY2027 earnings at $11.29 EPS, Q1 2028 earnings at $2.16 EPS and Q2 2028 earnings at $2.62 EPS.

Darden Restaurants (NYSE:DRI) last issued its quarterly earnings data on Thursday, December 18th. The restaurant operator reported $2.08 EPS for the quarter, missing analysts’ consensus estimates of $2.10 by ($0.02). The company had revenue of $3.10 billion for the quarter, compared to the consensus estimate of $3.07 billion. Darden Restaurants had a return on equity of 52.44% and a net margin of 8.92%.Darden Restaurants’s quarterly revenue was up 7.3% compared to the same quarter last year. During the same quarter in the previous year, the company earned $2.03 earnings per share. Darden Restaurants has set its FY 2026 guidance at 10.500-10.700 EPS.

Several other equities research analysts have also commented on the stock. Truist Financial dropped their price target on shares of Darden Restaurants from $252.00 to $240.00 and set a “buy” rating on the stock in a research note on Friday, September 19th. Jefferies Financial Group decreased their price objective on Darden Restaurants from $210.00 to $200.00 and set a “hold” rating for the company in a report on Monday, December 15th. Bank of America raised their target price on Darden Restaurants from $253.00 to $254.00 and gave the company a “buy” rating in a research report on Tuesday, September 16th. UBS Group reiterated a “buy” rating on shares of Darden Restaurants in a research report on Friday, December 19th. Finally, Weiss Ratings reissued a “hold (c+)” rating on shares of Darden Restaurants in a research note on Monday, December 29th. Nineteen investment analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $223.75.

Darden Restaurants Trading Up 1.7%

Shares of NYSE:DRI opened at $187.12 on Monday. The company has a quick ratio of 0.26, a current ratio of 0.39 and a debt-to-equity ratio of 1.03. The company’s 50-day moving average price is $180.31 and its 200 day moving average price is $195.43. The company has a market cap of $21.76 billion, a PE ratio of 19.61, a P/E/G ratio of 1.79 and a beta of 0.64. Darden Restaurants has a fifty-two week low of $169.00 and a fifty-two week high of $228.27.

Institutional Investors Weigh In On Darden Restaurants

A number of institutional investors and hedge funds have recently modified their holdings of the stock. Twin Peaks Wealth Advisors LLC acquired a new stake in shares of Darden Restaurants during the second quarter worth $26,000. Quent Capital LLC purchased a new position in Darden Restaurants in the 3rd quarter worth about $27,000. True Wealth Design LLC increased its stake in Darden Restaurants by 419.2% in the 2nd quarter. True Wealth Design LLC now owns 135 shares of the restaurant operator’s stock worth $29,000 after purchasing an additional 109 shares in the last quarter. Elevation Point Wealth Partners LLC acquired a new stake in Darden Restaurants during the 2nd quarter worth about $29,000. Finally, Ameriflex Group Inc. purchased a new stake in Darden Restaurants during the third quarter valued at about $35,000. Institutional investors and hedge funds own 93.64% of the company’s stock.

Darden Restaurants Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, February 2nd. Shareholders of record on Friday, January 9th will be given a $1.50 dividend. The ex-dividend date is Friday, January 9th. This represents a $6.00 annualized dividend and a yield of 3.2%. Darden Restaurants’s payout ratio is 62.89%.

Trending Headlines about Darden Restaurants

Here are the key news stories impacting Darden Restaurants this week:

• Positive Sentiment: Zacks issued several upward revisions: they raised FY2026 EPS to $10.56 (from $10.53) and bumped a couple of quarterly estimates (Q4 2027 to $3.62 and Q1 2027 to $2.10). These upgrades point to modestly stronger near-term profitability expectations and can support positive sentiment for DRI. Zacks / MarketBeat DRI estimates update
• Neutral Sentiment: A sector story highlights Darden as one of two “oversold” restaurant stocks offering strong dividends, which could attract income-focused investors and provide a valuation floor, but it does not change near-term fundamentals. 2 Oversold Restaurant Stocks Offering Strong Dividends
• Negative Sentiment: Offsetting the upgrades, Zacks trimmed multiple quarter and full‑year estimates across 2026–2028 (notable cuts: Q1 2028 to $2.16 from $2.39, Q2 2027 and several other quarters modestly lower; FY2027 trimmed to $11.29). These downward revisions signal potential near-term margin or demand pressures and represent a headwind for the stock if trends persist. Zacks / MarketBeat DRI estimates update (cuts)

Darden Restaurants Company Profile

Darden Restaurants, Inc is a multi-brand, full-service restaurant company headquartered in Orlando, Florida. The company owns and operates a portfolio of casual and fine-dining concepts that together serve millions of guests through company-owned and franchised locations. Its well-known brands include Olive Garden and LongHorn Steakhouse, alongside other dining concepts that span Italian, American, steakhouse and upscale casual formats.

Darden’s restaurants provide a range of guest-facing services including dine-in, takeout, delivery and catering, and feature menus tailored to each brand’s positioning—Italian-American fare at Olive Garden, steaks and grilled items at LongHorn, and more premium steakhouse and chef-driven offerings at its upscale concepts.