Freedom Investment Management Inc. has decreased its stake in Darden Restaurants, Inc. (NYSE: DRI) by 11.3%, according to a recent filing with the Securities and Exchange Commission. The institutional investor now holds 4,212 shares of the restaurant operator after selling 537 shares in the second quarter. As of the latest filing, Freedom Investment Management’s holdings in Darden Restaurants were valued at approximately $918,000.
Other institutional investors have also made adjustments to their positions in Darden. For instance, Centennial Bank AR purchased a new stake worth around $31,000 during the first quarter, while Alpine Bank Wealth Management acquired a position valued at about $34,000. Additionally, SouthState Corp bought shares worth approximately $36,000, and Rise Advisors LLC increased its stake by 32.2%, owning 201 shares valued at $42,000 after acquiring an additional 49 shares recently. Overall, institutional investors hold 93.64% of Darden’s stock.
Darden Restaurants’ Market Performance and Dividend Announcement
On the trading front, shares of Darden Restaurants opened at $184.92 on Friday, reflecting a 0.8% decrease in value. The company’s stock has experienced a one-year low of $157.89 and a one-year high of $228.27. Current moving averages stand at $197.74 for the 50-day and $204.61 for the 200-day periods. Darden Restaurants has a market capitalization of $21.51 billion, a price-to-earnings ratio of 19.82, and a PEG ratio of 1.71.
The firm also announced a quarterly dividend to be paid on November 3, 2023. Stockholders of record as of October 10, 2023 will receive a dividend of $1.50 per share, resulting in an annualized dividend of $6.00 and a yield of 3.2%. Currently, Darden’s payout ratio is approximately 64.31%.
Insider Transactions and Analyst Ratings
In insider trading news, Senior Vice President Matthew R. Broad sold 5,661 shares of Darden stock on October 6, 2023, at an average price of $193.40, totaling approximately $1,094,837.40. Following this transaction, he now owns 13,916 shares valued at about $2,691,354.40, representing a 28.92% decrease in his position. Another insider, Laura B. Williamson, sold 523 shares on July 30, 2023, for approximately $107,031.95, which translates to an 8.80% decrease in her holdings.
In recent analyst assessments, Morgan Stanley upgraded its price target for Darden Restaurants from $235.00 to $238.00 while maintaining an “overweight” rating. Argus lowered its target from $260.00 to $220.00 with a “buy” rating. Additionally, The Goldman Sachs Group elevated its rating from “neutral” to “buy” with a price target of $225.00. Weiss Ratings reaffirmed a “buy (b)” rating, while Stephens maintained an “equal weight” rating with a target of $215.00. According to MarketBeat.com, Darden Restaurants has an average rating of “Moderate Buy” with a consensus price target of $227.15.
Darden Restaurants, together with its subsidiaries, operates a variety of full-service restaurants across the United States and Canada, including well-known brands such as Olive Garden, LongHorn Steakhouse, and The Capital Grille.
