DRI stock: buy or sell?
February 27th, 2020
Darden Restaurants, Inc., through its subsidiaries, owns and operates full-service restaurants in the United States and Canada.
Should I buy DRI stock?Make a decision about when to buy or sell stocks is one of the hardest parts of being a trader or investor. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best time to buy them. There are thousands of trading strategies for you to choose, but at Stocks2.com we prefer those that are simple but successful.
Currently, Darden Restaurants stock doesn't match any of these trading strategies, so our recommendation is not to buy.
|New all-time high||No|
|New 52 week high||No|
|Price crossing up 200d MA||No|
|100d MA crossing up 200d MA||No|
Is Darden Restaurants stock a buy?
Everyday, hundreds of stock ratings are posted by financial analysts to indicate a particular stock's attractiveness.Unfortunately, we couldn't find any rating for DRI stock for the last 30 days.
DRI stock analysis
Shares of Darden Restaurants plunged a frightening -7.20% and closed at $99.36.
Darden Restaurants closed today at $99.36 and plunged a frightening -7.20%. DRI shows a short term strength with several rising tops and rising bottoms. In the very short term, on Feb/18 it marked a new bottom at $119.01 that should act a support if Darden Restaurants starts a trading flat base in the range of $119.01 - $124.01 Trading the long side, we should wait to a new breakout over $124.01 to find the next buy point.
Shares of Darden Restaurants plunged a bloodcurdling -17.95% this week.
This week, Darden Restaurants stock lost the significant level of the 40-weeks moving average. Trading stocks that are under the 40-weeks (that is, 200-days) moving average mark is not recommended by many experts, as it indicates that the stock has not enough institutional support. Far behind is the all-time high Darden Restaurants recorded early September and since then the price is -21.41% below that top.
DRI stock price history
DRI stock went public on May 9th, 1995 with a price of $3.141. Since then, DRI stock grew a 3,064.30%, with an average of 127.70% per year. If you had invested right after DRI's IPO a $1,000 in DRI stock in 1995, it would worth $30,643.00 today.
1: Adjusted price after possible price splits or reverse-splits.
DRI stock historical price chart
DRI stock reached all-time highs on September with a price of $126.43.
DRI stock price targetHow much a stock will be priced tomorrow or next week is quite unpredictable However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. The accuracy of these stock price predictions is not very high, and you should not blindly believe and make decisions only based on what this ratings or price target predictions say. For the last month we have not detected any price prediction for Darden Restaurants stock by any trusted analyst.
Financials and fundamental analysis
Earnings date and Earnings per ShareOn March, Darden Restaurants reported its latest financial data, close to analysts' consensus and posted a $1.80 Earnings per Share. As soon as we get its actual EPS from the earnings report, we will update this review.
|Quarter||Reporting date||Estimated EPS||Actual EPS||Surprise|
Annual financial resultsIn 2018, Darden Restaurants annual sales skyrocketed an extraordinary 12.69% to $8,080.10 million USD from $7,170.20 marked in 2017. When comparing 2018 vs 2017, nevertheless, profit margin (that is, the net income divided by revenues) remained stable a 0.69% to 7.38%. To have an updated picture of the financial situation of Darden Restaurants, we have calculated the trailing twelve month (TTM) sales and income figures. TTM values are the sum of the last 4 quarters and aproximate to an annual fiscal report ending in 2019-Q1 that can be compared to 2018 fiscal year results. Annual Darden Restaurants TTM sales up to February 2019 were $8,415.40 and earnings were $679.90 million dollars. If we compare this TTM figures with the last reported annuality, we can esteem Darden Restaurants business evolution since May 2018: Annual sales up to February, compared to lastest yearly report, gained a nice 4.15%. In contrary, profit margin (net income/revenues) stayed stable at 7.38%.
|2013||$8,550 M||-||$413 M4.8%||-|
|2014||$6,290 M||-26.43%||$183 M2.9%||-55.60%|
|2015||$6,764 M||7.54%||$710 M10.5%||287.28%|
|2016||$6,934 M||2.51%||$375 M5.4%||-47.15%|
|2017||$7,170 M||3.41%||$479 M6.7%||27.76%|
|2018||$8,080 M||12.69%||$596 M7.4%||24.40%|
|TTM||$8,415 M||4.15%||$680 M8.1%||14.08%|
Quarterly financial resultsDarden Restaurants posted $2,246.50 M in sales for 2019-Q1, a 13.84% up compared to previous quarter. Reported quarter earnings marked $223.60 million with a profit margin of 9.95%. Profit margin raised a 4.10% compared to previous quarter when profit margin was 5.86%. When comparing turnover to same quarter last year, Darden Restaurants sales marked a decent increase and jumped a 5.55%.
|2017-Q2||$1,930 M||-||$125 M6.5%||-|
|2017-Q3||$1,940 M||0.52%||$121 M6.3%||-3.27%|
|2017-Q4||$1,882 M||-3.02%||$85 M4.5%||-30.17%|
|2018-Q1||$2,128 M||13.12%||$218 M10.2%||157.14%|
|2018-Q2||$2,134 M||0.27%||$175 M8.2%||-19.88%|
|2018-Q3||$2,061 M||-3.41%||$166 M8.1%||-4.76%|
|2018-Q4||$1,973 M||-4.27%||$116 M5.9%||-30.45%|
|2019-Q1||$2,247 M||13.84%||$224 M10.0%||93.43%|
Darden Restaurants ownershipWhen you are planning to buy shares of a stock, it's worth to overview its ownership structure.
Management staff in all public traded companies that hold equity is required to report every transaction to the SEC. For Darden Restaurants, 0.25% of all outstanding shares are owned by its staff.
Bearish positions for DRI stock account 0.00%, no big difference from last month.
The following table compares ownership indicators for other stocks related to Darden Restaurants:
|Market cap||$12.2 B|
|Total shares||122.6 M|
|Float shares||121.2 M|
|- Institutional holdings (%)||95.0%|
|- Insider holdings (%)||0.2%|
|Shares in short selling||0.0%|
|Thursday, February 27th, 2020|
|Day range||$99.33 - $104.51|
|Average true range||$2.87|
|50d mov avg||$114.67|
|100d mov avg||$113.83|
|200d mov avg||$116.36|
Darden Restaurants performanceTo measure stock performance is always good to benchmark with competitors or related stocks. In the following table, we compare Darden Restaurants performance to :
Darden Restaurants competitorsUnfortunately, we could not find any public company that could be defined as Darden Restaurants competitor. This doesn't mean Darden Restaurants does not have any competitor in the market, it's just we could not detected it.
Latest DRI stock news
- InvestorPlaceDarden Restaurants Earnings: DRI Stock Edges Higher on Q4 Profit BeatJune 20, 2019
- Seeking AlphaDarden Restaurants: Well Worth An InvestmentJune 5, 2019
- InvestorPlaceWhy Darden Restaurants Stock Can Keep WinningMarch 25, 2019
- InvestorPlaceDarden Restaurants Earnings: DRI Stock Gains on Q3 Beat, GuidanceMarch 21, 2019
- Seeking AlphaDarden Restaurants Can Continue To OutperformDecember 26, 2018