Darden Restaurants, Inc. (NYSE:DRI) Shares Purchased by Saxon Interests Inc.

Saxon Interests Inc. increased its stake in shares of Darden Restaurants, Inc. (NYSE:DRI) by 10.5% in the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 3,954 shares of the restaurant operator’s stock after purchasing an additional 375 shares during the quarter. Saxon Interests Inc.’s holdings in Darden Restaurants were worth $661,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. Rise Advisors LLC lifted its holdings in Darden Restaurants by 131.3% during the 1st quarter. Rise Advisors LLC now owns 155 shares of the restaurant operator’s stock worth $26,000 after buying an additional 88 shares during the last quarter. Fortitude Family Office LLC purchased a new stake in Darden Restaurants during the 4th quarter worth about $29,000. Hartford Financial Management Inc. lifted its holdings in Darden Restaurants by 65.1% during the 4th quarter. Hartford Financial Management Inc. now owns 180 shares of the restaurant operator’s stock worth $30,000 after buying an additional 71 shares during the last quarter. Tennessee Valley Asset Management Partners purchased a new stake in Darden Restaurants during the 4th quarter worth about $33,000. Finally, McGlone Suttner Wealth Management Inc. purchased a new stake in Darden Restaurants during the 4th quarter worth about $35,000. 93.64% of the stock is owned by institutional investors and hedge funds.

Darden Restaurants Price Performance

DRI stock traded down $1.56 on Tuesday, reaching $146.77. The company had a trading volume of 1,059,036 shares, compared to its average volume of 1,201,009. Darden Restaurants, Inc. has a 1 year low of $133.36 and a 1 year high of $176.84. The company has a debt-to-equity ratio of 0.61, a quick ratio of 0.24 and a current ratio of 0.38. The company’s fifty day moving average is $150.32 and its 200 day moving average is $159.11. The company has a market cap of $17.52 billion, a P/E ratio of 17.23, a PEG ratio of 1.73 and a beta of 1.29.

Darden Restaurants (NYSE:DRI) last issued its quarterly earnings results on Thursday, June 20th. The restaurant operator reported $2.65 earnings per share for the quarter, topping analysts’ consensus estimates of $2.61 by $0.04. Darden Restaurants had a return on equity of 49.82% and a net margin of 9.02%. The company had revenue of $3 billion for the quarter, compared to analyst estimates of $2.97 billion. During the same quarter in the prior year, the company posted $2.58 EPS. The business’s revenue for the quarter was up 8.3% compared to the same quarter last year. On average, research analysts forecast that Darden Restaurants, Inc. will post 9.5 earnings per share for the current year.

Darden Restaurants Cuts Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, August 1st. Investors of record on Wednesday, July 10th will be given a $1.29 dividend. This represents a $5.16 annualized dividend and a dividend yield of 3.52%. The ex-dividend date of this dividend is Wednesday, July 10th. Darden Restaurants’s dividend payout ratio (DPR) is currently 61.50%.

Darden Restaurants announced that its Board of Directors has initiated a stock repurchase plan on Thursday, March 21st that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the restaurant operator to repurchase up to 5% of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s management believes its shares are undervalued.

Wall Street Analysts Forecast Growth

Several analysts have recently weighed in on DRI shares. Argus reduced their target price on Darden Restaurants from $186.00 to $175.00 and set a “buy” rating for the company in a report on Tuesday, June 25th. Bank of America boosted their target price on Darden Restaurants from $180.00 to $185.00 and gave the company a “buy” rating in a report on Friday, June 21st. Evercore ISI reduced their target price on Darden Restaurants from $170.00 to $165.00 and set an “in-line” rating for the company in a report on Thursday, June 13th. TD Cowen reissued a “buy” rating and issued a $170.00 target price on shares of Darden Restaurants in a report on Thursday, June 20th. Finally, BTIG Research raised Darden Restaurants from a “neutral” rating to a “buy” rating and set a $175.00 target price for the company in a report on Friday, May 17th. Five analysts have rated the stock with a hold rating and seventeen have assigned a buy rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $174.24.

Insider Buying and Selling

In related news, SVP Matthew R. Broad sold 4,707 shares of the stock in a transaction on Thursday, April 25th. The stock was sold at an average price of $156.15, for a total value of $734,998.05. Following the transaction, the senior vice president now directly owns 19,179 shares of the company’s stock, valued at approximately $2,994,800.85. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. In related news, Director William S. Simon sold 1,219 shares of the stock in a transaction on Monday, April 8th. The stock was sold at an average price of $158.21, for a total value of $192,857.99. Following the completion of the sale, the director now directly owns 6,281 shares in the company, valued at approximately $993,717.01. The sale was disclosed in a legal filing with the SEC, which can be accessed through the SEC website. Also, SVP Matthew R. Broad sold 4,707 shares of the stock in a transaction on Thursday, April 25th. The shares were sold at an average price of $156.15, for a total value of $734,998.05. Following the completion of the sale, the senior vice president now owns 19,179 shares of the company’s stock, valued at $2,994,800.85. The disclosure for this sale can be found here. Corporate insiders own 0.85% of the company’s stock.

Darden Restaurants Company Profile

Darden Restaurants, Inc, together with its subsidiaries, owns and operates full-service restaurants in the United States and Canada. It operates under Olive Garden, LongHorn Steakhouse, Cheddar's Scratch Kitchen, Yard House, The Capital Grille, Seasons 52, Bahama Breeze, Eddie V's Prime Seafood, and Capital Burger brand names.