Mizuho upgrades Darden Restaurants to Outperform amid strong sales forecast
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 23 2026
0mins
Should l Buy DRI?
Source: moomoo
Darden Restaurants Inc (DRI) saw its shares decline by 5.01%, hitting a 5-day low, despite positive market conditions with the Nasdaq-100 and S&P 500 both up over 0.6%.
Mizuho Securities upgraded Darden Restaurants from Neutral to Outperform, reflecting optimism about the casual dining sector and the company's potential to benefit from industry trends. Analyst Nick Setyan raised the Olive Garden's FQ3 same-store sales growth estimate to 5.0%, surpassing the consensus estimate of 4.5%, indicating strong brand performance. This upgrade suggests that Darden is expected to outperform its previous performance metrics, despite the recent stock decline.
The upgrade by Mizuho highlights the potential for Darden to improve its profitability and competitive position in the market, particularly with anticipated margin improvements amid cooling inflation. Investors may view this as a buying opportunity, given the positive outlook for the company's future performance.
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Analyst Views on DRI
Wall Street analysts forecast DRI stock price to rise
20 Analyst Rating
13 Buy
7 Hold
0 Sell
Moderate Buy
Current: 201.640
Low
200.00
Averages
224.35
High
261.00
Current: 201.640
Low
200.00
Averages
224.35
High
261.00
About DRI
Darden Restaurants, Inc. is a restaurant company. The Company owns and operates full-service dining restaurants in the United States and Canada under the trade names Olive Garden, LongHorn Steakhouse, Yard House, Ruth's Chris Steak House, Cheddar's Scratch Kitchen, The Capital Grille, Chuy's, Seasons 52, Eddie V's and Bahama Breeze. It owns and operates approximately 2,140 restaurants in the United States and Canada. Its segments include Olive Garden, LongHorn Steakhouse, Fine Dining, and Other Businesses. Olive Garden is a full-service Italian dining restaurant operator in the United States. LongHorn Steakhouse is a full-service steakhouse restaurant, which features a variety of menu items including signature steaks and chicken, as well as salmon, shrimp, and burgers. Fine Dining includes Ruth’s Chris, The Capital Grille and Eddie V’s. Other businesses include Cheddar’s Scratch Kitchen, Yard House, Bahama Breeze, Seasons 52, and The Capital Burger.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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