Historical Valuation
Darden Restaurants Inc (DRI) is now in the Undervalued zone, suggesting that its current forward PE ratio of 16.94 is considered Undervalued compared with the five-year average of 18.05. The fair price of Darden Restaurants Inc (DRI) is between 231.05 to 274.15 according to relative valuation methord. Compared to the current price of 202.36 USD , Darden Restaurants Inc is Undervalued By 12.42%.
Relative Value
Fair Zone
231.05-274.15
Current Price：202.36
12.42%
Undervalued
P/E
EV/EBITDA
EV/EBIT
P/S
P/OCF
P/FCF
1Y
3Y
5Y
Trailing
Forward
Darden Restaurants Inc (DRI) has a current Price-to-Book (P/B) ratio of 10.38. Compared to its 3-year average P/B ratio of 9.35 , the current P/B ratio is approximately 10.93% higher. Relative to its 5-year average P/B ratio of 8.49, the current P/B ratio is about 22.26% higher. Darden Restaurants Inc (DRI) has a Forward Free Cash Flow (FCF) yield of approximately 4.61%. Compared to its 3-year average FCF yield of 4.95%, the current FCF yield is approximately -6.78% lower. Relative to its 5-year average FCF yield of 4.89% , the current FCF yield is about -5.60% lower.
P/B
Median3y
9.35
Median5y
8.49
FCF Yield
Median3y
4.95
Median5y
4.89
Competitors Valuation Multiple
AI Analysis for DRI
The average P/S ratio for DRI competitors is 2.33, providing a benchmark for relative valuation. Darden Restaurants Inc Corp (DRI.N) exhibits a P/S ratio of 1.59, which is -31.58% above the industry average. Given its robust revenue growth of 7.34%, this premium appears unsustainable.
Performance Decomposition
AI Analysis for DRI
1Y
3Y
5Y
Market capitalization of DRI increased by 0.00% over the past 1 year. The primary factor behind the change was an decrease in Unknown from 0.00 to 0.00.
The secondary factor is the Unknown, contributed 0.00%to the performance.
Overall, the performance of DRI in the past 1 year is driven by Unknown.
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Frequently Asked Questions
Is DRI currently overvalued or undervalued?
Darden Restaurants Inc (DRI) is now in the Undervalued zone, suggesting that its current forward PE ratio of 16.94 is considered Undervalued compared with the five-year average of 18.05. The fair price of Darden Restaurants Inc (DRI) is between 231.05 to 274.15 according to relative valuation methord. Compared to the current price of 202.36 USD , Darden Restaurants Inc is Undervalued By 12.42% .
What is Darden Restaurants Inc (DRI) fair value?
DRI's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average , adjusted by weights. The fair price of Darden Restaurants Inc (DRI) is between 231.05 to 274.15 according to relative valuation methord.
How does DRI's valuation metrics compare to the industry average?
The average P/S ratio for DRI's competitors is 2.33, providing a benchmark for relative valuation. Darden Restaurants Inc Corp (DRI) exhibits a P/S ratio of 1.59, which is -31.58% above the industry average. Given its robust revenue growth of 7.34%, this premium appears unsustainable.
What is the current P/B ratio for Darden Restaurants Inc (DRI) as of Jan 10 2026?
As of Jan 10 2026, Darden Restaurants Inc (DRI) has a P/B ratio of 10.38. This indicates that the market values DRI at 10.38 times its book value.
What is the current FCF Yield for Darden Restaurants Inc (DRI) as of Jan 10 2026?
As of Jan 10 2026, Darden Restaurants Inc (DRI) has a FCF Yield of 4.61%. This means that for every dollar of Darden Restaurants Inc’s market capitalization, the company generates 4.61 cents in free cash flow.
What is the current Forward P/E ratio for Darden Restaurants Inc (DRI) as of Jan 10 2026?
As of Jan 10 2026, Darden Restaurants Inc (DRI) has a Forward P/E ratio of 16.94. This means the market is willing to pay $16.94 for every dollar of Darden Restaurants Inc’s expected earnings over the next 12 months.
What is the current Forward P/S ratio for Darden Restaurants Inc (DRI) as of Jan 10 2026?
As of Jan 10 2026, Darden Restaurants Inc (DRI) has a Forward P/S ratio of 1.59. This means the market is valuing DRI at $1.59 for every dollar of expected revenue over the next 12 months.