Darden Restaurants, Inc. DRI will release earnings results for its fiscal 2025 first quarter, before the opening bell on Thursday.
DRI's first-quarter fiscal 2025 performance is likely to have benefited from menu simplifications, unit-expansion efforts and Ruth's Chris integration.
Olive Garden's extensive footprint and dominant market position have not shielded it from challenges in a price-sensitive environment, necessitating a shift towards value promotions. Longhorn Steakhouse, Darden's second-largest brand, continues to perform well without heavy promotions, highlighting the importance of perceived value in the restaurant industry. Darden's stock, currently trading at around $160, has a potential upside to $170-$180, contingent on maintaining historical ROA and leveraging value promotions to boost traffic.
Get a deeper insight into the potential performance of Darden Restaurants (DRI) for the quarter ended August 2024 by going beyond Wall Street's top -and-bottom-line estimates and examining the estimates for some of its key metrics.
Darden Restaurants, Inc. DRI will release earnings results for its fiscal 2025 first quarter, before the opening bell on Thursday, Sept. 19.
The numbers from Placer.ai, which tracks retail and foot traffic bode well for Darden's fiscal first-quarter earnings.
Darden Restaurants (DRI) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
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Darden Restaurants (DRI) saw its shares surge in the last session with trading volume being higher than average. The latest trend in earnings estimate revisions could translate into further price increase in the near term.
The restaurant industry is facing significant difficulties including slow traffic, high operating costs, and intense price wars. These issues are contributing to a broader market correction influenced by economic factors. Texas Roadhouse has maintained positive sales trends without frequent price increases, showing strong traffic and average check growth. The company avoids engaging in price wars. Darden is navigating market challenges by maintaining operational efficiency and avoiding aggressive promotional tactics. Despite a decline in Olive Garden's traffic, brands like Longhorn Steakhouse have shown resilience.
Darden (DRI) is set to diversify its product offerings and reach out to new customers by acquiring Chuy's Holdings. The transaction is expected to close by Darden's second-quarter fiscal 2025.
Darden agreed to acquire all outstanding shares of Chuy's at $37.50 per share, according to a press release. The Tex-Mex restaurant chain joins Darden's portfolio that includes restaurants such as Olive Garden, LongHorn Steakhouse and Ruth's Chris Steak House.