Piper Sandler Lifts Darden Restaurants (DRI) Target, Cites Continued Traffic Strength

Darden Restaurants, Inc. (NYSE:DRI) will trade ex-dividend on July 10, putting it among the 10 Best July Dividend Stocks to Buy.

On June 26, Piper Sandler raised its price recommendation on Darden Restaurants, Inc. (NYSE:DRI) to $212 from $208. It reiterated a Neutral rating on the stock. Following Darden’s fourth-quarter results, analyst Brian Mullan said the company’s Q4 performance and initial FY27 guidance were broadly in line with expectations. He noted that the upper end of the adjusted EPS guidance came in close to the pre-print consensus. In a research note, Mullan said management pointed to the company’s ongoing scale advantages across its brands, which continue to support stronger traffic and same-store sales growth than the broader restaurant industry. The firm expects those trends to continue.

Also on June 26, BTIG raised its price goal on Darden to $235 from $225. It maintained a Buy rating on the shares. The analyst said Darden’s Q4 comparable sales exceeded expectations, reflecting a resilient consumer as traffic increased across all income groups despite elevated gas prices and broader economic pressures. The firm added that sales trends appeared stronger than earnings, as higher marketing costs, pre-opening expenses, and diesel costs weighed on profitability.

Darden Restaurants, Inc. (NYSE:DRI) owns and operates full-service dining restaurants in the United States under the trade names Olive Garden, LongHorn Steakhouse, Cheddar’s Scratch Kitchen, Chuy’s, Yard House, Ruth’s Chris Steak House (Ruth’s Chris), The Capital Grille, Seasons 52, Eddie V’s Prime Seafood (Eddie V’s), Bahama Breeze, and The Capital Burger.

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