DRI Stock Analysis: Buy, Sell, or Hold?
DRI - Darden Restaurants, Inc.
$199.35
0.02 (0.01%)
▲
BUY
MODERATE Confidence
Last Updated: January 30, 2026
Earnings: Mar 19, 2026
Get Alerted When DRI Hits Your Target Price
Join 10,000+ traders who never miss a move
You're in! Check your email to confirm and set your target price.
100% Free
No spam, ever
Unsubscribe anytime
Interactive Price Chart (1 Month)
Loading chart...
Loading historical data...
Bottom Line:
💡 BUY OPPORTUNITY: DRI shows positive signals but monitor for confirmation. Market pricing in 0.1% annual growth which appears achievable. Moderate conviction.
💡 BUY OPPORTUNITY: DRI shows positive signals but monitor for confirmation. Market pricing in 0.1% annual growth which appears achievable. Moderate conviction.
Long-Term Wealth Forecast (2031)
Based on Analyst Consensus Growth & Historical Valuation
0% (Stagnation)
50% (Hyper Growth)
EST. PRICE IN 2031
$263.42
Based on 5.9% avg growth
INTRINSIC VALUE TODAY
$163.56
Trading above fair value
How this is calculated: We use a Growth Decay Model: starting with analyst consensus growth (adjusted above) and gradually slowing it down to a long-term terminal rate (4%) by Year 5. This provides a more realistic valuation than assuming constant hyper-growth. We then apply a 17.4x Exit PE.
In-depth Analysis How we analyze
Valuation Analysis: DRI is currently trading at $199.35, which is considered fair relative to its 30-day fair value range of $189.25 to $207.86. The stock's valuation (Forward PE: 17.5) is in line with its historical norms (17.4). At these levels, the market is pricing in 0.1% annual earnings growth. This growth rate appears achievable given the company's track record, suggesting the valuation is rational.
Technical Outlook: Technically, DRI is showing sideways momentum. The price is currently testing key support at $194.52. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $222.38 (+11.6%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Technical Outlook: Technically, DRI is showing sideways momentum. The price is currently testing key support at $194.52. A bounce from this level would confirm strength, while a break below could signal further downside.
Market Sentiment: The stock shows a mixed technical setup (40/100), with neutral trendline and momentum signals. Wall Street analysts see significant upside, with an average price target of $222.38 (+11.6%). Combining these factors, the current setup offers a favorable risk/reward ratio for buyers.
Quick Decision Summary
Current Position
FAIR
Fair Price Range
$189.25 -
$207.86
Company Quality Score
58/100
(HOLD)
Volume Confirmation
HIGH
Confidence Score
71.0%
All Signals
- NEUTRAL: Price in fair range
- NEUTRAL: Mixed technical signals (40/100)
- BULLISH: High volume confirmation
- BULLISH: Trading below Wall St target ($222.38)
- NEUTRAL: Market pricing in 0.1% annual earnings growth - fairly valued
Fair Price Analysis
30-Day Fair Range
$189.25 -
$207.86
Current vs Fair Value
FAIR
Support & Resistance Levels
Support Level
$194.52
Resistance Level
$215.84
Current Trend
Sideways
Fundamental Context
Forward P/E (Next Year Est.)
17.49
Wall Street Target
$222.38
(+11.6%)
Revenue Growth (YoY)
7.3%
Earnings Growth (YoY)
11.8%
Profit Margin
8.9%
Valuation Premium vs History
+0.1% premium
PE vs Historical
17.5 vs 17.4
FAIR
Market-Implied Price Targets
If current PE multiple persists
Implied Growth (YoY):
+0.1%
(market-implied from PE analysis)
1-Year Target
$199.53
(+0%)
2-Year Target
$199.73
(+0%)
3-Year Target
$199.93
(+0%)
3-Yr Target (if PE normalizes)
(PE: 17→17)
PE COMPRESSION
$198.91
(0%)
Earnings growth offset by PE compression
3-Year Scenarios
Using analyst projected EPS growth
Bull:
(PE: 22.3, Growth: 7.7%)
$317.35
(+59%)
Base:
(SPY PE: 17.5, Growth: 7.7%)
$248.88
(+25%)
Bear:
(PE: 14.9, Growth: 7.7%)
$211.55
(+6%)
📈
Valuation based on Current Earnings
RECOVERY PLAY: Stock looks expensive now (21x PE), but valuation improves significantly next year (17x PE) as earnings recover.
Trailing PE: 20.58 | Current EPS (TTM): $9.55
Bull Case
$257.97
(+29%)
Analyst growth 19.3%, PE expands to 22.6
Base Case
$234.52
(+18%)
Market implied 19.3%, PE stable at 20.6
Bear Case
$133.62
(-33%)
Severe decline -20.0%, PE contracts to 17.5
These are projections based on PE multiples and EPS growth scenarios, not predictions. Actual results may vary significantly.
Last updated: January 31, 2026 9:29 AM ET
Data refreshes hourly during market hours. Next update: 10:29 AM
Data refreshes hourly during market hours. Next update: 10:29 AM
🔥 Top Stocks Breaking Out Now
| Ticker | Score | Recommendation | Change % |
|---|
Technical Signals Check
Is DRI showing a specific setup today?
Insider Activity (6 Months)
1
Buys
1
Sells
0
Net
INSIDERS SELLING
Recent Transactions
Matthew R Broad
SELL
5661 shares
2025-10-06
Lisa C. McClain
BUY
2025-09-25
Top Rated Restaurants Stocks
Top-rated stocks in Restaurants by analyst ratings.
| Stock | Analyst Consensus | Analyst Target | Tradestie Score |
|---|---|---|---|
|
DPZ
Domino's Pizza Inc Commo… |
BUY
31 analysts |
$488 | 62 BUY |
|
YUMC
Yum China Holdings Inc |
STRONG BUY
23 analysts |
$58 | 63 BUY |
|
QSR
Restaurant Brands Intern… |
BUY
31 analysts |
$78 | 55 HOLD |
|
MCD
McDonald’s Corporation |
BUY
36 analysts |
$333 | 64 BUY |
|
CMG
Chipotle Mexican Grill I… |
STRONG BUY
34 analysts |
$45 | 44 HOLD |
Advanced DRI Option Strategies
Professional options setups generated by AI based on today's DRI price and gamma walls.
