Tue, Jun. 23, 7:31 AM
- Darden Restaurants (NYSE:DRI) announces it will pursue a REIT separation of its business.
- The company plans to transfer ~430 of its company-owned restaurants to the REIT under a leaseback arrangement.
- Proceeds will go to retiring long-term debt.
- Previously: Darden Restaurants beats by $0.15, beats on revenue
- Previously: Profit jumps at Darden Restaurants as Starboard effect takes hold
- DRI +7.0% premarket.
Tue, Jun. 23, 7:24 AM
- Darden Restaurants (NYSE:DRI) reports same-restaurants sales increased 3.8% in FQ4.
- Comp growth by brand: Olive Garden +3.4%, Yard House +3.2%, LongHorn Steakhouse +5.2%, Seasons 52 +3.1%, The Capital Grille +4.4%, Bahama Breeze +1.7%, Eddie V's +5.2%.
- Total operating costs and expenses increased at a slower pace than sales, up 9.3% Y/Y to $1.7278B.
- The company saw profit increase at all four segments during the quarter.
- Guidance: Darden sees full-year EPS of $3.05-$3.20 vs. $2.88.
- Previously: Darden Restaurants beats by $0.15, beats on revenue
- DRI +7.1% premarket to $74.29.
Tue, Jun. 23, 7:13 AM
Mon, Jun. 22, 5:30 PM
Fri, Jun. 19, 10:09 AM
- KB Home CEO Jeffrey Mezger is confident of his company's ability to achieve "measurable year-over-year earnings growth in H2" after reporting new order growth of 33% in units and 38% in dollars in FQ2, and backlog growth of 39% in units and 57% in dollars.
- KB Home is up 6%, leading the ITB +1.4%, and XHB +0.8% even as the major averages slip.
- Toll Brothers (TOL +2.3%), Hovnanian (HOV +2.7%), Lennar (LEN +3%), Ryland (RYL +2%), D.R. Horton (DRI +2.5%), Pulte (PHM +2.5%)
- Previously: KB Home gains following earnings beat (June 19)
- Previously: KB Home beats by $0.02, beats on revenue (June 19)
Thu, Jun. 18, 8:32 AM
Thu, Jun. 4, 1:55 PM
- Same-store restaurant sales rose 1.1% in May, according to Black Box Intelligence.
- The mark was down 80 bps from the pace seen by the industry in April.
- Traffic was down 2.3% at comparable stores during the month.
- Higher menu prices sparked a 3.3% increase in average guest check.
- Pricing has been the major factor in same-store restaurant sales trending positive for 11 straight months.
- Restaurant stocks: CAKE, CBRL, CMG, DNKN, DPZ, DRI, EAT, JACK, MCD, PNRA, RRGB, RT, SBUX, SONC, WEN, BWLD, BDL, NATH, LUB, QSR, CHUY, BLMN, PZZA, TXRH, DENN, KKD, BBRG, DFRG, BOBE, RUTH, IRG, DIN, SHAK, HABT, NDLS, BOJA, PBPB, PLKI, FRSH, RAVE, LOCO, TACO, PZZA, KONA, BGR, BJRI, CHUY, FRS, CBRL, GTIM, TAST, ARKR,
Fri, May 29, 12:06 PM
- Deutsche Bank picks McDonald's (NYSE:MCD) and Darden Restaurants (NYSE:DRI) as its top two restaurants stocks.
- Turnaround plans at both companies will yield improved results for shareholders, according to DB.
- Analysts call the reorganization of brands and business groups at McDonald's and Darden a strategic move.
- The investment firm is cautious on the restaurant sector overall, with Hold ratings initiated on Sonic (NASDAQ:SONC), Zoe's Kitchen (NYSE:ZOES), Yum Brands (NYSE:YUM), Texas Roadhouse (NASDAQ:TXRH), Panera Bread (NASDAQ:PNRA), Bloomin' Brands (NASDAQ:BLMN).
Wed, Apr. 15, 11:14 AM
- Olive Garden (NYSE:DRI) popped back onto the list of top preferred brands for average income teenagers after dropping off the top five.
- The restaurant chain passed Taco Bell and Chick-fil-A to rank 4th.
- The changes at Olive Garden have been coming fast and furious.
- Previously: Olive Garden introduces ordering via tablets (Apr. 14 2015)
- Previously: Olive Garden gets its Starboard fix (Mar. 20 2015)
Tue, Apr. 14, 2:59 PM
- Olive Garden (NYSE:DRI) says it plans to roll out tabletop tablets at its U.S. restaurants in an initiative that will allow customers to order and pay for meals on their own.
- Table servers will still provide assistance.
- The company will partner with Ziosk on the tablet introduction.
- Previous Ziosk restaurant campaigns at other chains have increased loyalty program participation dramatically.
- Also new at OG: A spin around the Olive Garden website shows an "eat smart" philosophy has replaced the "unlimited" helpings of salad and breadsticks the chain once promoted to the destruction of margins.
- Presumably Starboard is behind the change in direction.
- Previously: Olive Garden gets its Starboard fix (March 20)
Fri, Mar. 20, 1:11 PM
- Olive Garden posted its second straight quarter of improved comps for the first time since 2010 as part of Darden International's (DRI +3.3%) overall strong earnings report.
- To-go sales rose 22% Y/Y for the chain to account for a fair chunk of the sales gain.
- Starboard might have had a hand in that with its detailed thesis on fixing the the brand issued last year discussing the potential to improve the to-go business.
- Previously: Darden Restaurants beats by $0.15, beats on revenue (March 20)
- Previously: Stronger pricing and traffic boosts Darden Restaurants in FQ4 (March 20)
Fri, Mar. 20, 7:16 AM
Fri, Mar. 20, 7:15 AM
- Darden Restaurants (NYSE:DRI) reports a 3.2% rise in comparable-restaurant sales in FQ3 with strength seen across its brands on increased pricing and traffic.
- Comparable-restaurant growth by brand: Olive Garden +2.2%, Longhorn Steakhouse +5.4%, Yard House +5.4%, The Capital Grille +6.1%, Seasons 52 +5.2%, Bahama Breeze +3.2%, Eddie V's +9.6%.
- Food and beverage costs +9.3% to $530.7M. SG&A expenses -13% to $134.2M.
- Guidance: FQ4 EPS of $0.91-$0.94 expected vs. $0.89 consensus.
- DRI +1.62% premarket to $65.92.
Fri, Mar. 20, 7:03 AM
Thu, Mar. 19, 5:30 PM
Sat, Mar. 7, 10:13 AM
- A powerhouse quarter of improved comps and widened margins is in the books for the restaurant industry as investors look forward to see if the trend extends.
- The industry is in a growth phase with eating and drinking establishments adding 58.7K jobs in February on a seasonally adjusted basis to mark the biggest monthly gain since December of 2012.
- The early read on Q1 traffic is favorable (ex-weather), although chains could see some wage inflation pressure and innovation outlays with differentiated concepts popping up at Habit Restaurants (NASDAQ:HABT), Zoe's Kitchen (NYSE:ZOES), Shake Shack (NYSE:SHAK), and a host of others.
- Major digital initiatives at chains such as Panera Bread (NASDAQ:PNRA) and Starbucks (NASDAQ:SBUX) also have the potential to be disruptive.
- A few screens to pick through the restaurant stock menu are listed below.
- Lowest forward P/E ratio: McDonald's (NYSE:MCD), Ruth's Hospitality (NASDAQ:RUTH), and Cracker Barrel (NASDAQ:CBRL).
- Lowest price/free cash flow ratio: Ruby Tuesday (NYSE:RT), Nathan's (NASDAQ:NATH), Jack in the Box (NASDAQ:JACK).
- Dividend yield +3%: DineEquity (NYSE:DIN), Darden Restaurants (NYSE:DRI), McDonald's, and Arcos Dorados (NYSE:ARCO).
- Top YTD performers: Jack in the Box (JACK), Wendy's (NASDAQ:WEN), Sonic (NASDAQ:SONC), El Pollo LoCo (NASDAQ:LOCO).
- PEG ratio below 2.00: Chuy's Holdings (NASDAQ:CHUY), Ruth's Hospitality, Krispy Kreme Donuts (NYSE:KKD), Cheesecake Factory (NASDAQ:CAKE), Brinker International (NYSE:EAT), Denny's (NASDAQ:DENN), Buffalo Wild Wings (NASDAQ:BWLD).
- Short ratio below 2%: Yum Brands (NYSE:YUM), Jack in the Box (JACK), Chipotle (NYSE:CMG), DineEquity, Bloomin' Brands (NASDAQ:BLMN), Denny's (DENN), McDonald's (MCD).
- Previously: Restaurant stocks continue hot streak (Feb. 24)
DRI vs. ETF Alternatives
Darden Restaurants Inc owns and operates dining restaurants. Some of its trade names are Red Lobster, Olive Garden, LongHorn Steakhouse, Bahama Breeze, Seasons 52, Eddie V's Prime Seafood, Wildfish Seafood Grille and Yard House.
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