Darden Restaurants (NYSE:DRI) was down 4% on Thursday morning after beating on earnings and missing on revenue. The company reported earnings per share of $1.71 and total revenue of $2.13 billion, compared to analyst expectations of $1.64 and $2.15 billion.
Our analysis of DRI’s market cycles indicates a breakdown from the previous cycle low has occurred. This suggests continued downward pressure and raises the odds that a major top has formed. Based on these patterns, our forecast is for a drop near $80 in the coming months.
Darden (DRI) Stock Chart with Weekly Bars
For an intro to cycle analysis, check out the clip from our popular “FutureSpeak” series below, or watch our weekly show “askSlim Market Week” show on our YouTube channel every Friday.