Darden Restaurants, Inc. DRI Stock Analysis

Darden Restaurants, Inc. stock trades under the ticker DRI & has shown recent bullish behavior that traders & investors should research deeper into.

DRI stock closed at $147.58/share on 3/14/2023.

Darden Restaurants, Inc. DRI Stock’s Technical Performance Broken Down

Darden Restaurants, Inc. DRI Stock's Technical Performance Over The Past Year
Darden Restaurants, Inc. DRI Stock’s Technical Performance Over The Past Year

DRI Stock Price: $147.58

10 Day Moving Average: $146.09

50 Day Moving Average: $146.60

200 Day Moving Average: $132.77

RSI: 54.2

MACD: -0.134

Yesterday, DRI stock completed a bullish MACD crossover, gaining 1.07% on the day’s session.

Their RSI is neutral & recent trading volumes have been above average, as they’ve stayed in a consolidation range for the better part of 2023.

Recent candlesticks signal that there will be near-term weakness, which will provide patient investors & traders with a better entry point.

DRI stock has support at the $146.93, $146.60 (50 day moving average) & $146.09 (10 day moving average)/share price levels, while they try to break out above their $148.57 & $152.08/share resistance levels.

Darden Restaurants, Inc. DRI Stock As A Long-Term Investment

Long-term oriented investors will like DRI stock’s 20.21 P/E (ttm), but will find their 8.82 P/B (mrq) to be a bit higher than they’d like to see.

They recently reported 9.4% Quarterly Revenue Growth Y-o-Y, with -3.1% Quarterly Earnings Growth Y-o-Y.

Their balance sheet will require a more thorough examination, with $240.7M of Total Cash (mrq) & $6.01B of Total Debt (mrq).

DRI stock pays a 3.16% dividend, which may not be sustainable in the long-run, as their payout ratio is 63.72%.

91.65% of DRI stock’s outstanding share float is owned by institutional investors.

Darden Restaurants, Inc. DRI Stock As A Short-Term Trade Using Options

Traders with shorter time horizons can trade options to profit from price movements in DRI stock, while protecting their portfolios from volatility.

I am looking at the contracts with the 4/21 expiration date.

The $145, $140 & $125 call options are all in-the-money, listed from most to least liquid strike price.

The $150, $155 & $160 puts are also all in-the-money, with the former having more open interest than the latter two strikes.

Tying It All Together

DRI stock has many interesting attributes that traders & investors are sure to find appealing.

Investors will like their P/E (ttm) & dividend yield, but may want to review their balance sheet for insights into how sustainable their yield will be in the medium to long-term.

Traders will like their recent technical performance, as well as how liquid their options are.

Overall, it is worth taking a closer look into how DRI stock fits into your portfolio strategy.