Darden initiated with an Equal Weight at Wells Fargo

Wells Fargo analyst Zachary Fadem initiated coverage of Darden with an Equal Weight rating and $155 price target. Darden shares have underperformed the SPX by 650bps since November, and trades just 3% below its pre-pandemic average, but a 28% premium to casual dining peers that face similar headwinds, the analyst tells investors in a research note. Dareden has an "excellent" management team and should outperform peers fundamentally, the firm adds.