KeyBanc lowered the firm’s price target on Darden (DRI) to $240 from $245 and keeps an Overweight rating on the shares. The firm believes top-line momentum remained strong during Q1 2026. However, KeyBanc is trimming its price target and its FY26/FY27 EPS to $10.80/$11.43 to reflect rising cost pressures, most notably beef. While the firm anticipates a slight Q1 EPS beat and its FY26 EPS remains beyond the top end of Darden’s guidance range, the combination of higher commodity costs and consumer uncertainty is likely enough reason for Darden to remain conservative and maintain its current outlook.
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