Darden price target raised to $194 from $170 at KeyBanc

KeyBanc raised the firm’s price target on Darden (DRI) to $194 from $170 and keeps an Overweight rating on the shares. Darden’s Q1 EPS and same-store sales missed consensus, primarily reflecting industry-wide softness in July, but the SSS decline was largely in line with investor expectations, and near-term initiatives coupled with the recent improvement in trends during August and September gave management enough confidence to reaffirm all components of its FY25 outlook, the analyst tells investors in a research note. The anticipated boost from the company’s delivery partnership with Uber (UBER) combined with synergies from the Chuy’s acquisition should drive FY26 EPS growth above Darden’s long-term algorithm, the firm says.