The firm said it raised its rating on the restaurant company, with brands including Olive Garden, Longhorn Steakhouse, and The Capital Grille, based on its belief the company will benefit from its attempt to turn the business around, and improving industry sales.
Telsey Advisory Group has a $54 price target on Darden Restaurants, up from its previous $45 price target.
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Shares of Darden Restaurants are up by 0.99% to $57.95 in pre-market trading this morning.
Separately, TheStreet Ratings team rates DARDEN RESTAURANTS INC as a Hold with a ratings score of C. TheStreet Ratings Team has this to say about their recommendation:
"We rate DARDEN RESTAURANTS INC (DRI) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, compelling growth in net income and largely solid financial position with reasonable debt levels by most measures. However, as a counter to these strengths, we also find weaknesses including disappointing return on equity, weak operating cash flow and poor profit margins."