Earnest Partners 13F: Cuts Darden Restaurants (DRI) Stake by $14M
An institutional filing shows Earnest Partners trimmed its holdings in Darden Restaurants during the recent period.
Reviewed by automated data checks against the source filing. How we make and check alerts
Earnest Partners sold 66,340 shares from its stake in Darden Restaurants, Inc. ($DRI), a 4.56% decrease, according to a 13F filing with the SEC dated May 15, 2026. It reported 1,387,401 shares worth $286.41 million at the end of the quarter.
Since the filing, $DRI is up 3.9% after 1 week, up 6.6% after 1 month and up 12.2% to date (from the $192.75 close on May 15, 2026).
Find the original: Earnest Partners 13F filings on SEC EDGAR
DRI
Darden Restaurants, Inc.
Key Points
- Earnest Partners trimmed its holdings in Darden Restaurants, Inc. by 4.6% during the period ended May 15, 2026.
- The investment firm sold 66,340 shares, leaving it with 1,387,401 shares valued at approximately $286.4 million.
- Darden Restaurants shares recently traded near $206.44, supported by a P/E ratio of 20.24 and an annualized dividend yielding 3.1%.
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Earnest Partners Trims Darden Position
Earnest Partners trimmed its investment in Darden Restaurants, Inc. (NYSE: DRI) during the period ended May 15, 2026, according to a recent Form 13F filing with the SEC. Institutional filings provide a backward-looking snapshot of holdings and may not reflect the investor's current position today.
Position Changes in Darden Restaurants Stock
The firm reduced its stake by 4.6% during the quarter. That meant selling 66,340 shares, taking its total down to 1,387,401 shares from the 1,453,741 shares it held previously. At the reporting period's close, that remaining block was valued at roughly $286.4 million.
Darden Stock Performance and Valuation
Darden shares recently traded around $206.44. The restaurant operator carries a market capitalization of roughly $24.0 billion and a price-to-earnings ratio of 20.24 based on its trailing results. Its forward P/E ratio sits at 17.04.
Recent Earnings and Financial Health
Darden reported annual revenue of $13.21 billion, representing a 13.7% revenue growth rate. The company generated earnings of $10.44 per share, with a net profit margin of 9.13% and a return on equity of 53.72%. Its next quarterly earnings report is scheduled for September 24, 2026.
Earnings drift grade
Outlook vs expectations on the last report — not price action.
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Forward outlook
8 target raises vs 1 cuts.
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EPS & revenue
EPS missed estimates by 0.8%. Revenue missed estimates by 0.6%.
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Profit surprise
EBITDA missed by 7 percent. Operating income missed by 9 percent.
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Pre-earnings setup
Expectations were about average.
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Analyst signal
8 target raises, 1 target cut.
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Earnings quality
Gross margin down 4.3 points. Positive free cash flow.
Earnings Call Summary
Darden delivered a strong second quarter with 3.1 billion in sales and 4.3 percent same restaurant sales growth, outperforming the industry by 300 basis points. Olive Garden led with 4.7 percent growth driven by the Never Ending Pasta Bowl promotion and strong Uber Direct delivery at 4 percent of sales. However, elevated beef prices compressed margins as the company priced 130 basis points below inflation to protect guest value. Management expects beef costs to ease in the fourth quarter and margins to improve in the back half.
Guidance Darden raised its full year sales guidance to 8.5 to 9.3 percent growth, up from prior range. The company expects same restaurant sales of 3.5 to 4.3 percent for the year and 65 to 70 new openings. Full year adjusted earnings per share guidance stays at 10.60 to 10.70, which includes about 20 cents from a fifty-third week.
Fine but not compelling. Acceptable results that likely do not create a meaningful forward reset.
Dividend Payments
The company pays an annual dividend rate of $6.48 per share, which translates to a dividend yield of 3.1%. Darden maintains a dividend payout ratio of 57.47%, returning a significant portion of its earnings to shareholders.
Insider Buying and Selling at Darden Restaurants, Inc.
Company insiders were active in late June. On June 23, 2026, SVP and Chief Supply Chain Officer Douglas Milanes acquired 2,171 shares. On the same date, SVP and Chief People Officer Sarah King bought 3,100 shares, Group President and Chuy's President Todd Burrowes picked up 4,650 shares, and SVP General Counsel Lindsay Koren purchased 465 shares. Additionally, SVP and Corporate Controller John Madonna bought 1,394 shares, and Group President Martin Melvin John added 4,650 shares.
Analysts Set New Price Targets
Wall Street analysts maintain a generally positive outlook on the stock. On September 25, 2026, Citigroup maintained a Buy rating with a $247 price target. On the same day, Guggenheim reiterated its Buy rating at a $235 target, Mizuho maintained an Outperform rating with a $245 target, and Freedom Capital Markets kept a Buy rating with a $260 target. BMO Capital maintained a Market Perform rating with a $220 target, BTIG reiterated a Buy rating at $235, Stephens & Co. kept an Equal-Weight rating at $220, and TD Cowen reiterated a Hold rating with a $215 target on September 24, 2026. Overall, the stock carries a consensus buy recommendation with a mean price target of $232.96 across 26 analyst opinions.
About Darden Restaurants
Darden Restaurants operates a large portfolio of full-service dining brands across the United States and Canada. Its restaurant concepts include well-known names such as Olive Garden, LongHorn Steakhouse, Cheddar's Scratch Kitchen, Yard House, and Ruth's Chris Steak House.
What's Ahead for Darden Restaurants, Inc.
Investors tracking Earnest Partners will need to look to subsequent quarterly filings to see whether the firm continues reducing its exposure or stabilizes its position. Darden's upcoming September earnings release will offer fresh details on its financial trajectory.
Related Filing Alerts
Source: Earnest Partners's 13F filing on $DRI (May 15, 2026). 13F filings show holdings as of the end of the reporting quarter and may not reflect the fund's current position. Find the original filing: Earnest Partners 13F filings on SEC EDGAR. Written by software, not financial advice. How we make alerts