We Did The Math VOOV Can Go To $212
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 13 2024
0mins
Should l Buy DRI?
Source: NASDAQ.COM
Vanguard S&P 500 Value ETF Analysis: The Vanguard S&P 500 Value ETF (VOOV) has an implied analyst target price of $212.23, indicating a potential upside of 10.53% from its current trading price of $192.02.
Notable Holdings with Upside Potential: Key underlying holdings such as CoStar Group, Steel Dynamics, and Darden Restaurants show significant upside potential based on analysts' target prices, raising questions about the validity of these targets amidst market conditions.
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Analyst Views on DRI
Wall Street analysts forecast DRI stock price to rise
20 Analyst Rating
13 Buy
7 Hold
0 Sell
Moderate Buy
Current: 212.860
Low
200.00
Averages
224.35
High
261.00
Current: 212.860
Low
200.00
Averages
224.35
High
261.00
About DRI
Darden Restaurants, Inc. is a restaurant company. The Company owns and operates full-service dining restaurants in the United States and Canada under the trade names Olive Garden, LongHorn Steakhouse, Yard House, Ruth's Chris Steak House, Cheddar's Scratch Kitchen, The Capital Grille, Chuy's, Seasons 52, Eddie V's and Bahama Breeze. It owns and operates approximately 2,140 restaurants in the United States and Canada. Its segments include Olive Garden, LongHorn Steakhouse, Fine Dining, and Other Businesses. Olive Garden is a full-service Italian dining restaurant operator in the United States. LongHorn Steakhouse is a full-service steakhouse restaurant, which features a variety of menu items including signature steaks and chicken, as well as salmon, shrimp, and burgers. Fine Dining includes Ruth’s Chris, The Capital Grille and Eddie V’s. Other businesses include Cheddar’s Scratch Kitchen, Yard House, Bahama Breeze, Seasons 52, and The Capital Burger.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
America's Cattle Dilemma: Declining Herd Numbers, Rising Beef Costs, and Limited Hope for Improvement
Setting: The scene takes place in Central Texas Hill Country, where a Black Baldy cow is being prepared for auction.
Cow Characteristics: The Black Baldy breed is noted for its easy calving and attentive mothering, making it a desirable choice for cattle ranchers.
Auction Purpose: Tim Niedecken from the Jordan Cattle Auction indicates that the cow will be sold as a packer animal, meaning it is intended for slaughter.
Market Factors: The decision to sell the cow may be influenced by her declining breeding capabilities or the high market price of beef.
See More
Darden Restaurants to Permanently Close 14 Bahama Breeze Locations
- Restaurant Closure Plan: Darden Restaurants announced the permanent closure of 14 Bahama Breeze locations, expected to operate until April 5, with plans to convert the remaining 14 into other Darden brands over the next 12-18 months, thereby optimizing its brand portfolio and enhancing overall business efficiency.
- Strong Stock Performance: Darden's stock rose over 2% on Tuesday, marking its best day in two weeks, with a nearly 13% increase year-to-date, reflecting positive market sentiment towards its value meal initiatives and bolstering investor confidence.
- Analyst Rating Upgrade: Mizuho upgraded Darden from 'Neutral' to 'Outperform' and raised its price target from $195 to $235, anticipating strong performance in the casual dining sector in 2026, positioning Darden to benefit from this trend and drive market share growth.
- Cautious Consumer Spending: Despite facing pressures from rising beef prices and heavy advertising investments, Darden remains focused on improving margins, expecting to attract consumers through value meal offerings, thus maintaining stable traffic in a competitive market.
See More
Darden Restaurants to Close 14 Bahama Breeze Locations
- Strategic Shift: Darden Restaurants announced the permanent closure of 14 Bahama Breeze locations while converting the remaining 14 into other concepts, reflecting a reassessment and optimization of its brand portfolio.
- Limited Financial Impact: Despite the closure of 14 restaurants, Darden anticipates that this move will not materially affect its overall financial results, indicating the company's financial resilience during the adjustment process.
- Transformation Timeline: The closed units are expected to remain operational until early April, with conversions rolling out over the next 12 to 18 months, showcasing the company's strategic planning for new brand implementations.
- Brand History: Since its inception in 1996 in Orlando, Bahama Breeze expanded to over 40 locations in the U.S., but as competition intensified, it became a niche player within Darden's portfolio, prompting this strategic review and adjustment.
See More
Darden Restaurants to Close 14 Bahama Breeze Locations Amid Strategic Review
- Brand Strategy Shift: Darden Restaurants has completed a strategic review of the Bahama Breeze brand, deciding to close 14 locations while converting the remaining 14 into other brands, reflecting the company's reassessment of its brand mix to better align with long-term growth objectives.
- Limited Financial Impact: Although the closure and conversion plan involves 28 Bahama Breeze restaurants, management asserts that these changes will not materially affect the company's financial performance, demonstrating Darden's robust strategy in brand integration.
- Future Expansion Plans: Darden anticipates opening 65 to 70 new restaurants in fiscal 2026, indicating the company's commitment to expanding its market share and business scale while adjusting its brand portfolio.
- Employee Placement Initiative: The company aims to place as many affected workers as possible within its other brands, reflecting Darden's sense of responsibility towards its employees and emphasizing the importance of maintaining morale and brand image during the transition.
See More
Darden Restaurants Closes 14 Bahama Breeze Locations
- Strategic Shift: Darden Restaurants has announced the closure of 14 Bahama Breeze locations while planning to convert the remaining 14 into other brands over the next 12-18 months, indicating a strategic pivot away from the Bahama Breeze brand.
- Financial Impact: Although the closure and conversion involve 28 locations, the company does not expect these actions to materially affect its financial results, reflecting a strong overall financial health.
- Operational Timeline: The 14 closed restaurants are expected to continue operating until April 5, 2026, with the conversion process designed to minimize customer disruption during the transition, demonstrating the company's commitment to customer service.
- Employee Support Plan: Darden will prioritize the placement of affected employees into roles within its other brands, showcasing the company's responsibility and support for its team members.
See More
Darden Restaurants to Close Bahama Breeze Locations and Convert Others
- Strategic Shift: Darden Restaurants has announced the permanent closure of 14 Bahama Breeze locations while planning to convert the remaining 14 into other brands over the next 12-18 months, indicating a reassessment and optimization of its brand portfolio.
- Financial Impact: Although the closures and conversions are not expected to materially affect financial results, the company must still address employee placement issues to ensure as many team members as possible transition to roles within other Darden brands.
- Operational Timeline: The 14 closing restaurants are expected to continue operations until April 5, 2026, while the conversion process will involve temporary closures as needed, ensuring a smooth transition for the business.
- Market Positioning: Darden believes that the conversion locations have strong market potential that can benefit several of its other brands, demonstrating the company's focus on market opportunities and enhancing brand value during strategic adjustments.
See More
America's Cattle Dilemma: Declining Herd Numbers, Rising Beef Costs, and Limited Hope for Improvement
Setting: The scene takes place in Central Texas Hill Country, where a Black Baldy cow is being prepared for auction.
Cow Characteristics: The Black Baldy breed is noted for its easy calving and attentive mothering, making it a desirable choice for cattle ranchers.
Auction Purpose: Tim Niedecken from the Jordan Cattle Auction indicates that the cow will be sold as a packer animal, meaning it is intended for slaughter.
Market Factors: The decision to sell the cow may be influenced by her declining breeding capabilities or the high market price of beef.
See More
Darden Restaurants to Permanently Close 14 Bahama Breeze Locations
- Restaurant Closure Plan: Darden Restaurants announced the permanent closure of 14 Bahama Breeze locations, expected to operate until April 5, with plans to convert the remaining 14 into other Darden brands over the next 12-18 months, thereby optimizing its brand portfolio and enhancing overall business efficiency.
- Strong Stock Performance: Darden's stock rose over 2% on Tuesday, marking its best day in two weeks, with a nearly 13% increase year-to-date, reflecting positive market sentiment towards its value meal initiatives and bolstering investor confidence.
- Analyst Rating Upgrade: Mizuho upgraded Darden from 'Neutral' to 'Outperform' and raised its price target from $195 to $235, anticipating strong performance in the casual dining sector in 2026, positioning Darden to benefit from this trend and drive market share growth.
- Cautious Consumer Spending: Despite facing pressures from rising beef prices and heavy advertising investments, Darden remains focused on improving margins, expecting to attract consumers through value meal offerings, thus maintaining stable traffic in a competitive market.
See More
Darden Restaurants to Close 14 Bahama Breeze Locations
- Strategic Shift: Darden Restaurants announced the permanent closure of 14 Bahama Breeze locations while converting the remaining 14 into other concepts, reflecting a reassessment and optimization of its brand portfolio.
- Limited Financial Impact: Despite the closure of 14 restaurants, Darden anticipates that this move will not materially affect its overall financial results, indicating the company's financial resilience during the adjustment process.
- Transformation Timeline: The closed units are expected to remain operational until early April, with conversions rolling out over the next 12 to 18 months, showcasing the company's strategic planning for new brand implementations.
- Brand History: Since its inception in 1996 in Orlando, Bahama Breeze expanded to over 40 locations in the U.S., but as competition intensified, it became a niche player within Darden's portfolio, prompting this strategic review and adjustment.
See More
Darden Restaurants to Close 14 Bahama Breeze Locations Amid Strategic Review
- Brand Strategy Shift: Darden Restaurants has completed a strategic review of the Bahama Breeze brand, deciding to close 14 locations while converting the remaining 14 into other brands, reflecting the company's reassessment of its brand mix to better align with long-term growth objectives.
- Limited Financial Impact: Although the closure and conversion plan involves 28 Bahama Breeze restaurants, management asserts that these changes will not materially affect the company's financial performance, demonstrating Darden's robust strategy in brand integration.
- Future Expansion Plans: Darden anticipates opening 65 to 70 new restaurants in fiscal 2026, indicating the company's commitment to expanding its market share and business scale while adjusting its brand portfolio.
- Employee Placement Initiative: The company aims to place as many affected workers as possible within its other brands, reflecting Darden's sense of responsibility towards its employees and emphasizing the importance of maintaining morale and brand image during the transition.
See More
Darden Restaurants Closes 14 Bahama Breeze Locations
- Strategic Shift: Darden Restaurants has announced the closure of 14 Bahama Breeze locations while planning to convert the remaining 14 into other brands over the next 12-18 months, indicating a strategic pivot away from the Bahama Breeze brand.
- Financial Impact: Although the closure and conversion involve 28 locations, the company does not expect these actions to materially affect its financial results, reflecting a strong overall financial health.
- Operational Timeline: The 14 closed restaurants are expected to continue operating until April 5, 2026, with the conversion process designed to minimize customer disruption during the transition, demonstrating the company's commitment to customer service.
- Employee Support Plan: Darden will prioritize the placement of affected employees into roles within its other brands, showcasing the company's responsibility and support for its team members.
See More
Darden Restaurants to Close Bahama Breeze Locations and Convert Others
- Strategic Shift: Darden Restaurants has announced the permanent closure of 14 Bahama Breeze locations while planning to convert the remaining 14 into other brands over the next 12-18 months, indicating a reassessment and optimization of its brand portfolio.
- Financial Impact: Although the closures and conversions are not expected to materially affect financial results, the company must still address employee placement issues to ensure as many team members as possible transition to roles within other Darden brands.
- Operational Timeline: The 14 closing restaurants are expected to continue operations until April 5, 2026, while the conversion process will involve temporary closures as needed, ensuring a smooth transition for the business.
- Market Positioning: Darden believes that the conversion locations have strong market potential that can benefit several of its other brands, demonstrating the company's focus on market opportunities and enhancing brand value during strategic adjustments.
See More
