DRI Stock Recent News

I rank a selection of undervalued dividend growth stocks in Dividend Radar and present the top ten stocks for consideration. I use two valuation screens, one based on my fair value estimate and another comparing each stock's forward dividend yield with its 5-year average dividend yield. To rank stocks, I do a quality assessment and sort candidates by quality scores, breaking ties with additional metrics.

Stock buybacks remain one of the most effective tools for boosting share prices, especially when backed by solid fundamentals. When a company is healthy, repurchasing shares reduces the float, enhances earnings per share, and signals confidence to the market.

I track companies with consistent dividend growth, focusing on those with strong financial health and above-average yields versus the S&P 500. This week's highlighted stocks average a 3.1% dividend increase and a 12.5-year growth streak, but only Darden Restaurants stands out for performance. SCHD ETF remains my preferred broad dividend growth holding, outperforming most individual names except Darden over the past decade.

Several notable stocks, associated with everything from President Trump to pasta dinners, are significantly boosting their buybacks. Together, these newly announced programs add over $10 billion in fresh repurchase capacity to the stock market.

Early summer isn't typically a hot period for dividend raises, and this year's version is no exception. Lately, income investors have had to be satisfied collecting payouts that were fixed several quarters -- or even years -- ago.

Jason Brown (@brownreport) joins Trading 360 with a trio of stocks on his radar. For IBM Corp. (IBM), he says the name is one to watch in the A.I.

Darden Restaurants delivered strong Q4 FY25 results, driven by robust same-store sales at Olive Garden and LongHorn, plus successful Uber Direct partnerships. Management's FY26 guidance calls for 7-8% sales growth, 2-3.5% same-store sales gains, and 60-65 new restaurant openings, supporting continued margin expansion. Valuation models suggest a $240 price target, offering 6% upside, with total annual returns near 10% when including dividends and buybacks.

Darden Restaurants Inc. DRI reported better-than-expected fourth-quarter financial results on Friday.

There are several reasons Darden Restaurants' NYSE: DRI stock price can trend higher this year, including, but not limited to, top- and bottom-line outperformance, guidance, growth, acceleration, the dividend, and share buybacks. The net result is a strong tailwind for the price action, which is gaining momentum.

Darden Restaurants continues to outperform, driven by strong Olive Garden and LongHorn growth, margin expansion, and resilient consumer demand. Management is focusing on core brands, closing underperforming concepts, and expanding internationally through capital-light franchising for incremental growth. Guidance is robust, with 7-8% revenue growth, higher EPS targets, a 7% dividend boost, and a new $1 billion buyback authorization supported by strong free cash flow.