Darden Restaurants' Guidance Could Be Pressured by Higher Costs -- Market Talk

Dow Jones
Jun 24

1427 ET - Darden Restaurants is slated to release its F4Q results on Thursday, and Guggenheim expects strong traffic trends at LongHorn Steakhouse to offset sluggish growth at Olive Garden. Analysts Gregory Francfort and Arian Razai see same-store sales at LongHorn coming in ahead of consensus, while SSS at Olive Garden come in below. "Cost pressures related to the war in the Middle East (utilities, packaging, and transportation) will likely limit 4Q earnings upside and could put a cap on the F'27 guidance, which is traditionally given with 4Q," they say in a research note. "Labor inflation could be a positive surprise following years of market tightness, but we expect ongoing beef headwinds and pressure on other restaurant expense inflation to cap margins." (connor.hart@wsj.com)

(END) Dow Jones Newswires

June 23, 2026 14:27 ET (18:27 GMT)

Copyright (c) 2026 Dow Jones & Company, Inc.

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Most Discussed

  1. 1
     
     
     
     
  2. 2
     
     
     
     
  3. 3
     
     
     
     
  4. 4
     
     
     
     
  5. 5
     
     
     
     
  6. 6
     
     
     
     
  7. 7
     
     
     
     
  8. 8
     
     
     
     
  9. 9
     
     
     
     
  10. 10