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Darden Restaurants (FRA:DDN) Shiller PE Ratio : 28.13 (As of May. 02, 2024)


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What is Darden Restaurants Shiller PE Ratio?

As of today (2024-05-02), Darden Restaurants's current share price is €144.60. Darden Restaurants's E10 for the quarter that ended in Feb. 2024 was €5.14. Darden Restaurants's Shiller PE Ratio for today is 28.13.

The historical rank and industry rank for Darden Restaurants's Shiller PE Ratio or its related term are showing as below:

FRA:DDN' s Shiller PE Ratio Range Over the Past 10 Years
Min: 9.24   Med: 25.95   Max: 40.16
Current: 27.26

During the past years, Darden Restaurants's highest Shiller PE Ratio was 40.16. The lowest was 9.24. And the median was 25.95.

FRA:DDN's Shiller PE Ratio is ranked better than
51.77% of 141 companies
in the Restaurants industry
Industry Median: 27.34 vs FRA:DDN: 27.26

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years.

Darden Restaurants's adjusted earnings per share data for the three months ended in Feb. 2024 was €2.410. Add all the adjusted EPS for the past 10 years together and divide 10 will get our E10, which is €5.14 for the trailing ten years ended in Feb. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Darden Restaurants Shiller PE Ratio Historical Data

The historical data trend for Darden Restaurants's Shiller PE Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Darden Restaurants Shiller PE Ratio Chart

Darden Restaurants Annual Data
Trend May14 May15 May16 May17 May18 May19 May20 May21 May22 May23
Shiller PE Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 28.56 20.78 36.22 27.18 30.58

Darden Restaurants Quarterly Data
May19 Aug19 Nov19 Feb20 May20 Aug20 Nov20 Feb21 May21 Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24
Shiller PE Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 28.58 30.58 29.22 28.56 30.34

Competitive Comparison of Darden Restaurants's Shiller PE Ratio

For the Restaurants subindustry, Darden Restaurants's Shiller PE Ratio, along with its competitors' market caps and Shiller PE Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Darden Restaurants's Shiller PE Ratio Distribution in the Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Darden Restaurants's Shiller PE Ratio distribution charts can be found below:

* The bar in red indicates where Darden Restaurants's Shiller PE Ratio falls into.



Darden Restaurants Shiller PE Ratio Calculation

For Shiller PE Ratio, the earnings of the past 10 years are inflation-adjusted and averaged. The result is used for P/E calculation. Since it looks at the average over the last 10 years, the Shiller PE Ratio is also called PE10.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The same calculation is applied here to individual companies.

Darden Restaurants's Shiller PE Ratio for today is calculated as

Shiller PE Ratio=Share Price/ E10
=144.60/5.14
=28.13

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Darden Restaurants's E10 for the quarter that ended in Feb. 2024 is calculated as:

For example, Darden Restaurants's adjusted earnings per share data for the three months ended in Feb. 2024 was:

Adj_EPS=Earnings per Share (Diluted)/CPI of Feb. 2024 (Change)*Current CPI (Feb. 2024)
=2.41/129.4194*129.4194
=2.410

Current CPI (Feb. 2024) = 129.4194.

Darden Restaurants Quarterly Data

Earnings per Share (Diluted) CPI Adj_EPS
201405 0.473 100.373 0.610
201408 2.861 100.352 3.690
201411 -0.209 99.635 -0.271
201502 0.925 99.032 1.209
201505 0.734 100.333 0.947
201508 0.602 100.548 0.775
201511 0.308 100.135 0.398
201602 0.740 100.040 0.957
201605 0.964 101.355 1.231
201608 0.776 101.617 0.988
201611 0.593 101.829 0.754
201702 1.239 102.779 1.560
201705 0.887 103.256 1.112
201708 0.788 103.587 0.985
201711 0.571 104.072 0.710
201802 1.401 105.052 1.726
201805 1.176 106.148 1.434
201808 1.143 106.383 1.391
201811 0.810 106.338 0.986
201902 1.577 106.649 1.914
201905 1.493 108.048 1.788
201908 1.232 108.245 1.473
201911 0.181 108.519 0.216
202002 1.733 109.139 2.055
202005 -3.540 108.175 -4.235
202008 0.237 109.662 0.280
202011 0.618 109.793 0.728
202102 0.810 110.968 0.945
202105 2.288 113.576 2.607
202108 1.488 115.421 1.668
202111 1.296 117.269 1.430
202202 1.700 119.703 1.838
202205 2.119 123.323 2.224
202208 1.540 124.958 1.595
202211 1.491 125.607 1.536
202302 2.186 126.928 2.229
202305 2.374 128.314 2.394
202308 1.458 129.538 1.457
202311 1.626 129.548 1.624
202402 2.410 129.419 2.410

Add all the adjusted EPS together and divide 10 will get our E10.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Darden Restaurants  (FRA:DDN) Shiller PE Ratio Explanation

Compared with the regular PE Ratio, which works poorly for cyclical businesses, the Shiller PE Ratio smoothed out the fluctuations of profit margins during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Shiller PE Ratio should give similar results to regular PE Ratio.

Compared with the PS Ratio, the Shiller PE Ratio makes the comparison between different industries more meaningful.


Be Aware

Shiller PE Ratio assumes that over the long term, businesses and profitability revert to their means. If a company's business model does not work in the future compared with the past, Shiller PE Ratio and PS Ratio will give false valuations.


Darden Restaurants Shiller PE Ratio Related Terms

Thank you for viewing the detailed overview of Darden Restaurants's Shiller PE Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Darden Restaurants (FRA:DDN) Business Description

Traded in Other Exchanges
Address
1000 Darden Center Drive, Orlando, FL, USA, 32837
Darden Restaurants is the largest restaurant operator in the U.S. full-service space, with consolidated revenue of $10.5 billion in fiscal 2023 resulting in 3%-4% full-service market share (per NRA data and our calculations). The company maintains a portfolio of 10 restaurant brands: Olive Garden, LongHorn Steakhouse, Cheddar's Scratch Kitchen, Ruth's Chris, Yard House, The Capital Grille, Seasons 52, Eddie V's, Bahama Breeze, and The Capital Burger. Darden generates revenue almost exclusively from company-owned restaurants, though a small network of franchised restaurants and consumer-packaged goods sales through the traditional grocery channel contribute modestly. As of the end of its fiscal 2023, the company operated 1,914 restaurants in the U.S.

Darden Restaurants (FRA:DDN) Headlines

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