Darden Restaurants (LTS:0I77) Cyclically Adjusted PS Ratio: (As of Sep. 20, 2026)

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Director of Data and Quant Analytics at GuruFocus
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LTS:0I77 Darden Restaurants Inc LTS:0I77
86 GF Score
Price $209.62
GF Value $215.50
Valuation Fairly Valued
! 5 Warning Signs
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What is Darden Restaurants Cyclically Adjusted PS Ratio?

Shiller PE for Stocks: The True Measure of Stock Valuation


Darden Restaurants  (LTS:0I77) Cyclically Adjusted PS Ratio Explanation

Compared with the regular PS Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PS Ratio smoothed out the fluctuations of revenue during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PS Ratio should give similar results to regular PS Ratio.


Darden Restaurants Cyclically Adjusted PS Ratio Related Terms


Darden Restaurants Cyclically Adjusted PS Ratio Historical Data

* Premium members only.

The historical data trend for Darden Restaurants's Cyclically Adjusted PS 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.

Darden Restaurants Cyclically Adjusted PS Ratio Chart

Darden Restaurants Annual Data
Trend May17 May18 May19 May20 May21 May22 May23 May24 May25 May26
Cyclically Adjusted PS Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.81 2.20 1.91 2.58 2.30

Darden Restaurants Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
Cyclically Adjusted PS 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 2.54 2.42 2.09 2.43 2.27

LTS:0I77 vs YUMC, TXRH, DPZ: Cyclically Adjusted PS Ratio Comparison

For the Restaurants subindustry, Darden Restaurants's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS 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 Cyclically Adjusted PS Ratio vs Restaurants Industry

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

* The bar in red indicates where Darden Restaurants's Cyclically Adjusted PS Ratio falls into.


LTS:0I77
86GF Score
Darden Restaurants Inc LTS:0I77
Cyclically Adjusted PS Ratio is just one metric. See GF Score™, valuation, warning signs, and more.
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Darden Restaurants Cyclically Adjusted PS Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PS Ratio takes the Revenue per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/S calculation. Because it considers this 10-year average, it's often referred to as the CAPS Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PS Ratio.

Darden Restaurants's Cyclically Adjusted Revenue per Share for the quarter that ended in May. 2026 is calculated as:

For example, Darden Restaurants's adjusted Revenue per Share data for the three months ended in May. 2026 was:

Adj_RevenuePerShare=Revenue per Share/CPI of May. 2026 (Change)*Current CPI (May. 2026)
=32.281/335.1230*335.1230
=32.281

Current CPI (May. 2026) = 335.1230.

Darden Restaurants Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201608 13.531 240.849 18.827
201611 13.151 241.353 18.260
201702 14.922 243.603 20.528
201705 15.281 244.733 20.925
201708 15.209 245.519 20.760
201711 14.992 246.669 20.368
201802 16.932 248.991 22.789
201805 17.005 251.588 22.651
201808 16.386 252.146 21.778
201811 15.687 252.038 20.858
201902 17.972 252.776 23.827
201905 17.847 256.092 23.355
201908 17.126 256.558 22.370
201911 16.624 257.208 21.660
202002 19.108 258.678 24.755
202005 10.202 256.394 13.335
202008 11.668 259.918 15.044
202011 12.597 260.229 16.222
202102 13.129 263.014 16.729
202105 17.215 269.195 21.431
202108 17.509 273.567 21.449
202111 17.411 277.948 20.993
202202 19.102 283.716 22.563
202205 20.740 292.296 23.779
202208 19.743 296.171 22.340
202211 20.199 297.711 22.737
202302 22.744 300.840 25.336
202305 22.678 304.127 24.989
202308 22.382 307.026 24.430
202311 22.577 307.051 24.641
202402 24.708 310.326 26.682
202405 24.624 314.069 26.275
202408 23.129 314.796 24.622
202411 24.429 315.493 25.949
202502 26.763 319.082 28.108
202505 27.750 321.465 28.929
202508 25.890 323.976 26.781
202511 26.582 324.122 27.484
202602 28.889 326.785 29.626
202605 32.281 335.123 32.281

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.

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.

Is Darden Restaurants (LTS:0I77) Overvalued in 2026?

Based on GuruFocus' analysis, Darden Restaurants stock appears to be undervalued. The current stock price of $209.62 is trading 2.7% below its estimated GF Value™ of $215.50. GuruFocus considers Darden Restaurants to be Fairly Valued.

Key valuation signals for LTS:0I77:

  • Cyclically Adjusted PS Ratio:
  • GF Value™: $215.50 vs. price of $209.62 (2.7% below fair value)
  • GF Score™: 86/100 with 5 warning signs

No single metric tells the full story. See the LTS:0I77 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Darden Restaurants Business Description

Address 1000 Darden Center Drive, Orlando, FL, USA, 32837
Darden Restaurants is the largest global full-service dining operator, with over $12 billion in system sales across 2,159 company-owned stores at the end of fiscal 2025, spanning the US and Canada. The firm operates 10 banners in four segments, including Olive Garden (43% of sales), LongHorn Steakhouse (25%), and fine dining (21%), which includes The Capital Grille, Ruth's Chris, and Eddie V's. The other 11% of sales comes from smaller concepts such as Yard House and Cheddar's. Darden primarily generates revenue through sales of food and beverage items at its company-owned restaurants. It also earns royalties on sales from 154 franchised locations in US and international markets, which sit within the other segment but are immaterial to consolidated results.
86GF Score

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Cyclically Adjusted PS Ratio is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$209.62
Price
$215.50
GF Value