Darden Restaurants (MEX:DRI) ROE %: 75.40% (As of May. 2026) — 118% Above Median


MEX:DRI Darden Restaurants Inc MEX:DRI
87 GF Score
Price MXN3,470.00
GF Value MXN3,414.96
! 5 Warning Signs
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What is Darden Restaurants ROE %?

Darden Restaurants MEX:DRI 87 ROE % is 75.40% as of May. 2026, which is 118% above its 10-year median of 34.57. GuruFocus rates MEX:DRI with a GF Score™ of 87/100 and a GF Value™ of MXN3,414.96. The stock has 5 warning signs investors should review. Among 346 Restaurants companies, Darden Restaurants ranks better than 93.06% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Darden Restaurants's annualized net income for the quarter that ended in May. 2026 was MXN28,100 Mil. Darden Restaurants's average Total Stockholders Equity over the quarter that ended in May. 2026 was MXN37,266 Mil. Therefore, Darden Restaurants's annualized ROE % for the quarter that ended in May. 2026 was 75.40%.

The historical rank and industry rank for Darden Restaurants's ROE % or its related term are showing as below:

MEX:DRI' s ROE % Range Over the Past 10 Years
Min: -2.22   Med: 34.57   Max: 55.21
Current: 55.21

During the past 13 years, Darden Restaurants's highest ROE % was 55.21%. The lowest was -2.22%. And the median was 34.57%.

MEX:DRI's ROE % is ranked better than
93.06% of 346 companies
in the Restaurants industry
Industry Median: 6.38 vs MEX:DRI: 55.21

Darden Restaurants  (MEX:DRI) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: May. 2026 )
=Net Income/Total Stockholders Equity
=28099.736/37266.0185
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(28099.736 / 258081.744)*(258081.744 / 222557.113)*(222557.113 / 37266.0185)
=Net Margin %*Asset Turnover*Equity Multiplier
=10.89 %*1.1596*5.9721
=ROA %*Equity Multiplier
=12.63 %*5.9721
=75.40 %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: May. 2026 )
=Net Income/Total Stockholders Equity
=28099.736/37266.0185
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (28099.736 / 32312.268) * (32312.268 / 37309.008) * (37309.008 / 258081.744) * (258081.744 / 222557.113) * (222557.113 / 37266.0185)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.8696 * 0.8661 * 14.46 % * 1.1596 * 5.9721
=75.40 %

Note: The net income data used here is four times the quarterly (May. 2026) net income data. The Revenue data used here is four times the quarterly (May. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Darden Restaurants ROE % Related Terms


Darden Restaurants ROE % Historical Data

* Premium members only.

The historical data trend for Darden Restaurants's ROE % 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 ROE % Chart

Darden Restaurants Annual Data
Trend May17 May18 May19 May20 May21 May22 May23 May24 May25 May26
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only 37.76 42.33 45.25 49.13 50.32

Darden Restaurants Quarterly Data
Aug21 Nov21 Feb22 May22 Aug22 Nov22 Feb23 May23 Aug23 Nov23 Feb24 May24 Aug24 Nov24 Feb25 May25 Aug25 Nov25 Feb26 May26
ROE % 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 52.40 44.77 43.41 56.85 75.40

MEX:DRI vs YUMC, TXRH, DPZ: ROE % Comparison

For the Restaurants subindustry, Darden Restaurants's ROE %, along with its competitors' market caps and ROE % 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 ROE % vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Darden Restaurants's ROE % distribution charts can be found below:

* The bar in red indicates where Darden Restaurants's ROE % falls into.


MEX:DRI
87GF Score
Darden Restaurants Inc MEX:DRI
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Darden Restaurants ROE % Calculation

Darden Restaurants's annualized ROE % for the fiscal year that ended in May. 2026 is calculated as

ROE %=Net Income (A: May. 2026 )/( (Total Stockholders Equity (A: May. 2025 )+Total Stockholders Equity (A: May. 2026 ))/ count )
=20936.004/( (44908.809+38299.684)/ 2 )
=20936.004/41604.2465
=50.32 %

Darden Restaurants's annualized ROE % for the quarter that ended in May. 2026 is calculated as

ROE %=Net Income (Q: May. 2026 )/( (Total Stockholders Equity (Q: Feb. 2026 )+Total Stockholders Equity (Q: May. 2026 ))/ count )
=28099.736/( (36232.353+38299.684)/ 2 )
=28099.736/37266.0185
=75.40 %

* 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.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is four times the quarterly (May. 2026) net income data. ROE % is displayed in the 30-year financial page.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of 75.40% mean?
Darden Restaurants (MEX:DRI) has a ROE % of 75.40% as of May. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Darden Restaurants and its competitors. This is 118% above median its historical median of 34.57. According to the industry distribution chart, Darden Restaurants ranks #24 out of 346 companies in the Restaurants industry, placing it in the top 6.9%.
Is Darden Restaurants' ROE % too high?
Darden Restaurants' current ROE % of 75.40% is 118% above median its 10-year median of 34.57. The Restaurants industry median ROE % is 6.38. Darden Restaurants' value of 75.40% is 1081.8% above this industry median. Based on the distribution chart, Darden Restaurants ranks #24 out of 346 companies in the Restaurants industry, which is in the top quartile — a strong position relative to peers. Overall, Darden Restaurants has a GF Score™ of 87/100, reflecting its overall financial health beyond just this single metric.
How does Darden Restaurants' ROE % compare to YUMC and TXRH?
According to the Restaurants industry distribution chart, Darden Restaurants ranks #24 out of 346 companies for ROE %. This places Darden Restaurants in the top 7% of its industry — outperforming the majority of peers. The industry median ROE % is 6.38. Darden Restaurants' value of 75.40% is 1081.8% above this benchmark. While the company's 10-year median is 34.57 vs. the industry median of 6.38, Darden Restaurants has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Restaurants company?
The median ROE % among Restaurants companies is 6.38, based on 346 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Darden Restaurants's current ROE % of 75.40% is 1081.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Darden Restaurants and its competitors. For the Restaurants industry, the median ROE % is 6.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Darden Restaurants's current ROE % is 75.40%, which is 118% above median its own 10-year median of 34.57. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Darden Restaurants stock overvalued right now?
Darden Restaurants (MEX:DRI) has a current ROE % of 75.40%. The stock's GF Value™ is MXN3,414.96, compared to a current price of MXN3,470.00 — trading 1.6% above its estimated fair value. The current ROE % is 75.40%, which is 118% above median its 10-year median of 34.57 and 1081.8% above the Restaurants industry median of 6.38. Darden Restaurants' overall GF Score™ is 87/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Darden Restaurants (MEX:DRI), the current ROE % is 75.40% as of May. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Darden Restaurants (MEX:DRI) Overvalued in 2026?

Based on GuruFocus' analysis, Darden Restaurants stock appears to be overvalued. The current stock price of MXN3,470.00 is trading 1.6% above its estimated GF Value™ of MXN3,414.96.

Key valuation signals for MEX:DRI:

  • ROE %: 75.40% (118% above median its 10-year median of 34.57)
  • GF Value™: MXN3,414.96 vs. price of MXN3,470.00 (1.6% above fair value)
  • GF Score™: 87/100 with 5 warning signs
  • Industry Position: 1081.8% above the Restaurants median (#24 of 346)

No single metric tells the full story. See the MEX:DRI 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.
87GF Score

Get the complete analysis for MEX:DRI

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

MXN3,470.00
Price
MXN3,414.96
GF Value