Return on Retained Earnings (RORE) is an indicator of a company's growth potential, it shows how much a company earns by reinvesting its retained earnings, i.e. profits after dividend payments.
Darden Restaurants's 5-Year RORE % for the quarter that ended in May. 2026 was 5.11%.
The industry rank for Darden Restaurants's 5-Year RORE % or its related term are showing as below:
MEX:DRI's 5-Year RORE % is ranked better than 53.11% of 305
companies
in the Restaurants industry
Industry Median: 6.69
vs MEX:DRI: 5.11
Return on Retained Earnings (RORE) is important to investors because it reveals a company's efficiency and growth potential. A higher RORE indicates a higher return. A high RORE indicates that the company should reinvest profits into the business. A lower RORE suggests that the company should distribute profits to shareholders by paying out dividends, since those dollars aren't generating much additional growth for the company.
There are a several different ways to arrive at the Return on Retained Earnings. The simplest way to calculate it is by using published information on Earnings per Share (EPS) and Dividend per Share (DPS) over a selected period. Here, 5-year period is chosen.
Be Aware
Please keep in mind that the RORE is relative to the nature of the business and its competitors. If another company in the same sector is producing a lower return on retained earnings, it doesn’t necessarily mean it’s a bad investment. It may just suggest the company is older and no longer in a high growth stage. At such a stage in the business cycle, it would be expected to see a lower RORE and higher dividend payout.
Darden Restaurants 5-Year RORE % Related Terms
Darden Restaurants 5-Year RORE % Historical Data
* Premium members only.
The historical data trend for Darden Restaurants's 5-Year RORE % 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.
MEX:DRI vs YUMC, TXRH, DPZ: 5-Year RORE % Comparison
For the Restaurants subindustry, Darden Restaurants's 5-Year RORE %, along with its competitors' market caps and 5-Year RORE % 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 5-Year RORE % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Darden Restaurants's 5-Year RORE % distribution charts can be found below:
* The bar in red indicates where Darden Restaurants's 5-Year RORE % falls into.
* 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 5-Year RORE %, the most recent and first period EPS (Diluted) is the trailing twelve months (TTM) data ended in May. 2026 and 5-year before.
Darden Restaurants (MEX:DRI) has a 5-Year RORE % of 5.11 as of May. 2026. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Darden Restaurants and its competitors. According to the industry distribution chart, Darden Restaurants ranks #143 out of 305 companies in the Restaurants industry, placing it in the top 46.9%.
Is Darden Restaurants' 5-Year RORE % too high?
Darden Restaurants' current 5-Year RORE % is 5.11. The Restaurants industry median 5-Year RORE % is 6.69. Darden Restaurants' value of 5.11 is 23.6% below this industry median. Based on the distribution chart, Darden Restaurants ranks #143 out of 305 companies in the Restaurants industry, which is above the industry midpoint. Overall, Darden Restaurants has a GF Score™ of 87/100, reflecting its overall financial health beyond just this single metric.
How does Darden Restaurants' 5-Year RORE % compare to YUMC and TXRH?
According to the Restaurants industry distribution chart, Darden Restaurants ranks #143 out of 305 companies for 5-Year RORE %. This puts Darden Restaurants in the upper half of its industry. The industry median 5-Year RORE % is 6.69. Darden Restaurants' value of 5.11 is 23.6% below this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good 5-Year RORE % for a Restaurants company?
The median 5-Year RORE % among Restaurants companies is 6.69, based on 305 companies in the industry. Companies in the top quartile (top 25%) have a 5-Year RORE % significantly above this median, while those in the bottom quartile fall well below. However, 5-Year RORE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Darden Restaurants's current 5-Year RORE % of 5.11 is 23.6% below 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 5-Year RORE % mean?
A high 5-Year RORE % can signal that a stock is expensive relative to its fundamentals. 5-Year RORE % shows how much a company earns by reinvesting its retained earnings in 5-year. View historical data on Darden Restaurants and its competitors. For the Restaurants industry, the median 5-Year RORE % is 6.69 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Darden Restaurants's current 5-Year RORE % is 5.11. 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 5-Year RORE % of 5.11. 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 5-Year RORE % is 5.11 and 23.6% below the Restaurants industry median of 6.69. 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 5-Year RORE % calculated?
5-Year RORE % is calculated from a company's financial statements. For Darden Restaurants (MEX:DRI), the current 5-Year RORE % is 5.11 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:
5-Year RORE %: 5.11
GF Value™: MXN3,414.96 vs. price of MXN3,470.00 (1.6% above fair value)
Industry Position: 23.6% below the Restaurants median (#143 of 305)
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 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
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