UPDATE: Jefferies Reiterates Hold Rating, Lowers PT on Darden Restaurants on Pre-Announced F3Q EPS

In a report published Wednesday, Jefferies reiterated its Hold rating on Darden Restaurants DRI, but lowered its price target from $44.00 to $42.00. Jefferies noted, “At its Analyst Meeting following pre-announced F3Q EPS ($1.00-1.02 vs cons $1.13), DRI detailed plans to stabilize the business & drive future growth. Operating visibility remains limited though, and DRI lowered its near-term EPS growth model to +5-10% (from 10-15%). The stock should find support on DRI's commitment to dividend growth, but we remain cautious given sustained earnings risk. We see flat EPS in F14, and lower our PT to $42.” Darden Restaurants closed on Tuesday at $45.79.