Red Lobster’s 36-year-old CEO recently said he’s plotting the restaurant industry’s greatest comeback story ever. Now he’s handing out sage advice to other young leaders. In a recent How Leaders Lead With David Novak podcast episode, Damola Adamolekun said the key to success as a leader is being a better person. “Leadership is self-improvement,” Adamolekun said. “Understand yourself and what your strengths are and where you can be better. Because the stronger you are as a person, the more people are goi ...

Upgrades - Morgan Stanley upgraded Rollins (ROL) to Overweight from Equal Weight with a price target of $72, up from $58, citing the company as a "best-in-class" operator with durable demand drivers and structural tailwinds [2] - DA Davidson upgraded Guidewire (GWRE) to Buy from Neutral with an unchanged price target of $246, viewing the recent 20% pullback as an opportunity for investors seeking high-quality application software leaders [3] - Jefferies upgraded Procter & Gamble (PG) to Buy from Hold with a price target of $179, up from $156, noting a stabilizing consumer backdrop and easier comparisons entering 2026 [4] - Wells Fargo upgraded Texas Roadhouse (TXRH) to Overweight from Equal Weight with a price target of $195, up from $170, believing in the sustainability of comparable sales momentum [5] - RBC Capital upgraded Airbnb (ABNB) to Outperform from Sector Perform with a price target of $170, up from $145, highlighting an attractive brand monetization story in the evolving consumer AI landscape [6] Downgrades - Jefferies downgraded Constellation Brands (STZ) to Hold from Buy with a price target of $154, down from $170, due to prolonged fears among Hispanic consumers affecting top-line results [7] - JPMorgan downgraded CyberArk (CYBR) to Neutral from Overweight with a price target of $474, up from $443, following the announcement of its takeover by Palo Alto Networks expected to close in the first half of 2026 [7] - JPMorgan downgraded Fortinet (FTNT) to Underweight from Neutral with a price target of $75, down from $85, as the company faces headwinds from ongoing platform consolidation trends [7] - Jefferies downgraded Keurig Dr Pepper (KDP) to Hold from Buy with a price target of $32, citing heavy debt, coffee price volatility, and a new financing structure [7] - Barclays downgraded MGM Resorts (MGM) to Equal Weight from Overweight with a price target of $38, down from $42, expressing mixed views on various gaming sectors and a negative outlook on Las Vegas [7]

Core Viewpoint - Domino's Pizza has shown strong performance in 2025, with shares increasing 9.3% from November lows, currently trading near $434, and analysts are optimistic about reaching $550 per share by 2026 [2][6]. Financial Performance - The consensus 12-month price target for Domino's is $496.65, indicating a potential upside of 14.5% from current levels, with 20 out of 34 analysts rating it a buy or strong buy [3]. - Quarterly earnings growth is projected at 30.1% year over year, with Domino's beating Q3 2025 estimates with an EPS of $4.08 compared to the $3.95 consensus [4][8]. Strategic Initiatives - CEO Russell Weiner has highlighted the "Hungry for MORE" strategy, focusing on market share and operational excellence, supported by over 21,700 stores in 90+ markets, primarily operating under a capital-light franchise model [5]. - The company's emphasis on digital ordering and delivery aligns with consumer trends towards personalization and convenience [5]. Valuation Insights - Currently trading at approximately 25x trailing earnings and 22x forward earnings, reaching $550 would imply a valuation of about 32x forward earnings, which is a premium but justifiable given the 30% annual earnings growth [6][7]. Growth Drivers - Continued earnings beats are expected, with Domino's having beaten estimates by 3.3% in Q3 2025, and prediction markets showing 100% confidence in this performance [8]. - U.S. same-store sales grew by 5.2% in Q3, with international sales up 1.7%, indicating strong sales momentum [8]. - The company added 214 net new stores in Q3, with significant room for international expansion as it has only penetrated 90 markets globally [8]. Market Positioning - The restaurant sector underperformed in 2024, but renewed investor interest has been noted in late 2025, positioning Domino's as a quality leader in the market [9]. - Institutional ownership stands at 92.4%, with significant stakes from Berkshire Hathaway and Frontier Capital, indicating strong backing from institutional investors [9].

Darden Restaurants, Inc. (NYSE:DRI) will release earnings results for its second quarter before the opening bell on Thursday, Dec. 18.Analysts expect the Orlando, Florida-based company to report quarterly earnings at $2.1 per share, up from $2.03 per share in the year-ago period. The consensus estimate for Darden's quarterly revenue is $3.07 billion, compared to $2.89 billion a year earlier, according to data from Benzinga Pro.On Sept. 18, Darden Restaurants reported worse-than-expected first-quarter financ ...

Group 1 - Darden Restaurants, Inc. is set to release its second-quarter earnings results on December 18, with expected earnings of $2.1 per share, an increase from $2.03 per share in the same period last year [1] - The consensus estimate for Darden's quarterly revenue is projected at $3.07 billion, compared to $2.89 billion a year earlier [1] Group 2 - On September 18, Darden reported first-quarter financial results that were worse than expected, leading to a 0.5% decline in share price, closing at $185.53 [2] - Analysts have provided various ratings and price targets for Darden, with Citigroup maintaining a Buy rating and lowering the price target from $239 to $232 [3] - Mizuho maintained a Neutral rating and reduced the price target from $190 to $185, while JP Morgan kept an Overweight rating and cut the price target from $240 to $230 [3] - Deutsche Bank maintained a Buy rating and slashed the price target from $239 to $220, and Raymond James maintained an Outperform rating with a price target reduction from $230 to $210 [3]

Core Viewpoint - Kura Sushi USA, Inc. will host a conference call to discuss its fiscal first quarter 2026 financial results on January 7, 2026, at 5:00 p.m. ET, with a press release issued the same day after market close [1]. Group 1 - The conference call will be hosted by Hajime "Jimmy" Uba, President and CEO, Jeff Uttz, CFO, and Benjamin Porten, SVP of Investor Relations & System Development [1]. - Interested parties can listen to the conference call via telephone or through a webcast available on the company's website [2]. - A telephone replay of the call will be available shortly after it concludes, with specific access details provided [2]. Group 2 - Kura Sushi USA, Inc. operates 83 locations across 22 states and Washington DC, offering a unique dining experience centered on authentic Japanese cuisine and a revolving sushi service model [3]. - The company was established in 2008 as a subsidiary of Kura Sushi, Inc., which has over 650 restaurants globally and a brand history of 45 years [3].

Group 1 - The 'Pizookie Dip' phenomenon has emerged in the second half of the year, indicating a trend in consumer behavior within the restaurant industry [1] Group 2 - The research firm Goulart's Restaurant Stocks specializes in the U.S. restaurant industry, covering various segments from quick-service to fine dining [2] - The firm employs advanced financial modeling and sector-specific KPIs to identify hidden value in public equities, particularly focusing on micro and small-cap stocks [2]

Core Viewpoint - Darden Restaurants, Inc. is a leading full-service restaurant company with a market cap of $21.6 billion, operating well-known brands like Olive Garden and LongHorn Steakhouse [1] Financial Performance - Darden is expected to announce its fiscal Q2 2026 results on December 18, with analysts predicting an adjusted EPS of $2.09, a nearly 3% increase from $2.03 in the same quarter last year [2] - For fiscal 2026, analysts forecast an adjusted EPS of $10.59, representing a 10.9% increase from $9.55 in fiscal 2025 [3] Stock Performance - Darden's shares have increased by 10.7% over the past 52 weeks, underperforming the S&P 500 Index's nearly 12% gain but outperforming the Consumer Discretionary Select Sector SPDR Fund's 2.2% return [4] - On September 18, shares fell by 7.7% after reporting Q1 2026 adjusted EPS of $1.97, which missed Wall Street estimates despite quarterly sales of $3.04 billion meeting forecasts [5] Analyst Sentiment - The consensus view on DRI stock is cautiously optimistic, with a "Moderate Buy" rating from 30 analysts; 17 recommend "Strong Buy," 2 suggest "Moderate Buy," and 11 indicate "Hold" [6] - The average analyst price target for Darden Restaurants is $220.45, indicating a potential upside of 18.8% from current levels [6]

Core Viewpoint - Domino's Pizza has experienced a strong performance in 2025, with shares increasing by 9.3% from November lows and trading close to $434 as of mid-December [1] Company Performance - The stock price of Domino's Pizza is currently near $434, reflecting a positive trend in the company's market performance [1] - The increase of 9.3% in shares indicates a recovery and growth in investor confidence since November [1] Market Context - The performance of Domino's Pizza shares suggests a favorable market environment for the company, potentially driven by strong sales or operational efficiencies [1]

Core Insights - Restaurant Brands International Inc. (NYSE:QSR) is highlighted as a strong investment opportunity, with a significant position in Seth Klarman's portfolio valued at $529.3 million, indicating confidence in the stock's potential [1] - Analysts project an average price target suggesting a 10% upside, with the highest target indicating a potential upside of 36% [1][3] - RBC Capital maintains an Outperform rating with a revised price target of $82, citing improving momentum at Burger King US and strategic growth investments as key factors [2] Financial Performance and Analyst Ratings - Argus Research upgraded Restaurant Brands to Buy from Hold with a price target of $85, emphasizing the company's strong brand portfolio and competitive pricing strategies in an inflationary environment [3] - RBC Capital's analyst views Restaurant Brands as a top idea among international fast food franchises, highlighting its growth-focused investments and lower leverage as supportive of stock momentum [2] Strategic Initiatives - The company has entered a joint venture with CPE, a Chinese asset manager, to enhance Burger King's growth in China, aiming to expand its presence to over 4,000 outlets by 2035 from approximately 1,250 [4] - This strategic move is part of a broader effort to capitalize on market opportunities and strengthen the brand's footprint in international markets [4] Company Overview - Restaurant Brands International Inc. operates several well-known food and coffee chains, including Tim Hortons, Burger King, Popeyes, and Firehouse Subs, positioning itself as a significant player in the global fast food industry [5]