Darden Restaurants
Darden Restaurants (DRI) is a leading operator of popular full-service dining brands such as Olive Garden and LongHorn Steakhouse. The company recently reported mixed results for the fourth quarter of fiscal 2024, with earnings exceeding expectations but sales slightly missing consensus due to increased competition. Darden announced a nearly 7% dividend hike, bringing the quarterly dividend to $1.40 per share, with a dividend yield of 3.5%. Analyst Peter Saleh from BTIG reiterated a buy rating on DRI stock and set a price target of $175, highlighting the company's strong historical performance and potential for double-digit total shareholder return.
International Seaways
International Seaways (INSW) is a tanker company providing energy transportation services. The company paid a combined dividend of $1.75 per share on June 26, representing 60% of its first-quarter adjusted net income. Analyst Benjamin Nolan from Stifel reaffirmed a buy rating on the stock and raised the price target to $68, emphasizing the strong tanker market due to increased global oil consumption and limited ship supply. Nolan expects higher cash flows for INSW, driven by a favorable market backdrop.
Citigroup
Citigroup (C) is a banking giant offering a yield of 3.3% with a quarterly dividend of 53 cents per share. Following the Services Investor Day, analyst Richard Ramsden from Goldman Sachs maintained a buy rating on Citigroup stock and increased the price target to $72. Ramsden's optimism is based on Citi's strategic transformation plan progress and growth opportunities in the Services business, which is expected to contribute significantly to the group revenue growth through 2026. With a global network and focus on technology investments, Citi is well-positioned for market share gains. Ramsden's positive outlook is supported by Citi's strong risk controls and focus on data quality.