04:23 PM EDT, 09/16/2024 (MT Newswires) -- Darden Restaurants' ( DRI ) sales trends at Olive Garden ( DRI ) are expected to rebound in fiscal Q2 after facing pressure in fiscal Q1 from macroeconomic hurdles and consumer spending headwinds, UBS Securities said Friday in a report.

The extended promotional period for "Never Ending Pasta" offers more sales opportunities, UBS said. Fiscal Q1 results are expected Thursday.

LongHorn Steakhouse continues to show strong momentum with same-store sales outperforming expectations, UBS said.

FY25 guidance will likely be reaffirmed, including expectations of 1% to 2% for same-store sales growth, total sales of $11.8 billion to $11.9 billion and earnings per share of $9.40 to $9.60, UBS said.

UBS maintained a buy rating on Darden with a price target of $188.

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