Sell The News In Darden Restaurants

Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show. Darden Restaurants, Inc. DRI shares were trading higher by $0.45 at $69.83 in Tuesday's session. In pre-market trading, the issue spiked to $74.90 after posting a strong Q4 EPS of $1.08 vs. $0.93 estimates coupled with better sales. In addition, the company announced it may be considering a REIT separation of its real estate assets. After reaching that elevated level that surpassed its former all-time high ($70.38) by a wide margin, a major round of profit-taking ascended on the issue. By the open of the regular session, it had come down to the $73 level and after a brief pop to $73.40, more sellers came into the issue. The ensuing decline took the issue within $0.09 of Monday's high ($69.50) before rebounding and consolidating at the $70 level. In order to improve on its all-time closing high, the issue would need to settle above its March 24 close ($69.73), which was the same day it posed its all-time high. Editor's note: At time of publication, shares were trading at $70.05, up $0.67.