Darden Restaurants (DRI Quick QuoteDRI - Free Report) shares ended the last trading session 8.2% higher at $144.90. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 3.5% loss over the past four weeks.

Shares of the company appreciated after it reported third-quarter fiscal 2021 results, wherein both earnings and revenues surpassed the Zacks Consensus Estimate. The bottom line beat the consensus mark for the ninth straight quarter, while the top line outpaced the same after missing in the preceding three quarters. In fourth-quarter fiscal 2021, earnings per share from continuing operations are anticipated to be $1.60-$1.70. The company expects total sales of nearly $2.1 billion.

Price and Consensus

This owner of Olive Garden and other chain restaurants is expected to post quarterly earnings of $0.72 per share in its upcoming report, which represents a year-over-year change of -62.1%. Revenues are expected to be $1.63 billion, down 30.7% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Darden Restaurants, the consensus EPS estimate for the quarter has been revised 0.6% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on DRI going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank 3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>