Olive Garden parent Darden, Uber stocks pop after delivery deal announcement
Published On Sep 19, 2024, 11:07 AM
Darden Restaurants, the owner of Olive Garden, and Uber have announced a new partnership that will allow Darden to use Uber's delivery technology to facilitate on-demand delivery of Olive Garden's menu items. This marks a significant change for Darden, which has previously been hesitant to work with third-party delivery apps. The deal has led to a rise in share prices for both companies, with Darden's stock jumping by up to 9% and Uber's by approximately 3%. Despite a disappointing quarterly earnings report from Darden, which revealed a decline in same-restaurant sales at Olive Garden, analysts view the partnership positively, although some caution that it may not drastically increase sales given Olive Garden's target demographic.
Stock Forecasts
DRI
Positive
Darden's partnership with Uber could help recover sales by providing easier access to its products through delivery, thereby attracting a more extensive customer base. However, analysts are cautious about expecting significant changes given the brand's traditional customer base.
UBER
Positive
Uber's involvement in this partnership could lead to greater market penetration for its delivery services in the restaurant industry. This could drive its stock positively as more restaurants may seek similar delivery partnerships in the future.
Related News
Uber boss: Choose electric - even if you have an extra wait
Oct 7, 2024, 7:03 PM
The platform wants customers to go greener as it tries to boost the take-up of electric cars.
Uber to provide delivery for Olive Garden in new partnership
Sep 19, 2024, 3:53 PM
Darden Restaurants plans to start delivering Olive Garden food via Uber later this year, according to a Thursday announcement from the company.
Olive Garden parent Darden, Uber stocks pop after delivery deal announcement
Sep 19, 2024, 11:07 AM
Darden and Uber stocks jumped Thursday after the announcement of a multi-year food delivery partnership.