On Oct 6, Darling Ingredients completed the sale of its CTH‑branded sausage casing unit to SARIA, a move that was reported as part of the company’s strategy to streamline operations and reduce debt. The divestiture, combined with a July sale of a majority of its trap business for roughly $90 million, helped cut net debt by $223 million in Q2 and lowered leverage to 2.3X. The company stated that it aims to finish the year with net debt at or below $3 billion and a leverage ratio under 2X, using the proceeds to further strengthen its balance sheet. These actions were described as intended to focus capital on higher‑integration businesses that promise longer‑term value creation. The portfolio reset was viewed as a positive step toward improving financial flexibility and supporting future growth.
DAR|Analyst Targets
▾
LOW TARGET
$65 +8.3%
1 analysts
MEAN TARGET
$82 +35.9%
10 analysts
HIGH TARGET
$90 +50.0%
9 analysts
PRICE RANGE
$65.00 - $90.00
SB / B / H / S / SS
8/8/2/1/1
DAILYIQ EST.
$84.45 (+40.7%)
DAR|Insider Trading
▾
Bought (1Y)
500 shares
$30K
Sold (1Y)
35,395 shares
$2.4M
STUEWE RANDALL CChairman and CEO
Sell5,000 shares2026-09-02
MANZI JOSEPHChief Accounting Officer
Sell1,000 shares2026-08-18
Dudley SandraEVP Chief Strategy Officer
Option Exercise5,928 shares2026-08-17
Dudley SandraEVP Chief Strategy Officer
Sell3,876 shares2026-08-17
Dudley SandraEVP Chief Strategy Officer
Sell2,598 shares2026-08-17
DAR|Fundamentals
▾
Bullish
Overall: Bullish
✓Revenue growing year over year
✓Positive net margin
✓Positive operating cash flow
Gross Margin
24.0%
Gross profit as a share of revenue: what's left after the direct cost of producing what's sold.
Net Margin
1.0%
Net income as a share of revenue: what's left for shareholders after every expense.
Revenue CAGR
15.6%
Compound annual growth rate of revenue across the fiscal years on file.
Current Ratio
1.50x
Current assets divided by current liabilities: the ability to cover obligations due within a year. Above 1.5x is comfortable, below 1x is a warning sign.
Debt / Equity
0.83x
Total interest-bearing debt divided by shareholder equity: how leveraged the balance sheet is.
Return on Equity
1.3%
Net income divided by shareholder equity: how efficiently the company turns equity capital into profit.
This is a pause rather than a turn for DAR - the signals are mixed by construction. At this size, a single catalyst moves the stock further than it would a larger peer.
Reverse DCF
What growth is priced into DAR?
RICH
At today's price, Darling Ingredients Inc. needs to grow free cash flow about 159.8% a year for the next 10 years to justify its valuation at a 6.35% cost of capital. Over its actual history it has compounded free cash flow at 13.6% a year, so the market is asking for 146.3 percentage points above its own delivered rate. On that basis DAR looks priced above what its own growth record supports.
Implied FCF growth
159.8%
Historical FCF CAGR
13.6%
Growth gap
+146.3 pts
Verdict
RICH
Discount rate (WACC)
6.35%
Beta
0.30
Sector Rotation
Is money rotating into or out of DAR's sector?
Darling Ingredients Inc. sits in the Consumer Staples sector, currently ranked 7th of 12 GICS sectors by relative-strength rotation score (improving).
Sector rank
#7 of 12
Sector state
Improving
Sector rotation score
45
Options Market
What is the options market pricing for DAR?
CallsPuts
For Darling Ingredients Inc.'s nearest expiry (2026-10-16, 8 days out), open interest is call-heavy, a bullish tilt (put/call ratio of 0.22), with at-the-money implied volatility around 50.3%. The options market is pricing roughly a ±7.1% move by that expiry — a range of about $55.82–$64.34.
Put/call ratio (2026-10-16)
0.22
ATM implied volatility
50.3%
Total open interest
11,999
Expected move by 2026-10-16
±7.1% ($55.82–$64.34)
Analyst Rating Changes
Are analysts turning bullish or bearish on DAR?
Piper Sandler most recently reiterated its rating on Darling Ingredients Inc. to Overweight on Oct 11, 2024 with a price target of $48 (from $50). Over the last 90 days, coverage has run 0 upgrades against 0 downgrades, a net mixed lean.
Latest action
Piper Sandler — Overweight
90-day upgrades
0
90-day downgrades
0
Net rating momentum
0
Date
Firm
Action
Rating
Price target
Oct 11, 2024
Piper Sandler
Maintained
Overweight
$50 → $48
Oct 7, 2024
Jefferies
Maintained
Buy
$47 → $44
Sep 13, 2024
TD Cowen
Maintained
Hold
$45 → $43
Jul 26, 2024
Jefferies
Maintained
Buy
$53 → $47
Jul 12, 2024
Scotiabank
Maintained
Sector Outperform
$57 → $45
Jun 13, 2024
TD Cowen
Maintained
Hold
$51 → $45
Jun 12, 2024
Citigroup
Upgrade
Neutral → Buy
$48
May 20, 2024
Stifel
Maintained
Buy
$90 → $85
Apr 17, 2024
JP Morgan
Maintained
Overweight
$66 → $62
Apr 11, 2024
Scotiabank
Maintained
Sector Outperform
$73 → $57
Apr 8, 2024
Stifel
Maintained
Buy
$95 → $90
Apr 3, 2024
Citigroup
Maintained
Neutral
$46 → $48
Held by These ETFs
DAR is a top holding in these ETFs tracked on DailyIQ — bar length shows portfolio weight.
Most recent articles, ranked by recency (click to expand).
10+ articles
What did this article say?
Darling Ingredients completed the sale of its CTH-branded sausage casing unit to SARIA, a transaction that aligns with its strategy to streamline operations and reduce debt. The divestiture, along with the July sale of a majority of its trap business for roughly $90 million, helped cut net debt by $223 million in Q2 and bring leverage down to 2.3X. The company aims to finish the year with net debt at or below $3 billion and a leverage ratio under 2X, using proceeds to further strengthen its balance sheet. These moves are intended to focus capital on higher‑integration businesses that promise longer‑term value creation. The portfolio reset is viewed as a positive step toward improving financial flexibility and supporting future growth.
What did this article say?
Darling Ingredients (DAR) announced on October 5 that it had completed the sale of its CTH branded sausage casing business to Saria. The transaction terms were not disclosed, but the company stated that the proceeds would be applied to reduce its debt balance. The divestiture is part of DAR’s ongoing strategy to streamline operations and strengthen its balance sheet. No immediate impact on earnings or cash flow projections was disclosed.
What did this article say?
Darling Ingredients Inc. closed the sale of its CTH branded sausage casing business to SARIA on October 5, 2026. The transaction was not disclosed in monetary terms but was described as part of DAR’s strategy to streamline its portfolio and focus on higher‑margin, integrated segments. Management highlighted that proceeds will be used to reduce debt and support growth initiatives. The divestiture aligns with DAR’s broader circularity and renewable energy objectives. No immediate impact on core operations was reported.
What did this article say?
Darling Ingredients Inc. (NYSE: DAR) announced that it will release its third‑quarter 2026 financial results on October 29, 2026, and host a conference call to discuss the data. The call will be available for participants and listeners, with a replay and transcript posted shortly after. The company will also provide supplemental financial information on its investor website. This routine earnings announcement is a standard update with no material change to guidance or outlook.
What did this article say?
Darling Ingredients (DAR) experienced a 6% decline over the past week and 5% over the month, yet maintained a 15% gain in the preceding three months. The pullback occurred against a backdrop of a 15.3% 90‑day return and a 62.8% year‑to‑date gain, underscoring sustained momentum. Analysts noted that the current price of $61.29 sits below a fair‑value estimate of $78.58, suggesting upside potential remains.
What did this article say?
UBS notes that Darling Ingredients’ operational execution and improving renewable diesel economics are creating a supportive earnings backdrop, with expectations of higher free cash flow and EBITDA. The firm’s balance sheet is strengthening, potentially enabling accelerated share repurchases in 2027. Regulatory clarity on small refinery exemptions and higher renewable volume obligations further sustain the current margin environment. UBS maintains a buy rating and lifts its price target to $88 from $78, signaling confidence in DAR’s growth trajectory.
What did this article say?
UBS has lifted its price target for Darling Ingredients Inc (DAR) from $78 to $88, reflecting confidence in the company’s earnings trajectory and market positioning. The upgrade comes while maintaining a buy rating, underscoring the bank’s belief that DAR’s current valuation is undervalued relative to its growth prospects. The move signals a bullish view on DAR’s ability to capitalize on its sustainable ingredient solutions and expanding customer base, potentially driving investor interest.
What did this article say?
UBS analyst Manav Gupta has upgraded Darling Ingredients (DAR) to a Buy rating and lifted the price target from $78 to $88. The upgrade reflects confidence in DAR’s continued growth in the sustainable ingredients market and its expanding contract portfolio. The higher target suggests UBS expects the company to outperform peers and deliver solid earnings momentum.
What did this article say?
Darling Ingredients (DAR) has earned a high technical rating on ChartMill’s breakout screen, scoring 9/10 for both technical strength and setup quality. The analysis identifies a clear entry level at $68.35, suggesting a potential upward move if the breakout holds. The rating implies that the stock has strong momentum and a favorable trend, but the magnitude of upside remains modest.
What did this article say?
Darling Ingredients is repositioning its food portfolio toward collagen, a product line with higher margins and expanding global demand. The company believes existing manufacturing assets can support this shift, potentially lifting EBITDA without significant new capital outlays. The move signals a strategic pivot toward higher‑margin ingredients, which could materially improve profitability if demand trends continue.
Technical Analysis
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