Stock-Based Compensation (Tables)

9 Months Ended

Feb. 26, 2023

Share-Based Payment Arrangement [Abstract]

Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions

The weighted-average fair value of non-qualified stock options and the related assumptions used in the Black-Scholes option pricing model for options granted during the periods presented, were as follows:

	Nine Months Ended
	February 26, 2023			February 27, 2022
Weighted-average fair value	$	36.20		$	41.02
Dividend yield	3.8		%	3.2		%
Expected volatility of stock	42.0		%	39.6		%
Risk-free interest rate	2.8		%	0.9		%
Expected option life (in years)	5.9			6.3
Weighted-average exercise price per share	$	121.47		$	148.20

The weighted-average grant date fair value of market-based performance stock units and the related assumptions used in the Monte Carlo simulation to record stock-based compensation for units granted during the periods presented, were as follows:

	Nine Months Ended
	February 26, 2023			February 27, 2022
Dividend yield (1)	0.0		%	0.0		%
Expected volatility of stock	55.5		%	53.4		%
Risk-free interest rate	2.9		%	0.4		%
Expected life (in years)	2.8			2.8
Weighted-average grant date fair value per unit	$	137.73		$	172.34

(1)Assumes a reinvestment of dividends.

Schedule of Nonvested Share Activity

The following table presents a summary of our stock-based compensation activity for the nine months ended February 26, 2023.

(in millions)	Stock Options	Restricted Stock/ Restricted Stock Units	Equity-Settled Performance Stock Units	Cash-Settled Darden Stock Units
Outstanding beginning of period	1.81	0.25	0.41	0.82
Awards granted	0.18	0.08	0.10	0.21
Awards granted performance impact	—	—	(0.04)	—
Awards exercised/vested	(0.19)	(0.05)	(0.11)	(0.15)
Awards forfeited	—	—	—	(0.05)
Outstanding end of period	1.80	0.28	0.36	0.83

Schedule of Recognized Expense From Stock-Based Compensation

We recognized expense from stock-based compensation as follows: 

	Three Months Ended				Nine Months Ended
(in millions)	February 26, 2023		February 27, 2022		February 26, 2023		February 27, 2022
Stock options	$	1.5	$	1.1	$	5.6	$	5.6
Restricted stock/restricted stock units	1.7		1.4		6.3		6.3
Equity-settled performance stock units	3.5		2.6		12.4		13.1
Cash-settled Darden stock units	6.3		5.6		24.8		21.8
Employee stock purchase plan	0.7		0.7		2.1		2.0
Director compensation program/other	0.5		0.3		1.4		1.0
Total stock-based compensation expense	$	14.2	$	11.7	$	52.6	$	49.8