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1. Company Snapshot

1.a. Company Description

Domino's Pizza, Inc., through its subsidiaries, operates as a pizza company in the United States and internationally.It operates through three segments: U.S. Stores, International Franchise, and Supply Chain.The company offers pizzas under the Domino's brand name through company-owned and franchised stores.


It also provides oven-baked sandwiches, pasta, boneless chicken and chicken wings, bread and dips side items, desserts, and soft drink products.As of January 2, 2022, the company operated approximately 18,800 stores in 90 markets.Domino's Pizza, Inc.


was founded in 1960 and is based in Ann Arbor, Michigan.

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1.b. Last Insights on DPZ

Domino's Pizza's recent performance was negatively impacted by a 5.5% decline in earnings per share (EPS) in Q2 2025, despite a 14.9% increase in income from operations and 3.4% U.S. same-store sales growth. The company's earnings miss was partly offset by a successful new menu launch and expansion on delivery aggregators, which contributed to continued market share gains domestically and internationally. However, the decline in EPS was a concern, and the company's ability to maintain its growth momentum will be closely watched in the coming quarters.

1.c. Company Highlights

2. Domino's Pizza: A Recipe for Success

The company's financial performance in 2025 was impressive, with a same-store sales growth of 3% and net store openings leading to another point of market share gain. The company's operating profits grew by more than 8%, and estimated US franchisee per store profitability reached approximately $166,000. The actual EPS came out at $17,706.69, significantly higher than the estimated $5.36.

Publication Date: Feb -24

📋 Highlights
  • Market Share Growth:: Gained 11 points of US pizza market share over 11 years, reaching ~25% in 2025.
  • Store Expansion:: Opened 172 net US stores in 2025 and projects 175+ in 2026; 800 international net store growth expected in 2026.
  • Franchisee Profitability:: US franchisee per-store profitability rose to $166,000 in 2025, up from $155,000 in 2024.
  • Operating Profit Growth:: Company-operated profits grew >8% in 2025; expects ~8% growth in 2026 excluding currency impacts.
  • Delivery & Tech Focus:: Aggregator share on DoorDash to expand in 2026; 15% overlap between delivery/carryout, with no decline in 2025.

Revenue Growth

The company's global retail sales growth is expected to be approximately 6% in 2026, driven by a 3% US comp and meaningful market share gain. The US same-store sales growth is expected to be fueled by continued efficiencies and product innovations, such as Carryout, Loyalty, and Renown Value, which have shown sustained growth. As Sandeep Reddy, the company's CFO, noted, "the industry has been growing at 1-2% since 2019, and we have consistently gained market share by improving same-store sales and franchisee economics."

Valuation Metrics

To understand what's priced into Domino's Pizza's stock, we can look at various valuation metrics. The company's P/E Ratio is 0.02, indicating a potentially undervalued stock. The EV/EBITDA ratio is -0.31, suggesting that the company's enterprise value is not excessively high compared to its earnings before interest, taxes, depreciation, and amortization. Additionally, the Dividend Yield is 1.74%, and the Free Cash Flow Yield is 4.67%, indicating a relatively attractive return for investors.

Store Expansion

The company expects to increase its net store growth to approximately 800 stores internationally in 2026, driven primarily by growth in China and India. In the US, the company expects to open 175+ net stores, with a robust pipeline heading into the year. The company's goal is to continue to be aggressive in its store expansion while protecting franchisee profitability.

Guidance for 2026

3. NewsRoom

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No Matter What Happens to the Market, These 5 Dividend Stocks Belong in Your Portfolio

Apr -01

Source: fool.com

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Domino's Pizza: One Of The Few Winners In A Tough Restaurant Market - And Now Undervalued

Apr -01

Source: seekingalpha.com

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2 Great Stocks With Powerful Brands Trading at Attractive Prices

Mar -31

Source: youtube.com

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Should Investors Be Cautious About Domino's Pizza Stock?

Mar -31

Source: 247wallst.com

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Domino’s Pizza Inc (NASDAQ:DPZ) Sees Large Increase in Short Interest

Mar -31

Source: defenseworld.net

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Domino's® Announces Q1 2026 Earnings Webcast

Mar -26

Source: prnewswire.com

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Domino’s Pizza (NASDAQ:DPZ) Reaches New 52-Week Low – Here’s What Happened

Mar -26

Source: defenseworld.net

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It's Time to Load Up on This Iconic Dividend Stock

Mar -26

Source: fool.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (6.63%)

6. Segments

Supply Chain

Expected Growth: 6.5%

Domino's Pizza, Inc.'s 6.5% supply chain growth is driven by strategic investments in digital transformation, enhancing customer experience through online ordering and tracking. Additionally, the company's focus on supply chain optimization, including the implementation of a new enterprise resource planning system, has improved efficiency and reduced costs. Furthermore, Domino's has expanded its global footprint, increasing its store count and driving growth through international markets.

U.S. Stores

Expected Growth: 6.8%

Domino's U.S. stores' 6.8% growth is driven by increased same-store sales, successful marketing campaigns, and strategic menu pricing. Additionally, the company's focus on digital transformation, including online ordering and delivery capabilities, has enhanced customer convenience and experience, leading to increased sales and market share gains.

International Franchise

Expected Growth: 7.2%

Domino's Pizza, Inc.'s international franchise growth of 7.2% is driven by increasing demand for convenience food, expansion into new markets, strategic partnerships, and investments in digital technologies. Additionally, the company's focus on menu innovation, marketing efforts, and operational efficiencies have contributed to its growth momentum.

Intersegment Revenues

Expected Growth: 6.2%

Domino's Pizza, Inc. achieved 6.2% intersegment revenue growth driven by increased same-store sales, expansion of digital ordering channels, and strategic partnerships. Additionally, the company's focus on menu innovation, improved customer experience, and effective marketing campaigns contributed to the growth. Furthermore, the company's efforts to enhance its supply chain and logistics operations also supported the revenue increase.

7. Detailed Products

Handmade Pan Pizzas

Artisan-style pizzas made with fresh ingredients and a crispy crust

Thin Crust Pizzas

Light and crispy crust pizzas with a variety of toppings

Stuffed Cheesy Bread

Breadsticks filled with melted cheese and toppings

Bread Sides

Variety of breadsticks, including garlic bread and cinna stix

Salads

Freshly made salads with a variety of toppings

Sandwiches

Oven-baked sandwiches with a variety of fillings

Desserts

Variety of sweet treats, including chocolate lava crunch cakes

Combo Meals

Bundle deals that include pizza, sides, and drinks

8. Domino's Pizza, Inc.'s Porter Forces

Forces Ranking

Threat Of Substitutes

Domino's Pizza faces moderate threat from substitutes, as customers have various alternatives for pizza, such as cooking at home, ordering from other restaurants, or opting for meal kits.

Bargaining Power Of Customers

Domino's Pizza has a large customer base, which reduces the bargaining power of individual customers. However, the rise of online ordering and food delivery platforms has increased customer power to some extent.

Bargaining Power Of Suppliers

Domino's Pizza has a diversified supplier base, which reduces the bargaining power of individual suppliers. The company's large scale of operations also gives it negotiating power over suppliers.

Threat Of New Entrants

The pizza industry has moderate barriers to entry, including high marketing and advertising expenses, as well as the need for a strong brand reputation. This limits the threat of new entrants.

Intensity Of Rivalry

The pizza industry is highly competitive, with several established players, including Papa John's, Pizza Hut, and Little Caesars. This intense rivalry puts pressure on Domino's Pizza to maintain its market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 457.38%
Debt Cost 4.74%
Equity Weight -357.38%
Equity Cost 8.11%
WACC -7.30%
Leverage -127.98%

11. Quality Control: Domino's Pizza, Inc. passed 6 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
Darden

A-Score: 6.1/10

Value: 4.0

Growth: 6.0

Quality: 5.4

Yield: 6.0

Momentum: 6.0

Volatility: 9.0

1-Year Total Return ->

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Stock-Card
Wendy's

A-Score: 5.6/10

Value: 6.3

Growth: 5.9

Quality: 4.8

Yield: 9.0

Momentum: 0.0

Volatility: 7.3

1-Year Total Return ->

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Texas Roadhouse

A-Score: 5.4/10

Value: 2.6

Growth: 8.2

Quality: 5.5

Yield: 4.0

Momentum: 4.0

Volatility: 8.3

1-Year Total Return ->

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Stock-Card
Domino's Pizza

A-Score: 5.4/10

Value: 4.2

Growth: 6.4

Quality: 6.0

Yield: 3.0

Momentum: 4.0

Volatility: 8.7

1-Year Total Return ->

View Full Report
Stock-Card
Brinker

A-Score: 4.7/10

Value: 4.7

Growth: 8.0

Quality: 5.4

Yield: 0.0

Momentum: 6.0

Volatility: 4.0

1-Year Total Return ->

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Stock-Card
Wingstop

A-Score: 4.4/10

Value: 2.5

Growth: 9.4

Quality: 6.9

Yield: 1.0

Momentum: 3.0

Volatility: 3.3

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

370.82$

Current Price

370.82$

Potential

0.00%

Expected Cash-Flows