5.38%
7.39%
8.96%
5.16%
5.77%
-0.85%
60.00%

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.

Market Data

Last Price 450.8
Change Percentage 5.38%
Open 441.65
Previous Close 427.78
Market Cap ( Millions) 15567
Volume 964814
Year High 542.75
Year Low 396.06
M A 50 439.8
M A 200 455.36

Financial Ratios

FCF Yield 3.20%
Dividend Yield 1.34%
ROE -14.35%
Debt / Equity -130.85%
Net Debt / EBIDTA 507.36%
Price To Book -3.95
Price Earnings Ratio 27.43
Price To FCF 31.22
Price To sales 3.34
EV / EBITDA 20.82

News

Business Breakdown

Expected Mid-Term Growth

Segment n°1 -> Supply Chain

Expected Growth : 6.5 %

What the company do ?

Domino's Pizza, Inc.'s supply chain involves sourcing ingredients from suppliers, manufacturing dough and sauce, distributing to franchises, and delivering pizzas to customers through a network of drivers and stores.

Why we expect these perspectives ?

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.

Segment n°2 -> U.S. Stores

Expected Growth : 6.8 %

What the company do ?

Domino's Pizza, Inc. U.S. Stores refer to the company-owned and franchise locations operating in the United States, offering pizza and other menu items for delivery and carryout.

Why we expect these perspectives ?

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.

Segment n°3 -> International Franchise

Expected Growth : 7.2 %

What the company do ?

Domino's Pizza, Inc. is an international franchise with over 15,000 stores in 85 countries, offering a standardized business model for entrepreneurs to operate under the Domino's brand.

Why we expect these perspectives ?

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.

Segment n°4 -> Intersegment Revenues

Expected Growth : 6.2 %

What the company do ?

Intersegment Revenues from Domino's Pizza, Inc. refers to the elimination of revenues generated from transactions between subsidiaries, ensuring accurate financial reporting.

Why we expect these perspectives ?

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.

Domino'S Pizza, Inc. Products

Product Range What is it ?
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

Domino's Pizza, Inc.'s Porter Forces

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.

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.

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.

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.

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.

Capital Structure

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

Historical Valuation

Price/Earnings Ratio

Margin Valuation

Peers Valuation

Competitors

Company Rational
WING Wingstop Inc., together with its subsidiaries, franchises and operates restaurants under the Wingstop brand name. Its restaurants offer classic wings, boneless wings, and tenders that are cooked-to-order, and hand-sauced-and-tossed in …
DRI Darden Restaurants, Inc., through its subsidiaries, owns and operates full-service restaurants in the United States and Canada. As of May 29, 2022, it owned and operated 1,867 restaurants, which included …
EAT Brinker International, Inc., together with its subsidiaries, engages in the ownership, development, operation, and franchising of casual dining restaurants in the United States and internationally. The company operates in two …
WEN The Wendy's Company, together with its subsidiaries, operates as a quick-service restaurant company. It operates through three segments: Wendy's U.S., Wendy's International, and Global Real Estate & Development. The company …
TXRH Texas Roadhouse, Inc., together with its subsidiaries, operates casual dining restaurants in the United States and internationally. The company operates and franchises restaurants under the Texas Roadhouse, Bubba's 33, and …

Peers Metrics

DCF BETA

Parameters

Short Term Growth
Short term Time
Long-Term Growth
WACC
Target Price
249.99$
Current Price
450.8$
Potential
-44.55%

Expected Cash-Flows

Scoring Insights

Peers Group Analysis

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