DPZ

Domino’s Pizza (NYSE:DPZ) stock Analyst Ratings Date Upside/Downside Analyst Firm Price Target Change Rating Change Previous / Current Rating 01/09/2024 -8.41% Bernstein → $370 Upgrades Underperform → Market Perform 01/05/2024 16.34% Oppenheimer $450 → $470 Maintains Outperform 01/04/2024 16.34% Stifel $440 → $470 Maintains Buy 01/03/2024 -14.35% Barclays $340 → $346 Maintains Underweight 12/20/2023 15.35% HSBC → $466 Initiates Coverage On → Buy 12/11/2023 12.63% Benchmark → $455 Upgrades Hold → Buy 12/11/2023 -0.99% Piper Sandler $401 → $400 Downgrades Overweight → Neutral 12/08/2023 3.96% JP Morgan $410 → $420 Maintains Overweight 12/08/2023 17.58% BMO Capital $455 → $475 Maintains Outperform 12/08/2023 11.39% Evercore ISI Group $435 → $450 Maintains Outperform 12/08/2023 16.34% TD Cowen $430 → $470 Maintains Outperform 12/08/2023 12.63% Morgan Stanley $435 → $455 Maintains Overweight 12/08/2023 -0.99% Stephens & Co. $365 → $400 Maintains Equal-Weight 12/08/2023 4.95% Citigroup $396 → $424 Maintains Neutral 12/08/2023 -15.84% Barclays […]

Although the consensus view is that margins at Australia-based Domino’s Pizza Enterprises are now structurally lower versus pre-Covid levels, analysts at Morgan Stanley say the company still has a path to margin recovery. They say margin expansion could be driven by restructuring benefits, improvements in store profitability and food-cost normalization, estimating that elevated food prices have created a greater than 2% margin headwind for Domino’s over the last few years. The analysts, which are bullish on Domino’s, believe the coming months will be crucial for Domino’s investors. “We think FY24 will be an inflection point for key share price drivers,” they say.

Domino’s Pizza (NYSE:DPZ) stock Analyst Ratings Date Upside/Downside Analyst Firm Price Target Change Rating Change Previous / Current Rating 01/05/2024 16.97% Oppenheimer $450 → $470 Maintains Outperform 01/04/2024 16.97% Stifel $440 → $470 Maintains Buy 01/03/2024 -13.89% Barclays $340 → $346 Maintains Underweight 12/20/2023 15.97% HSBC → $466 Initiates Coverage On → Buy 12/11/2023 13.23% Benchmark → $455 Upgrades Hold → Buy 12/11/2023 -0.45% Piper Sandler $401 → $400 Downgrades Overweight → Neutral 12/08/2023 4.52% JP Morgan $410 → $420 Maintains Overweight 12/08/2023 18.21% BMO Capital $455 → $475 Maintains Outperform 12/08/2023 11.99% Evercore ISI Group $435 → $450 Maintains Outperform 12/08/2023 16.97% TD Cowen $430 → $470 Maintains Outperform 12/08/2023 13.23% Morgan Stanley $435 → $455 Maintains Overweight 12/08/2023 -0.45% Stephens & Co. $365 → $400 Maintains Equal-Weight 12/08/2023 5.52% Citigroup $396 → $424 Maintains Neutral 12/08/2023 -15.38% Barclays $330 → $340 Maintains Underweight 11/28/2023 7.01% Stifel → $430

Oppenheimer analyst Brian Bittner has provided the analysis on some of the quick service restaurant chains. Yum! Brands Inc (NYSE:YUM) – Upgrade to Outperform with $154 PT The analyst believes YUM represents a diversified business model that drives superior growth, yet is armed with blue-chip-like resiliency. The analyst’s research highlights a risk/reward that is now too attractive to ignore given YUM’s high-quality unit growth, reliable earnings momentum, and crown-jewel assets. Digital sales grew 20% year-over-year in 3Q23 and now represent nearly 44% of global system sales. YUM has differentiated catalysts to accelerate digital at a faster clip than peers, according to the analyst. McDonald’s Corp (NYSE:MCD) – Downgrade to Perform from Outperform After a deep-dive analysis into 2024, the analyst is unable to identify another round of catalysts to consensus earnings forecasts and/or MCD’s valuation multiple. The analyst anticipates FY23 will end with above 9% global SSS growth and nearly 17% EPS growth,

Domino’s Pizza (NYSE:DPZ) stock Analyst Ratings Date Upside/Downside Analyst Firm Price Target Change Rating Change Previous / Current Rating 01/03/2024 -16.25% Barclays $340 → $346 Maintains Underweight 12/20/2023 12.79% HSBC → $466 Initiates Coverage On → Buy 12/11/2023 10.13% Benchmark → $455 Upgrades Hold → Buy 12/11/2023 -3.18% Piper Sandler $401 → $400 Downgrades Overweight → Neutral 12/08/2023 1.66% JP Morgan $410 → $420 Maintains Overweight 12/08/2023 14.97% BMO Capital $455 → $475 Maintains Outperform 12/08/2023 8.92% Evercore ISI Group $435 → $450 Maintains Outperform 12/08/2023 13.76% TD Cowen $430 → $470 Maintains Outperform 12/08/2023 10.13% Morgan Stanley $435 → $455 Maintains Overweight 12/08/2023 -3.18% Stephens & Co. $365 → $400 Maintains Equal-Weight 12/08/2023 2.63% Citigroup $396 → $424 Maintains Neutral 12/08/2023 -17.7% Barclays $330 → $340 Maintains Underweight 11/28/2023 4.08% Stifel → $430 Reiterates Buy → Buy 11/27/2023 4.08% TD Cowen $410 → $430 Maintains Outperform 10/19/2023 4.08% Deutsche

Domino’s Pizza (NYSE:DPZ) stock Analyst Ratings Date Upside/Downside Analyst Firm Price Target Change Rating Change Previous / Current Rating 12/20/2023 14.62% HSBC → $466 Initiates Coverage On → Buy 12/11/2023 11.92% Benchmark → $455 Upgrades Hold → Buy 12/11/2023 -1.61% Piper Sandler $401 → $400 Downgrades Overweight → Neutral 12/08/2023 3.31% JP Morgan $410 → $420 Maintains Overweight 12/08/2023 16.84% BMO Capital $455 → $475 Maintains Outperform 12/08/2023 10.69% Evercore ISI Group $435 → $450 Maintains Outperform 12/08/2023 15.61% TD Cowen $430 → $470 Maintains Outperform 12/08/2023 11.92% Morgan Stanley $435 → $455 Maintains Overweight 12/08/2023 -1.61% Stephens & Co. $365 → $400 Maintains Equal-Weight 12/08/2023 4.29% Citigroup $396 → $424 Maintains Neutral 12/08/2023 -16.37% Barclays $330 → $340 Maintains Underweight 11/28/2023 5.77% Stifel → $430 Reiterates Buy → Buy 11/27/2023 5.77% TD Cowen $410 → $430 Maintains Outperform 10/19/2023 5.77% Deutsche Bank → $430 Initiates Coverage On → Buy

Domino’s Pizza Enterprises’ new menu item doesn’t shift the dial on the Australian fast-food franchiser’s earnings but does show innovation and consistency in strategy, Citi analyst Sam Teeger says. He tells clients in a note that the so-called Meltzz looks akin to a toasted sandwich, which could cater to the solo-diner and snack segments in which the company has historically underperformed. The move shows that the ASX-listed company has improved its approach to inflation compared with its earlier unpopular delivery surcharge, he adds. Citi has a buy rating and A$61.10 target price on the stock, which is up 0.9% at A$57.13.

Domino’s Pizza (NYSE:DPZ) Group said it backed its fiscal 2023 guidance expecting accelerating growth through additional opportunities mostly in the U.K. and Ireland markets. The pizza chain–the holder of the master franchise agreement to own, operate and franchise Domino’s stores in the U.K. and Ireland–said that it expects underlying earnings before interest, taxes, depreciation and amortization to be in the range of 132 million pounds ($165.6 million) to GBP138 million. The company added that it still expects to open at least 60 new stores this year. “Material progress has been made in recent years but there are a number of areas where we can significantly enhance growth,” Chief Executive Officer Andrew Rennie said.

Deutsche Bank analyst Lauren Silberman initiates coverage on Domino’s Pizza (NYSE:DPZ) with a Buy rating and announces Price Target of $430.

Morgan Stanley analyst Brian Harbour reiterated an Overweight rating on the shares of Domino’s Pizza Inc (NYSE:DPZ) with an unchanged price target of $435. The analyst said in 3Q, EPS ex-items were slightly below Morgan Stanley’s estimate. In 4Q, DPZ expects a return to positive same-store sales in the U.S., which the analyst has modeled north of 2%. Uber Technologies, Inc. (NYSE:UBER) Uber Eats is piloting in Las Vegas with Seattle, Detroit, Miami and Houston next to come and national expansion by year end and set to impact 2024 materially, noted the analyst. International units were a soft spot, not just Russia and DMP closures, but also gross openings, but DPZ addressed this by noting easing closures and a step up in 4Q openings, added the analyst.

Domino’s Pizza (NYSE:DPZ)’s posted 3Q earnings of $4.18 a share, soaring past the consensus estimate of $3.31 a share from analysts surveyed by FactSet, but the pizza chain’s fundamentals otherwise looked weaker than expected, Wells Fargo analysts say in a research note. There are some positive catalysts on the horizon, but the company’s year-to-date results have underperformed, the analysts say. US same-store sales declined slightly in 3Q while total revenue fell to $1.03 billion, below analyst forecasts. “While Q3 was downplayed from the start, today’s QSR backdrop is delicate, shares are crowded and softer ’23 sales/units aren’t helping the cause,” the analysts say.

We cut our 12-month target price to $370 from $445, 23.6x our 2024 EPS estimate, a discount to DPZ’s five-year average forward P/E of 30.3x, justified by continued softness in top-line growth. We raise our 2023 EPS estimate to $14.41 from $13.48 and 2024’s to $15.69 from $15.30. DPZ posted Q3 EPS of $4.18 (+49.8% Y/Y), $0.88 above consensus. Revenue of $1,027M (-3.9% Y/Y), was $21M below consensus. Operating income grew 7.4% Y/Y to $189M, in line with consensus, and the margin widened 190 bps Y/Y to 18.4%. DPZ’s same store sales fell 0.6% in the U.S., but grew 3.3% (ex-FX) internationally. DPZ noted continued food basket cost deflation, buoyed by the adoption and usage of its revamped loyalty program. While we’re encouraged by DPZ’s recent initiatives, including partnerships with Uber Eats and Microsoft, the magnitude and trajectory of the benefits remain uncertain. In addition, rising labor costs remain a