Domino's Pizza Inc experienced a price decline of 3.81%, hitting a 20-day low amid a generally positive market environment where the Nasdaq-100 rose by 1.04% and the S&P 500 increased by 0.74%.
This decline is attributed to a downgrade from TD Cowen, which lowered Domino's rating from Buy to Hold and reduced the price target from $500 to $460. This reflects a cautious sentiment among analysts regarding the company's future performance, contributing to weakened investor confidence despite broader market strength.
The downgrade may lead to further selling pressure on Domino's shares, as investors reassess their positions in light of the revised outlook. The overall market's positive movement contrasts with Domino's struggles, indicating a potential sector rotation as investors seek opportunities elsewhere.
Wall Street analysts forecast DPZ stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DPZ is 488.46 USD with a low forecast of 370.00 USD and a high forecast of 545.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
22 Analyst Rating
Wall Street analysts forecast DPZ stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for DPZ is 488.46 USD with a low forecast of 370.00 USD and a high forecast of 545.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
12 Buy
9 Hold
1 Sell
Moderate Buy
Current: 413.870
Low
370.00
Averages
488.46
High
545.00
Current: 413.870
Low
370.00
Averages
488.46
High
545.00
Guggenheim
Neutral
maintain
$490 -> $450
2026-01-28
New
Reason
Guggenheim
Price Target
$490 -> $450
AI Analysis
2026-01-28
New
maintain
Neutral
Reason
Guggenheim lowered the firm's price target on Domino's Pizza to $450 from $490 and keeps a Neutral rating on the shares. The firm trimmed 5c from each of its 2025 and 2026 EPS forecasts and reduced its price target to reflect the headwinds pressuring the restaurant industry as a whole in 2025 that it expects will weigh on 2026, the analyst tells investors.
BofA
Sara Senatore
Buy
maintain
$536 -> $556
2026-01-26
New
Reason
BofA
Sara Senatore
Price Target
$536 -> $556
2026-01-26
New
maintain
Buy
Reason
BofA analyst Sara Senatore raised the firm's price target on Domino's Pizza to $556 from $536 and keeps a Buy rating on the shares. The firm is fine-tuning estimates for 22 restaurant companies across its coverage and adjusting select price targets to reflect estimate and valuation multiple changes.
Unlock Full Analyst Thesis， Get the complete breakdown of rating reason for DPZ
Unlock Now
Wells Fargo
Equal Weight
downgrade
$450 -> $430
2026-01-22
Reason
Wells Fargo
Price Target
$450 -> $430
2026-01-22
downgrade
Equal Weight
Reason
Wells Fargo lowered the firm's price target on Domino's Pizza to $430 from $450 and keeps an Equal Weight rating on the shares. While there's reason to look past mixed Q4 results, the firm believes clear winners/ losers will likely set the 2026 tone. Wells sees Casual Dining outperforming, innovation driving QSR, and Fast Casual inflection pushed out.
Morgan Stanley
Brian Harbour
Overweight -> Equal Weight
downgrade
$535 -> $455
2026-01-20
Reason
Morgan Stanley
Brian Harbour
Price Target
$535 -> $455
2026-01-20
downgrade
Overweight -> Equal Weight
Reason
Morgan Stanley analyst Brian Harbour downgraded Domino's Pizza to Equal Weight from Overweight with a price target of $455, down from $535. The firm adjusted ratings in the restaurants and foodservice distributors group as part of its 2026 outlook. The analyst sees attractive longer term growth in fast casual and beverage. Morgan Stanley has fewer structural concerns as estimates and multiples for these names have been "reset appropriately," the analyst tells investors in a research note. The firm skews "relatively cautious" on franchised fast food.
About DPZ
Domino’s Pizza, Inc. is a pizza company with a significant business in both delivery and carryout. The Company operates through three segments: U.S. stores, international franchise, and supply chain. The U.S. stores segment is comprised primarily of its franchise operations, which consists of franchised stores located in the United States. The segment also operates a network of United States Company-owned stores. The international franchise segment primarily includes operations related to the Company’s franchising business in foreign markets. The supply chain segment primarily includes the distribution of food, equipment and supplies to stores from the Company’s supply chain center operations in the United States and Canada. It is primarily a franchisor, with approximately 99% of its global stores owned and operated by its independent franchisees. In its international markets, the Company generally grants geographical rights to the Domino’s Pizza brand to master franchisees.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
