Stock Price & Analysis

Based on the current technical indicators and recent news, DPZ stock shows a bullish momentum with RSI at 65.14 indicating strong but not overbought conditions. The stock is trading above both its 20-day and 60-day SMAs (441.44 and 442.11 respectively), suggesting positive trend continuation.

The recent announcement of closing 205 loss-making stores (primarily in Japan) is expected to generate annual savings of approximately A$15.5 million, demonstrating management's commitment to operational efficiency. The stock has shown positive response to this strategic move, with same-store sales growth of 4.3% reported in early 2025.

Based on the provided data and market analysis, here's the price prediction for DPZ stock in 2025:

DPZ is expected to reach $486-507 by mid-2025, driven by strong same-store sales growth of 4.3% and strategic store optimization initiatives. The closure of 205 underperforming stores, primarily in Japan, is projected to save A$15.5 million annually and improve overall profitability margins. The company's expansion plans targeting 7,700 U.S. stores by 2028 and strong brand positioning in the pizza delivery segment support this bullish outlook.

The technical analysis shows strong support at $431.90 with resistance at $486.89, while RSI at 65.14 indicates moderate bullish momentum without being overbought.

The S1 support level for DPZ Stock is $448.68 ,The R1 resistant level for DPZ Stock is $481.05.

As of the end of day on 2025-02-14, the price of DPZ Stock was $481.39.

The target price for DPZ Stock according to analyst rating is 482.08, with the highest price target at 559.00 and the lowest at 402.00. Analysts have a Moderate Buy rating on DPZ Stock overall.

The market cap of DPZ is $16.5B.

Based on the provided data and recent market analysis, here's a comprehensive evaluation of DPZ's valuation:

Current Valuation Metrics DPZ is trading at a P/E ratio of 29.86 (Q3 2024), which is relatively high compared to its historical average. The EV/EBITDA ratio stands at 25.1, while the Price-to-Sales ratio is 3.07, indicating premium valuation multiples.

Growth and Market Position The company maintains a strong market position as the world's largest pizza chain with over 21,000 locations across 90+ markets. Despite recent challenges, DPZ continues to show resilience with:

• Consistent profit margins around 40%
• Solid dividend yield of 1.41% (Q3 2024)
• Strong franchise model with 99% of locations being franchise-owned

Recent Developments DPZ recently announced the closure of 205 underperforming stores (172 in Japan) to improve profitability, expecting annual savings of approximately A$15.5 million. This strategic move demonstrates management's focus on operational efficiency.

Analyst Consensus Recent analyst ratings show mixed sentiment:

• Morgan Stanley maintains a Buy rating with a $496 target
• Barclays maintains a Sell rating with a $402 target
• The average price target among recent analysts is around $470

Conclusion At current levels around $474, DPZ appears moderately overvalued considering:

1. Premium valuation multiples above industry averages
2. Operational challenges in international markets
3. Competitive pressures in the delivery space
4. High P/E ratio relative to historical norms
5. Current price near the upper end of analyst targets

Domino’s Pizza, Inc. is a pizza company with a significant business in both delivery and carryout pizza. 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. Its Pinpoint Delivery, a technology that allows customers to receive a delivery nearly anywhere, including places like parks, baseball fields and beaches. It is a public restaurant brand with a global enterprise of more than 20,500 stores in over 90 markets.

Based on the comprehensive data analysis and market research, here's the price prediction for DPZ stock by 2030:

Domino's Pizza (DPZ) stock is projected to reach $725-750 by 2030, driven by its aggressive expansion plans targeting 8,500+ stores in the U.S. market and continued international growth. The company's strong franchise model with 99% independent ownership enables rapid expansion with minimal financial risk, while maintaining consistent 40% gross profit margins. Recent store optimization initiatives, including closure of underperforming locations, should boost profitability and strengthen the network for long-term growth.

DPZ has a total of 11200 employees.