Papa John's International, Inc. (NASDAQ:PZZA) Stock Now Rated "Reduce" by Wall Street Analysts

Key Points

• Analysts have a bearish view of Papa John’s: Nine analysts assign the stock an average “Reduce” rating, including three sells and six holds. The average 12-month price target is $32, with several firms recently lowering targets.
• PZZA opened at $20.33, near its 12-month low of $19.31 and well below its 12-month high of $55.74. Its latest quarterly results slightly beat expectations on earnings and revenue, but revenue declined 8.8% year over year.
• Legal and operational concerns are weighing on investors: A proposed class action alleges misleading statements about the company’s strategic transformation and sales recovery. Investor notices cite a $5.11-per-share decline after Papa John’s cut its 2026 outlook and suspended its dividend, though the lawsuit’s financial impact remains uncertain.

Shares of Papa John's International, Inc. (NASDAQ:PZZA - Get Free Report) have been assigned an average recommendation of "Reduce" from the nine analysts that are presently covering the company, MarketBeat reports. Three analysts have rated the stock with a sell recommendation and six have assigned a hold recommendation to the company. The average 1 year target price among analysts that have issued a report on the stock in the last year is $32.00.

PZZA has been the topic of several recent analyst reports. Mizuho decreased their price target on Papa John's International from $33.00 to $32.00 and set a "neutral" rating on the stock in a research note on Friday, July 31st. Piper Sandler dropped their price objective on Papa John's International from $30.00 to $26.00 and set a "neutral" rating for the company in a research note on Friday, August 7th. UBS Group cut their price objective on Papa John's International from $33.00 to $28.00 and set a "neutral" rating for the company in a report on Friday, August 7th. Benchmark cut Papa John's International from a "buy" rating to a "hold" rating in a report on Friday, August 7th. Finally, Bank of America restated an "underperform" rating and issued a $34.00 target price (down from $42.00) on shares of Papa John's International in a research note on Monday, July 13th.

Institutional Investors Weigh In On Papa John's International

Hedge funds and other institutional investors have recently bought and sold shares of the business. Public Employees Retirement System of Ohio acquired a new position in Papa John's International during the 2nd quarter worth about $29,000. Persistent Asset Partners Ltd bought a new stake in Papa John's International during the 2nd quarter worth about $33,000. Skylands Capital LLC acquired a new stake in Papa John's International in the 1st quarter valued at about $65,000. PNC Financial Services Group Inc. increased its position in Papa John's International by 42.9% in the 1st quarter. PNC Financial Services Group Inc. now owns 2,230 shares of the company's stock valued at $72,000 after acquiring an additional 670 shares in the last quarter. Finally, Northwestern Mutual Wealth Management Co. bought a new position in shares of Papa John's International in the second quarter worth about $104,000.

Papa John's International News Roundup

Here are the key news stories impacting Papa John's International this week:

• Neutral Sentiment: Multiple law firms announced that a class action has been filed on behalf of investors who purchased PZZA shares between August 7, 2025, and August 5, 2026. The lead-plaintiff deadline is November 2, 2026. Kaplan Fox investor notice
• Negative Sentiment: The lawsuit alleges that Papa John’s and certain executives made materially misleading statements about the progress and timing of the company’s strategic transformation and expected sales reacceleration. These allegations have not been proven in court. SueWallSt investor notice
• Negative Sentiment: According to the investor-law-firm notices, shareholders suffered an alleged $5.11-per-share single-session loss after Papa John’s cut its 2026 outlook and suspended its dividend on August 6, 2026. The claims could create legal costs, management distraction, and reputational pressure for PZZA, although the ultimate financial impact remains uncertain. Levi and Korsinsky shareholder alert

Papa John's International Stock Up 1.2%

NASDAQ:PZZA opened at $20.33 on Wednesday. The firm has a market capitalization of $669.26 million, a PE ratio of 25.73, a price-to-earnings-growth ratio of 2.20 and a beta of 1.08. Papa John's International has a 12-month low of $19.31 and a 12-month high of $55.74. The firm has a 50-day moving average price of $24.18 and a 200 day moving average price of $30.78.

Papa John's International (NASDAQ:PZZA - Get Free Report) last released its quarterly earnings data on Thursday, August 6th. The company reported $0.46 earnings per share for the quarter, beating analysts' consensus estimates of $0.45 by $0.01. Papa John's International had a negative return on equity of 10.98% and a net margin of 1.34%.The company had revenue of $482.40 million for the quarter, compared to the consensus estimate of $481.25 million. During the same period in the previous year, the business earned $0.41 earnings per share. The company's quarterly revenue was down 8.8% on a year-over-year basis. On average, research analysts expect that Papa John's International will post 1.16 EPS for the current year.

Papa John's International Company Profile

Papa John's International, Inc NASDAQ: PZZA is a pizza restaurant company that operates and franchises restaurants under the Papa Johns brand. Its menu includes pizzas made with dough prepared from fresh ingredients, along with breadsticks, chicken products, desserts, soft drinks and other side items. Customers can order through the company's digital platforms, for delivery or carryout.

Founded in 1984 by John Schnatter, Papa John's began as a single restaurant in Jeffersonville, Indiana.

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