Domino's Pizza (NASDAQ:DPZ) Posts Quarterly Earnings Results, Misses Estimates By $0.10 EPS

Key Points

• Domino’s Pizza reported quarterly EPS of $4.07, missing Wall Street’s consensus estimate of $4.17 by $0.10. Even so, earnings improved from $3.81 per share in the same quarter last year.
• Revenue rose 4.3% year over year for the quarter, while the company posted a negative return on equity of 15.04% and a net margin of 11.89%.
• Analysts have trimmed price targets recently, though the stock still carries a “Moderate Buy” consensus with an average target price of $400.57. Domino’s also paid a quarterly dividend of $1.99 per share, equal to a 2.5% yield.

Domino's Pizza (NASDAQ:DPZ - Get Free Report) announced its earnings results on Monday. The restaurant operator reported $4.07 earnings per share for the quarter, missing the consensus estimate of $4.17 by ($0.10), Briefing.com reports. Domino's Pizza had a negative return on equity of 15.04% and a net margin of 11.89%.During the same period last year, the company earned $3.81 EPS. The business's quarterly revenue was up 4.3% compared to the same quarter last year.

Domino's Pizza Stock Performance

DPZ stock opened at $322.18 on Monday. Domino's Pizza has a one year low of $282.00 and a one year high of $496.00. The firm has a market cap of $10.72 billion, a PE ratio of 18.55, a PEG ratio of 1.55 and a beta of 0.97. The firm's 50 day moving average price is $308.93 and its 200-day moving average price is $358.32.

Domino's Pizza Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Monday, June 15th were given a dividend of $1.99 per share. This represents a $7.96 annualized dividend and a dividend yield of 2.5%. The ex-dividend date of this dividend was Monday, June 15th. Domino's Pizza's payout ratio is presently 45.83%.

Analyst Upgrades and Downgrades

DPZ has been the topic of several recent research reports. Barclays lowered their target price on shares of Domino's Pizza from $370.00 to $315.00 and set an "underweight" rating on the stock in a research note on Monday, April 27th. Citigroup dropped their price objective on shares of Domino's Pizza from $365.00 to $335.00 and set a "neutral" rating for the company in a research note on Tuesday, July 7th. Northcoast Research decreased their target price on shares of Domino's Pizza from $525.00 to $445.00 and set a "buy" rating on the stock in a research note on Tuesday, April 28th. Deutsche Bank Aktiengesellschaft lowered their target price on Domino's Pizza from $435.00 to $385.00 and set a "buy" rating on the stock in a report on Thursday, July 9th. Finally, Robert W. Baird dropped their price target on Domino's Pizza from $400.00 to $350.00 and set an "outperform" rating for the company in a research report on Tuesday, June 23rd. Seventeen investment analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average price target of $400.57.

Insiders Place Their Bets

In other Domino's Pizza news, EVP Kelly E. Garcia sold 488 shares of the firm's stock in a transaction on Thursday, May 21st. The stock was sold at an average price of $313.16, for a total transaction of $152,822.08. Following the completion of the sale, the executive vice president owned 9,352 shares of the company's stock, valued at $2,928,672.32. This trade represents a 4.96% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Insiders sold 1,950 shares of company stock valued at $611,451 in the last ninety days. Corporate insiders own 0.89% of the company's stock.

Hedge Funds Weigh In On Domino's Pizza

Large investors have recently modified their holdings of the business. Two Sigma Investments LP grew its holdings in shares of Domino's Pizza by 2,845.4% in the third quarter. Two Sigma Investments LP now owns 264,024 shares of the restaurant operator's stock valued at $113,982,000 after purchasing an additional 255,060 shares in the last quarter. Woodline Partners LP increased its stake in Domino's Pizza by 8,229.8% during the 3rd quarter. Woodline Partners LP now owns 242,314 shares of the restaurant operator's stock worth $104,609,000 after buying an additional 239,405 shares during the period. Morgan Stanley lifted its holdings in Domino's Pizza by 44.4% during the 4th quarter. Morgan Stanley now owns 750,674 shares of the restaurant operator's stock worth $312,897,000 after buying an additional 230,862 shares in the last quarter. Marshall Wace LLP purchased a new position in Domino's Pizza in the 3rd quarter valued at approximately $80,549,000. Finally, AQR Capital Management LLC boosted its position in Domino's Pizza by 142.2% in the 4th quarter. AQR Capital Management LLC now owns 208,533 shares of the restaurant operator's stock valued at $86,920,000 after buying an additional 122,422 shares during the period. Institutional investors and hedge funds own 94.63% of the company's stock.

About Domino's Pizza

Domino’s Pizza, Inc NASDAQ: DPZ is a global pizza delivery and carryout chain founded in 1960 and headquartered in Ann Arbor, Michigan. The company specializes in a broad range of hand‐crafted pizzas, including hand-tossed, thin crust and specialty offerings, alongside side items such as chicken wings, sandwiches, pasta, desserts and beverages. Domino’s has built its brand on convenience and speed, leveraging proprietary ordering platforms and its Domino’s Tracker system to provide real-time status updates from order placement through delivery.

Operating predominantly under a franchise model, Domino’s has more than 17,000 stores worldwide, with approximately 95% of outlets owned and operated by independent franchisees.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.