Zacks Research Analysts Lower Earnings Estimates for PZZA

Key Points

• Zacks Research has revised down its FY2025 earnings per share (EPS) estimate for Papa John's International to $1.74, slightly lower than the previous estimate of $1.75.
• The company's latest earnings report showed a net margin of 3.58% and revenue of $529.17 million, surpassing analyst expectations by approximately $13.69 million.
• Analysts have generally maintained a "Hold" rating on Papa John's stock, with a consensus target price of $49.78, despite some variations in price objectives from different research firms.

Papa John's International, Inc. (NASDAQ:PZZA - Free Report) - Zacks Research dropped their FY2025 earnings per share (EPS) estimates for shares of Papa John's International in a note issued to investors on Tuesday, October 21st. Zacks Research analyst Team now expects that the company will post earnings per share of $1.74 for the year, down from their prior forecast of $1.75. The consensus estimate for Papa John's International's current full-year earnings is $2.19 per share. Zacks Research also issued estimates for Papa John's International's Q4 2025 earnings at $0.55 EPS, Q3 2026 earnings at $0.55 EPS, Q4 2026 earnings at $0.66 EPS, FY2026 earnings at $2.17 EPS, Q1 2027 earnings at $0.52 EPS, Q2 2027 earnings at $0.48 EPS, Q3 2027 earnings at $0.70 EPS and FY2027 earnings at $2.30 EPS.

Papa John's International (NASDAQ:PZZA - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported $0.41 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $0.34 by $0.07. Papa John's International had a negative return on equity of 14.42% and a net margin of 3.58%.The firm had revenue of $529.17 million for the quarter, compared to analyst estimates of $515.48 million. During the same quarter last year, the firm posted $0.61 EPS. The business's revenue was up 4.2% on a year-over-year basis.

A number of other research analysts have also issued reports on the company. Bank of America reiterated a "neutral" rating and set a $50.00 target price (down previously from $62.00) on shares of Papa John's International in a research report on Monday, October 6th. Stephens set a $50.00 price objective on Papa John's International in a research note on Monday, October 13th. Deutsche Bank Aktiengesellschaft increased their price objective on Papa John's International from $40.00 to $46.00 and gave the company a "hold" rating in a research note on Monday, August 11th. Stifel Nicolaus increased their price objective on Papa John's International from $38.00 to $42.00 and gave the company a "hold" rating in a research note on Friday, August 15th. Finally, UBS Group reissued a "neutral" rating and issued a $42.00 price objective (up from $38.00) on shares of Papa John's International in a research note on Monday, August 4th. Four investment analysts have rated the stock with a Buy rating and eight have assigned a Hold rating to the stock. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $49.78.

Papa John's International Price Performance

Shares of NASDAQ:PZZA opened at $52.66 on Wednesday. Papa John's International has a 1 year low of $30.16 and a 1 year high of $60.75. The firm has a market capitalization of $1.73 billion, a price-to-earnings ratio of 23.30, a price-to-earnings-growth ratio of 4.53 and a beta of 1.10. The business's 50 day moving average price is $47.74 and its 200-day moving average price is $44.01.

Papa John's International Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Friday, August 29th. Shareholders of record on Monday, August 18th were paid a $0.46 dividend. The ex-dividend date of this dividend was Monday, August 18th. This represents a $1.84 dividend on an annualized basis and a dividend yield of 3.5%. Papa John's International's dividend payout ratio (DPR) is 81.42%.

Institutional Trading of Papa John's International

A number of hedge funds and other institutional investors have recently modified their holdings of PZZA. GAMMA Investing LLC increased its stake in shares of Papa John's International by 506.3% in the 1st quarter. GAMMA Investing LLC now owns 2,122 shares of the company's stock worth $87,000 after acquiring an additional 1,772 shares during the last quarter. Janney Montgomery Scott LLC acquired a new stake in shares of Papa John's International in the 1st quarter worth $509,000. Bessemer Group Inc. increased its stake in shares of Papa John's International by 2,758.7% in the 1st quarter. Bessemer Group Inc. now owns 2,144 shares of the company's stock worth $88,000 after acquiring an additional 2,069 shares during the last quarter. Allspring Global Investments Holdings LLC increased its stake in shares of Papa John's International by 117.4% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 49,084 shares of the company's stock worth $2,040,000 after acquiring an additional 26,505 shares during the last quarter. Finally, Principal Financial Group Inc. increased its stake in shares of Papa John's International by 2.4% in the 1st quarter. Principal Financial Group Inc. now owns 162,923 shares of the company's stock worth $6,693,000 after acquiring an additional 3,895 shares during the last quarter.

Papa John's International Company Profile

Papa John's International, Inc engages in the operation and franchise of pizza delivery and carryout restaurants. It operates through the following segments: Domestic Company-owned Restaurants, North America Franchising, North America Commissaries, International Operations, and All Others. The Domestic Company-Owned Restaurants segment consists of retail sales of pizza and side items, breadsticks, cheese sticks, chicken poppers and wings, dessert items, and canned and bottled beverages.

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