- Stephen & Co Analyst Joshua Long reiterated an equal weight rating on shares of Domino’s Pizza, Inc. DPZ with a Price target of $300.
- The analyst’s latest reviews suggest that Domino’s 1Q23 sales trends were helped by a successful Boost week and a better-than-expected initial launch of the Loaded Tots platform.
- The analyst noted that Domino’s is a leader in the US pizza industry and is estimated to be responsible for supplying about a third of all pizzas in the US
- This leadership position is also reflected in the fact that approximately 60% of Domino’s domestic sales are generated through the delivery channel.
- In FY22, Domino’s shipment sales were more than $500 million above pre-pandemic levels but were down 6.6% (6.6%). comparable sales basis compared to the previous year.
- The analyst clarified that the negative comparison reflects the increasing challenges of the broader macroeconomic environment for the company’s relatively more price-conscious consumers, along with the ongoing normalization of sales trends by distribution channel.
- Using the company’s corporate stores as a benchmark, the analyst is encouraged to hear that staffing has improved across all positions.
- The analyst noted that Domino’s U.S. carryout business accounts for about 40% of sales and can serve as a highly incremental channel over time to complement the company’s core delivery business.
- Despite recent headwinds from food and labor inflation, the analyst believes the unit-level economics of Domino’s business remain compelling.
- Although Equal-Weight rates DPZ stocks, the analyst maintains a positive bias on the long-term potential of the Domino’s brand given its category leadership, company size and size, and consumer loyalty to the brand.
- price action: DPZ shares trade 0.03% lower at $315.32 on the last check Friday.
- Photo via company
© 2023 Benzinga.de. Benzinga does not provide investment advice. All rights…
[ad_2]
Source story
More to explorer
When Gravity Hurts: How a Fort Lauderdale Slip and Fall Lawyer Can Secure Your Justice
April 30, 2025
When you imagine a peaceful afternoon stroll or an errand run to the grocery store, the last thing you expect is to
Why Document Shredding is Essential for Small Businesses
April 28, 2025
In today’s digital age, protecting sensitive information is more important than ever. Small businesses, in particular, are often vulnerable to data breaches,
The Role of Calgary Car Accident Lawyers in Dealing With Insurance Companies
April 15, 2025
Preszler Injury Lawyers play a crucial role in managing your insurance claims effectively. They simplify the intricate process while ensuring you gather
