Domino’s Pizza (NASDAQ:DPZ) Shares Gap Down After Earnings Miss

Domino’s Pizza, Inc. (NASDAQ:DPZ)’s share price gapped down prior to trading on Monday following a dissappointing earnings announcement. The stock had previously closed at $462.37, but opened at $441.00. Domino’s Pizza shares last traded at $444.45, with a volume of 554,580 shares.

The restaurant operator reported $4.89 earnings per share for the quarter, missing the consensus estimate of $4.93 by ($0.04). The company had revenue of $1.44 billion during the quarter, compared to analyst estimates of $1.47 billion. Domino’s Pizza had a net margin of 12.26% and a negative return on equity of 14.35%. The company’s quarterly revenue was up 2.9% compared to the same quarter last year. During the same period in the previous year, the company posted $4.48 EPS.

Analyst Upgrades and Downgrades

A number of research analysts recently issued reports on DPZ shares. TD Cowen boosted their price objective on shares of Domino’s Pizza from $475.00 to $515.00 and gave the company a “buy” rating in a report on Monday, November 25th. Citigroup boosted their price target on shares of Domino’s Pizza from $440.00 to $520.00 and gave the company a “neutral” rating in a report on Wednesday, February 19th. Morgan Stanley lowered their price objective on shares of Domino’s Pizza from $510.00 to $496.00 and set an “overweight” rating for the company in a research report on Tuesday, January 21st. Loop Capital upgraded Domino’s Pizza from a “hold” rating to a “buy” rating and lifted their target price for the stock from $419.00 to $559.00 in a report on Friday, November 8th. Finally, Stephens restated an “equal weight” rating and issued a $420.00 price target on shares of Domino’s Pizza in a report on Monday. One analyst has rated the stock with a sell rating, seven have assigned a hold rating, nineteen have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $502.33.

Hedge Funds Weigh In On Domino’s Pizza

A number of large investors have recently modified their holdings of the business. Berkshire Hathaway Inc boosted its position in Domino’s Pizza by 86.5% during the fourth quarter. Berkshire Hathaway Inc now owns 2,382,000 shares of the restaurant operator’s stock valued at $999,868,000 after purchasing an additional 1,104,744 shares during the last quarter. FMR LLC boosted its holdings in shares of Domino’s Pizza by 16.3% in the 3rd quarter. FMR LLC now owns 2,189,836 shares of the restaurant operator’s stock valued at $941,936,000 after buying an additional 307,528 shares during the last quarter. Principal Financial Group Inc. grew its stake in shares of Domino’s Pizza by 1.3% in the fourth quarter. Principal Financial Group Inc. now owns 1,687,863 shares of the restaurant operator’s stock valued at $708,498,000 after buying an additional 21,705 shares in the last quarter. Geode Capital Management LLC grew its stake in shares of Domino’s Pizza by 10.7% in the fourth quarter. Geode Capital Management LLC now owns 955,160 shares of the restaurant operator’s stock valued at $403,203,000 after buying an additional 92,389 shares in the last quarter. Finally, Invesco Ltd. increased its holdings in Domino’s Pizza by 46.0% during the fourth quarter. Invesco Ltd. now owns 609,036 shares of the restaurant operator’s stock worth $255,649,000 after buying an additional 191,752 shares during the last quarter. 94.63% of the stock is currently owned by institutional investors and hedge funds.

Domino’s Pizza Price Performance

The stock has a market capitalization of $15.37 billion, a P/E ratio of 27.50, a price-to-earnings-growth ratio of 2.47 and a beta of 0.90. The company’s 50-day simple moving average is $440.97 and its 200-day simple moving average is $435.00.

Domino’s Pizza Company Profile

Domino’s Pizza, Inc, through its subsidiaries, operates as a pizza company in the United States and internationally. The company operates through three segments: U.S. Stores, International Franchise, and Supply Chain. It offers pizzas under the Domino’s brand name through company-owned and franchised stores.