Domino's Pizza Enterprises Limited (AU:DMP)
ASX:DMP
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Domino's Pizza Enterprises Limited
(Sydney:DMP)
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Rating:59Neutral
Price Target:
AU$19.00
▼(-14.99% Downside)
Action:Reiterated
Date:04/29/26
The score is held back mainly by weaker financial performance (net loss, leverage, and weaker free cash flow trend) and bearish technicals (below key moving averages with negative MACD). These are partly offset by reasonable valuation (P/E ~12 and ~3.1% yield) and an earnings call showing improving cash flow/deleveraging with reiterated guidance, though sales trends remain negative.
Positive Factors
Franchisee profitability
Higher franchisee EBITDA is a durable positive: it strengthens the economics that underpin franchising, making new franchised openings more attractive, supporting recurring royalty income, and reducing DPE's capital intensity and operational risk over the medium term.
Negative Factors
Negative net income
A negative net income outcome signals underlying profitability pressure beyond temporary items. Over months this impairs retained earnings and ROE, constrains reinvestment and dividends, and raises execution risk until operating margins and revenues consistently recover.
Read all positive and negative factors
Positive Factors
Negative Factors
Franchisee profitability
Higher franchisee EBITDA is a durable positive: it strengthens the economics that underpin franchising, making new franchised openings more attractive, supporting recurring royalty income, and reducing DPE's capital intensity and operational risk over the medium term.
Read all positive factors
Domino's Pizza Enterprises Limited (DMP) vs. iShares MSCI Australia ETF (EWA)
Market Cap
AU$1.51B
Dividend Yield3.58%
Average Volume (3M)858.44K
Price to Earnings (P/E)25.3
Beta (1Y)0.94
Revenue Growth-1.35%
EPS Growth258.94%
CountryAU
Employees88,000
SectorConsumer Cyclical
Sector Strength84
IndustryRestaurants
Share Statistics
EPS (TTM)0.63
Shares Outstanding94,746,864
10 Day Avg. Volume663,359
30 Day Avg. Volume858,436
Financial Highlights & Ratios
PEG Ratio4.64
Price to Book (P/B)2.69
Price to Sales (P/S)0.78
P/FCF Ratio19.52
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
AU$18.54Price Target Upside-17.06% Downside
Rating ConsensusHold
Number of Analyst Covering8
EPS Forecast (FY)1.26
Revenue Forecast (FY)AU$2.17B
Domino's Pizza Enterprises Limited Business Overview & Revenue Model
Company Description
Domino's Pizza Enterprises Limited (DMP.AX) operates as a significant proprietor of quick-service food establishments. This entity possesses the exclusive master franchise rights for the renowned Domino's brand across a considerable international ...
How the Company Makes Money
DMP makes money primarily through a mix of retail pizza sales, franchising-related income, and supply chain operations tied to the Domino’s store network in its territories.
1) Company-owned store sales: A significant portion of revenue comes fro...
Domino's Pizza Enterprises Limited Earnings Call Summary
Earnings Call Date:Feb 24, 2026
(Q2-2026)
| % Change Since: |
Next Earnings Date:Aug 26, 2026
Earnings Call Sentiment Positive
The call describes a deliberate, returns-led reset: solid H1 financial outcomes (modest EBIT and NPAT growth), materially improved free cash flow, significant debt reduction, delivered cost savings, and rising franchisee profitability. These positives are balanced against meaningful short-term sales declines driven by the strategic removal of broad discounting (notably ANZ/WA), market-specific underperformance in Japan and France, and some near-term margin/warehouse impacts. Management emphasized that actions are intentional, funded internally, and should drive sustainable, profitable growth; they reaffirmed guidance and signaled management and governance improvements to execute the strategy.Positive Updates
Profitability Growth (EBIT & NPAT)
First half EBIT of $101.5 million, up 1.0% versus the prior corresponding period; Net profit after tax (NPAT) of $60.1 million, up 2.2% year-over-year.
Negative Updates
Decline in Same Store Sales and Network Sales
Network sales were $2.04 billion with same store sales down 2.5% in H1; year-to-date sales including the first trading week of H2 were down 3.6% versus prior year; ANZ same store sales declined 4.7%.
Read all updates
Q2-2026 Updates
Positive
Negative
Profitability Growth (EBIT & NPAT)
First half EBIT of $101.5 million, up 1.0% versus the prior corresponding period; Net profit after tax (NPAT) of $60.1 million, up 2.2% year-over-year.
Read all positive updates
Company Guidance
Management reiterated FY26 guidance is consistent with the AGM and market expectations and said they are targeting to beat prior consensus (c. $118.7m NPAT); H1 delivered EBIT $101.5m (+1% PCP), NPAT $60.1m (+2.2%), network sales $2.04bn with group same‑store sales down 2.5% (ANZ -4.7%, Europe +1.3%), sales YTD (incl first week H2) -3.6%, and H1 free cash flow $70.6m (up $40.6m vs prior). They’ve actioned $55m of cost savings (tracking $60–$70m pa, with $20–$30m flowing in FY26 and ~33% to DPE), expect a further $15–$25m pa from Phase 2 largely to DPE, reduced total debt by $196.1m (net debt -$114.2m), net leverage 2.21x (from 2.57x) with average debt tenor 4.5 years and interest cover ~19.8x, raised an interim unfranked dividend of $0.25 (+16.3%), and plan selective 20–40 new stores over 12–18 months once average franchisee store EBITDA (currently $103k, +4.5% y/y) approaches the ~$130k target that supports material expansion.Domino's Pizza Enterprises Limited Financial Statement Overview
Summary
Income Statement
65
Positive
Balance Sheet
60
Neutral
Cash Flow
55
Neutral
| Breakdown | TTM | Jun 2025 | Jun 2024 | Jun 2023 | Jun 2022 | Jun 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 2.23B | 2.30B | 2.37B | 2.34B | 2.27B | 2.19B |
| Gross Profit | 606.06M | 1.30B | 731.50M | 587.23M | 634.83M | 626.62M |
| EBITDA | 288.20M | 179.74M | 324.55M | 279.38M | 380.55M | 421.79M |
| Net Income | 59.38M | -3.70M | 95.96M | 40.57M | 158.72M | 184.01M |
Balance Sheet | ||||||
| Total Assets | 2.41B | 2.67B | 2.59B | 2.88B | 2.43B | 2.35B |
| Cash, Cash Equivalents and Short-Term Investments | 71.56M | 153.50M | 87.65M | 159.89M | 76.88M | 174.69M |
| Total Debt | 1.66B | 1.50B | 1.44B | 1.74B | 1.41B | 1.27B |
| Total Liabilities | 1.73B | 2.01B | 1.98B | 2.36B | 2.01B | 1.96B |
| Stockholders Equity | 682.46M | 663.09M | 609.55M | 520.52M | 421.96M | 395.14M |
Cash Flow | ||||||
| Free Cash Flow | 147.40M | 91.39M | 146.78M | 103.13M | -1.95M | 230.51M |
| Operating Cash Flow | 173.02M | 167.18M | 236.97M | 260.79M | 190.12M | 373.25M |
| Investing Cash Flow | -11.43M | -54.39M | -66.01M | -487.94M | -233.28M | -97.46M |
| Financing Cash Flow | -209.89M | -54.65M | -239.09M | 314.12M | -49.95M | -329.90M |
Domino's Pizza Enterprises Limited Technical Analysis
Negative
22.35
Price Trends
16.79
Negative
18.51
Negative
18.24
Negative
Market Momentum
-0.25
Positive
43.11
Neutral
15.45
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For AU:DMP, the sentiment is Negative. The current price of 22.35 is above the 20-day moving average (MA) of 16.56, above the 50-day MA of 16.79, and above the 200-day MA of 18.24, indicating a bearish trend. The MACD of -0.25 indicates Positive momentum. The RSI at 43.11 is Neutral, neither overbought nor oversold. The STOCH value of 15.45 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for AU:DMP.
Domino's Pizza Enterprises Limited Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
69 Neutral | AU$1.02B | 85.23 | 2.89% | 2.67% | 4.61% | -76.47% | |
61 Neutral | $18.38B | 12.79 | -2.54% | 3.03% | 1.52% | -15.83% | |
59 Neutral | AU$1.51B | 25.30 | 8.83% | 3.58% | -1.35% | 258.94% | |
57 Neutral | AU$1.95B | 111.07 | 4.82% | 0.56% | 25.22% | ― | |
50 Neutral | AU$41.09M | -2.02 | -10.34% | ― | -0.47% | -326.66% | |
46 Neutral | AU$3.24M | -2.98 | 5.84% | ― | -8.96% | 69.23% |
* Consumer Cyclical Sector Average
AU:DMP
Domino's Pizza Enterprises Limited
15.90
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-19.94%
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Domino's Pizza Enterprises Limited Corporate Events
Domino’s Issues New Shares Under Dividend Reinvestment Plan, Affirms Compliance
Apr 30, 2026
Domino’s Pizza Enterprises has issued 141,203 fully paid ordinary shares to shareholders participating in its Dividend Reinvestment Plan, increasing its share base through equity rather than cash outflows. The company stated that the new sha...
Domino’s Seeks ASX Quotation for New Shares Issued Under Distribution Plan
Apr 30, 2026
Domino’s Pizza Enterprises has applied for quotation on the ASX of 141,203 new ordinary fully paid shares, issued on April 30, 2026. The securities were issued under a dividend or distribution plan, indicating the company is continuing to us...
Domino’s Pizza Enterprises Relocates Registered Office Within Hamilton Headquarters
Apr 19, 2026
Domino’s Pizza Enterprises has temporarily shifted its registered office and principal place of business from Level 1 to Level 4 at its existing Hamilton, Queensland building, with phone and fax details unchanged. The move is part of floor c...
Domino’s Pizza Appoints New Director and Discloses Indirect Shareholding
Apr 2, 2026
Domino’s Pizza Enterprises has notified the ASX of the appointment of Drew O’Malley as a director effective 2 April 2026, in line with its disclosure obligations. The filing shows O’Malley holds no Domino’s shares directly ...
Domino’s Pizza Enterprises Seeks ASX Quotation for New Ordinary Shares
Mar 25, 2026
Domino’s Pizza Enterprises has applied for quotation on the ASX of 3,525 new ordinary fully paid shares, dated 25 March 2026. The shares arise from the exercise or conversion of existing options or other convertible securities, indicating a ...
Domino’s updates dividend details and DRP pricing
Mar 23, 2026
Domino’s Pizza Enterprises has updated its previously announced dividend notification for its ordinary fully paid shares, relating to the six-month period ended 28 December 2025. The update, dated 23 March 2026, reflects the inclusion of the...
Domino’s Director Increases Indirect Stake Through On-Market Share Purchase
Mar 8, 2026
Domino’s Pizza Enterprises has reported a change in director John James Cowin’s indirect shareholding, reflecting an on-market purchase by associated entity Corom Pty Ltd. The transaction saw Corom acquire 170,000 ordinary shares at $1...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.