tiprankstipranks
Trending News
More News >
Domino's Pizza (GB:DOM)
LSE:DOM
Advertisement

Domino's Pizza (DOM) AI Stock Analysis

Compare
100 Followers

Top Page

GB:DOM

Domino's Pizza

(LSE:DOM)

Rating:59Neutral
Price Target:
216.00p
▲(5.88% Upside)
Domino's Pizza's stock score is primarily influenced by its strong valuation metrics, indicating potential undervaluation and a high dividend yield. However, significant financial leverage and negative equity pose risks. Technical indicators suggest bearish momentum, which could affect short-term performance. Director share purchases provide a positive signal of confidence.
Positive Factors
Customer Loyalty
The loyalty trial is performing ahead of expectations, suggesting successful customer engagement and retention strategies.
Market Position
Market share gains in UK takeaway and UK pizza takeaway sectors show Domino's is strengthening its position in the market.
Negative Factors
Financial Outlook
New EBITDA guidance for FY25E is approximately 8% lower than consensus, indicating a weaker financial outlook.
Sales Performance
There is a very slight slowdown in like-for-like sales and orders, mainly attributed to the timing of Easter, which could affect overall sales performance.

Domino's Pizza (DOM) vs. iShares MSCI United Kingdom ETF (EWC)

Domino's Pizza Business Overview & Revenue Model

Company DescriptionDomino's Pizza Group plc owns, operates, and franchises Domino's Pizza stores. It operates 1,172 stores in the United Kingdom and 55 stores in the Republic of Ireland. The company was formerly known as Domino's Pizza UK & IRL plc and changed its name to Domino's Pizza Group plc in May 2012. The company was founded in 1960 and is based in Milton Keynes, the United Kingdom.
How the Company Makes MoneyDomino's generates revenue primarily through the sale of its food products via company-owned and franchised stores. The company has a dual revenue model consisting of sales from its corporate stores and franchise royalties. Franchisees pay an initial franchise fee and ongoing royalties based on their sales, which contribute significantly to Domino's overall earnings. Additionally, the company benefits from the sale of pizza and other menu items directly from its own outlets. Key revenue streams include delivery sales, carryout orders, and online orders, with a notable emphasis on digital sales, which have seen substantial growth. Partnerships with third-party delivery services and marketing collaborations also play a role in boosting sales and reaching a broader customer base.

Domino's Pizza Financial Statement Overview

Summary
Domino's Pizza shows strong revenue growth and cash flow generation, but high financial leverage and negative equity pose risks. Effective cost management is evident, but operational challenges may exist.
Income Statement
70
Positive
Domino's Pizza has shown consistent revenue growth over the years, with a notable increase from 2020 to 2023. However, the latest figures indicate a slight revenue decline. Gross profit margins have remained strong, indicating effective cost management. The net profit margin experienced fluctuations but stayed relatively healthy. EBIT margins are missing for the latest period, which could suggest some operational challenges.
Balance Sheet
55
Neutral
The company faces significant financial leverage, as indicated by negative stockholders' equity and a high debt-to-equity ratio. This presents a potential risk, reflecting reliance on debt financing. The equity ratio is negative, which is concerning for financial stability. However, the company has managed to maintain its asset base over the years.
Cash Flow
65
Positive
Domino's Pizza demonstrates strong free cash flow generation, which is crucial for sustaining operations and supporting debt obligations. However, free cash flow showed a decline in 2024. The operating cash flow to net income ratio is healthy, indicating effective cash conversion from profits. The company must continue monitoring its cash flows to ensure long-term sustainability.
BreakdownDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue664.50M679.80M600.30M560.80M505.10M
Gross Profit318.90M316.20M273.50M268.60M236.50M
EBITDA171.30M190.40M141.60M148.10M141.90M
Net Income90.20M115.00M81.60M78.30M82.20M
Balance Sheet
Total Assets602.90M512.50M520.70M522.00M592.20M
Cash, Cash Equivalents and Short-Term Investments52.20M52.10M30.40M44.70M65.40M
Total Debt547.40M515.20M507.10M465.10M470.10M
Total Liabilities685.10M646.50M633.50M580.60M601.00M
Stockholders Equity-82.20M-134.00M-112.80M-58.60M-8.80M
Cash Flow
Free Cash Flow85.00M92.70M65.40M99.60M92.80M
Operating Cash Flow103.50M113.50M85.10M113.90M112.20M
Investing Cash Flow-200.00K94.70M29.50M32.80M-17.80M
Financing Cash Flow-103.00M-186.50M-127.40M-174.70M-38.60M

Domino's Pizza Technical Analysis

Technical Analysis Sentiment
Negative
Last Price204.00
Price Trends
50DMA
245.62
Negative
100DMA
257.76
Negative
200DMA
278.62
Negative
Market Momentum
MACD
-12.74
Positive
RSI
23.48
Positive
STOCH
17.74
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:DOM, the sentiment is Negative. The current price of 204 is below the 20-day moving average (MA) of 231.37, below the 50-day MA of 245.62, and below the 200-day MA of 278.62, indicating a bearish trend. The MACD of -12.74 indicates Positive momentum. The RSI at 23.48 is Positive, neither overbought nor oversold. The STOCH value of 17.74 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:DOM.

Domino's Pizza Peers Comparison

Overall Rating
UnderperformOutperform
Sector (56)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
£1.31B47.8712.09%2.25%14.07%236.27%
66
Neutral
£790.26M14.2116.38%2.03%3.70%57.10%
59
Neutral
£805.61M10.37
5.34%-0.67%2.43%
57
Neutral
£94.38M-2.17%20.22%86.00%
56
Neutral
HK$25.48B5.05-2.69%5.69%-0.45%-52.99%
54
Neutral
£1.25M0.06
-21.95%
51
Neutral
£17.09M-277.22%3.54%-203.89%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:DOM
Domino's Pizza
204.00
-91.41
-30.94%
GB:DPP
DP Poland plc
10.30
0.05
0.49%
GB:SSPG
SSP Group plc
164.60
-5.26
-3.10%
GB:TAST
Tasty plc
0.60
-0.80
-57.14%
GB:JDW
J D Wetherspoon
737.50
-6.46
-0.87%
GB:MEX
Tortilla Mexican Grill Ltd.
46.00
-6.00
-11.54%

Domino's Pizza Corporate Events

Business Operations and Strategy
Domino’s Pizza Group Director Acquires Shares, Signaling Confidence
Positive
Aug 11, 2025

Domino’s Pizza Group plc announced that Robyn Perriss, a Non-executive Director, has purchased 4,760 ordinary shares at a price of £2.0978 per share. This transaction, conducted on 11 August 2025, reflects a strategic move by a key figure in the company, potentially signaling confidence in the company’s future performance and impacting stakeholder perceptions.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Other
Domino’s Pizza Group Announces Share Purchase by Non-Executive Director
Positive
Aug 8, 2025

Domino’s Pizza Group plc announced a transaction involving the purchase of 38,350 ordinary shares by Mitesh Patel, a non-executive director, at a price of £2.0860 per share. This transaction highlights the confidence of the company’s management in its market position and could potentially impact stakeholder perceptions positively.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £2.90 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Other
Domino’s Chair Purchases Shares, Signaling Confidence
Positive
Aug 5, 2025

Domino’s Pizza Group plc has announced a transaction involving the purchase of 7,500 ordinary shares by its Chair, Ian Bull, at a price of £2.1248 per share. This transaction, disclosed under the Market Abuse Regulations, reflects internal confidence in the company’s market position and could influence stakeholder perceptions positively.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Domino’s Pizza Group Appoints New Director for Workforce Engagement
Positive
Aug 5, 2025

Domino’s Pizza Group has announced a change in its board responsibilities, appointing Mitesh Patel as the Designated Non-Executive Director for workforce engagement starting 1 September 2025. This move reflects the company’s focus on enhancing workforce relations and engagement, potentially impacting its operational dynamics and stakeholder relationships positively.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

DividendsBusiness Operations and StrategyFinancial Disclosures
Domino’s Pizza Group Gains Market Share Amid Challenging Conditions
Neutral
Aug 5, 2025

Domino’s Pizza Group reported its half-year results for 2025, showing continued market share gains despite a challenging operating environment. The company experienced a slight increase in system sales and group revenue but faced a decline in underlying EBITDA and profit before tax due to weaker consumer sentiment and higher employment costs. Despite these challenges, Domino’s increased its market share in the UK takeaway and pizza markets, improved delivery times, and saw success in its loyalty program trials. The company remains confident in its strategy, demonstrated by an increased interim dividend and ongoing investments in growth opportunities, particularly in Ireland.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Regulatory Filings and Compliance
Domino’s Pizza Group Announces Share Capital Update
Neutral
Aug 1, 2025

Domino’s Pizza Group plc has announced that as of July 31, 2025, the company has 394,712,748 issued ordinary shares, each carrying one vote at general meetings. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:DOM) stock is a Buy with a £400.00 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Regulatory Filings and Compliance
Domino’s Pizza Group Updates Shareholders on Voting Rights and Capital
Neutral
Jul 1, 2025

Domino’s Pizza Group plc announced that as of June 30, 2025, the company has 394,712,748 issued ordinary shares, each carrying one vote at general meetings. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Executive/Board Changes
Domino’s Pizza Group Announces Board Change with Lynn Fordham’s New Role
Neutral
Jun 20, 2025

Domino’s Pizza Group PLC announced a change in its board of directors, with Lynn Fordham, the Senior Independent Director, being appointed as Chair of Pollen Street Group Limited. This change in leadership may influence the strategic direction and governance of both companies, potentially impacting stakeholders and market perceptions.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Business Operations and Strategy
Domino’s Pizza Group PLC Announces Change in Shareholder Voting Rights
Neutral
Jun 20, 2025

Domino’s Pizza Group PLC has announced a change in its shareholder voting rights, with Browning West, LP reducing its stake from 8.97% to 4.90%. This shift in voting rights could impact the company’s decision-making processes and influence its strategic direction, as significant stakeholders adjust their positions.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Regulatory Filings and Compliance
Domino’s Pizza Group Updates Shareholders on Voting Rights and Capital
Neutral
Jun 2, 2025

Domino’s Pizza Group plc has announced that as of 31 May 2025, it has 394,712,748 issued ordinary shares admitted to trading, each carrying one vote at general meetings. This information is crucial for shareholders to determine their notification requirements under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Regulatory Filings and Compliance
Liontrust Adjusts Holdings in Domino’s Pizza Group
Neutral
Jun 2, 2025

Liontrust Investment Partners LLP has adjusted its holdings in Domino’s Pizza Group PLC, crossing a significant threshold in voting rights. This change reflects a decrease in their total voting rights from 5.9617% to 5.4812%, potentially impacting the company’s shareholder dynamics and market perception.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Executive/Board ChangesBusiness Operations and Strategy
Domino’s Pizza Group Announces Board Changes
Neutral
May 27, 2025

Domino’s Pizza Group Plc has announced the appointment of Robyn Perriss as an independent non-executive Director, effective from July 1, 2025. Robyn, who has extensive experience in digitally-focused companies, will join several key committees within the Board. Concurrently, Elias Diaz Sese will step down from his role as a non-executive Director to focus on other business interests. These changes are expected to enhance the Board’s expertise in digital and consumer-centric strategies, aligning with Domino’s strategic goals.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Business Operations and Strategy
Domino’s Pizza Group Sees Shift in Major Shareholdings
Neutral
May 20, 2025

Domino’s Pizza Group PLC has announced a change in its major holdings, with The Capital Group Companies, Inc. acquiring a significant portion of the company’s voting rights. This acquisition increases The Capital Group’s influence within Domino’s, potentially impacting the company’s strategic decisions and market positioning. The change reflects a shift in the company’s shareholder structure, which could have implications for its future operations and stakeholder relations.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £2.50 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

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.Date of analysis: Aug 12, 2025