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Domino's Pizza (GB:DOM)
LSE:DOM

Domino's Pizza (DOM) AI Stock Analysis

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GB:DOM

Domino's Pizza

(LSE:DOM)

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Neutral 68 (OpenAI - 5.2)
Rating:68Neutral
Price Target:
190.00p
▲(5.79% Upside)
Domino's Pizza's overall score is driven by its strong valuation and positive corporate events, which are offset by financial risks due to high leverage and negative equity. Technical indicators suggest bearish momentum, but the stock's low P/E ratio and high dividend yield provide a cushion.
Positive Factors
Strong Cash Flow Generation
Strong cash flow generation supports operational sustainability and debt servicing, providing a solid foundation for future growth initiatives.
Effective Cost Management
Effective cost management helps maintain profitability and competitive pricing, enhancing long-term financial health and market positioning.
Digital Sales Growth
Growth in digital sales reflects successful adaptation to consumer trends, boosting customer engagement and expanding market reach.
Negative Factors
High Leverage Risks
High leverage can limit financial flexibility and increase vulnerability to economic downturns, impacting long-term stability.
Revenue Decline
A decline in revenue can signal market challenges or competitive pressures, potentially affecting future growth prospects.
Operational Challenges
Operational challenges, indicated by missing EBIT margins, can hinder efficiency and profitability, affecting long-term business 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 Pizza generates revenue primarily through its franchise and company-owned store operations. The company earns money from the sale of pizzas and other menu items, with a significant portion of its revenue coming from franchise fees and royalties collected from its franchisees, which typically range from 5% to 6% of sales. Additionally, Domino's has established partnerships with third-party delivery services, enhancing its reach and sales volume. The company also invests in technology to improve operational efficiency and customer engagement, contributing to higher sales. Promotions, seasonal offerings, and loyalty programs further drive customer purchases, solidifying its revenue streams.

Domino's Pizza Financial Statement Overview

Summary
Domino's Pizza shows strong revenue growth and cash flow generation, but high leverage and negative equity pose significant risks. Effective cost management is evident, but operational challenges may exist due to missing EBIT margins.
Income Statement
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
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
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.
BreakdownTTMDec 2024Dec 2023Dec 2022Dec 2021Dec 2020
Income Statement
Total Revenue669.20M664.50M679.80M600.30M560.80M505.10M
Gross Profit313.30M318.90M316.20M273.50M268.60M236.50M
EBITDA146.70M171.30M190.40M120.90M135.20M132.00M
Net Income77.70M90.20M115.00M81.60M78.30M41.10M
Balance Sheet
Total Assets595.80M602.90M512.50M520.70M522.00M592.20M
Cash, Cash Equivalents and Short-Term Investments14.40M52.20M52.10M30.40M42.80M63.40M
Total Debt230.20M547.40M515.20M507.10M465.10M470.10M
Total Liabilities678.70M685.10M646.50M633.50M580.60M601.00M
Stockholders Equity-82.00M-82.20M-134.00M-112.80M-58.60M-8.80M
Cash Flow
Free Cash Flow78.70M85.00M92.70M65.40M99.60M92.80M
Operating Cash Flow91.80M103.50M113.50M85.10M113.90M112.20M
Investing Cash Flow16.10M-200.00K94.70M29.50M32.80M-17.80M
Financing Cash Flow-111.40M-103.00M-186.50M-127.40M-174.70M-38.60M

Domino's Pizza Technical Analysis

Technical Analysis Sentiment
Positive
Last Price179.60
Price Trends
50DMA
176.14
Positive
100DMA
187.73
Negative
200DMA
219.30
Negative
Market Momentum
MACD
0.63
Negative
RSI
63.64
Neutral
STOCH
89.52
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:DOM, the sentiment is Positive. The current price of 179.6 is above the 20-day moving average (MA) of 173.09, above the 50-day MA of 176.14, and below the 200-day MA of 219.30, indicating a neutral trend. The MACD of 0.63 indicates Negative momentum. The RSI at 63.64 is Neutral, neither overbought nor oversold. The STOCH value of 89.52 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:DOM.

Domino's Pizza Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
68
Neutral
£685.37M9.056.46%-0.67%2.43%
61
Neutral
$18.38B12.79-2.54%3.03%1.52%-15.83%
52
Neutral
£7.51M-25.52-19.96%6.48%88.46%
52
Neutral
£68.42M-145.00-1.36%11.73%85.29%
49
Neutral
£20.13M-11.06-6.15%8.14%79.37%
48
Neutral
£1.57B-21.30-48.11%2.50%5.98%-371.14%
45
Neutral
£20.30M-3.94-9999.00%12.39%-627.32%
* Consumer Cyclical Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
GB:DOM
Domino's Pizza
179.60
-81.52
-31.22%
GB:COM
Comptoir
6.13
2.88
88.46%
GB:DPP
DP Poland plc
7.25
-3.90
-34.98%
GB:SSPG
SSP Group plc
198.10
33.33
20.23%
GB:VARE
Various Eateries PLC ADR
11.50
-4.50
-28.13%
GB:MEX
Tortilla Mexican Grill Ltd.
52.50
2.50
5.00%

Domino's Pizza Corporate Events

Business Operations and StrategyExecutive/Board Changes
Domino’s Pizza Group Appoints Annie Murphy as Independent Non-Executive Director
Positive
Dec 11, 2025

Domino’s Pizza Group Plc has announced the appointment of Annie Murphy as an independent non-executive Director, effective from January 5, 2026. Annie brings extensive experience from her previous roles at major consumer and retail companies like PepsiCo, Procter & Gamble, and Walgreens Boots Alliance. Her expertise in commercial and brand strategy is expected to strengthen Domino’s Board, enhancing its strategic direction and operations.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £190.00 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 StrategyExecutive/Board Changes
Domino’s Interim CEO Purchases Significant Shareholding
Positive
Dec 9, 2025

Domino’s Pizza Group plc announced a transaction involving the purchase of 29,382 ordinary shares by Nicola Frampton, the Interim Chief Executive Officer, at a price of £1.6890 per share. This transaction, conducted on December 8, 2025, could indicate confidence in the company’s future prospects and may impact stakeholder perceptions positively.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £190.00 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
Dec 4, 2025

Domino’s Pizza Group announced a transaction involving Ian Bull, the Chair of the company, who purchased 20,000 ordinary shares at a price of £1.7244 per share. This transaction, conducted on December 3, 2025, signifies a potential vote of confidence in the company’s future prospects and may impact stakeholder perceptions positively.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £190.00 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 Shareholder Voting Rights
Neutral
Dec 1, 2025

Domino’s Pizza Group plc announced that as of 30 November 2025, it has 384,868,623 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 Hold with a £190.00 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 StrategyExecutive/Board Changes
Domino’s Pizza Group Announces CEO Departure and Interim Leadership
Neutral
Nov 25, 2025

Domino’s Pizza Group PLC announced the departure of CEO Andrew Rennie, with Nicola Frampton stepping in as Interim CEO. The company is actively searching for a permanent successor while focusing on growth and value creation opportunities. Frampton, with her extensive experience, is expected to lead the company through this transition, emphasizing ongoing growth initiatives such as supply chain enhancement and product innovation. The company remains committed to its strategic priorities and has postponed its Capital Markets Day, with no changes to its FY25 outlook.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £190.00 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 StrategyExecutive/Board Changes
Domino’s Pizza Announces CEO Departure and Interim Leadership
Neutral
Nov 25, 2025

Domino’s Pizza Group PLC announced the departure of CEO Andrew Rennie, with Nicola Frampton stepping in as Interim CEO. The company is actively searching for a new CEO to continue driving growth and value creation. Despite the leadership change, Domino’s remains committed to its strategic initiatives, including supply chain enhancements, product innovation, and a loyalty program rollout. The company reassures stakeholders of its stable financial outlook and ongoing focus on shareholder returns.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £190.00 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 StrategyFinancial DisclosuresProduct-Related Announcements
Domino’s Pizza Group Reports Positive Q3 Sales Amidst Challenging Market Conditions
Positive
Nov 4, 2025

Domino’s Pizza Group reported positive sales growth in Q3 2025, with system sales up by 2.1% and like-for-like sales increasing by 1.0%. Despite a decrease in total orders by 1.5%, the company maintained its full-year guidance, expecting EBITDA between £130m and £140m. The introduction of new products like Chick ‘N’ Dip and the Ultimate Indian Feast received positive customer feedback, contributing to operational momentum. The company continues to manage challenges such as higher costs and weaker consumer sentiment in the quick-service restaurant sector, while planning further expansion with new store openings and a new supply chain center.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £195.00 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 ComplianceShareholder Meetings
Domino’s Pizza Group Announces Share Capital Details
Neutral
Nov 3, 2025

Domino’s Pizza Group plc announced that as of October 31, 2025, the company had 384,868,623 issued ordinary shares, each carrying one vote at general meetings. This information is crucial for shareholders to determine their voting rights and obligations under the FCA’s Disclosure Guidance and Transparency Rules.

The most recent analyst rating on (GB:DOM) stock is a Sell with a £195.00 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Stock Buyback
Domino’s Pizza Completes £20 Million Share Buyback Program
Neutral
Oct 3, 2025

Domino’s Pizza Group PLC has completed its £20 million share buyback program, repurchasing 9,844,125 ordinary shares at an average price of 203.16 pence per share. The completion of this program, which was announced on 1 September 2025, results in a total issued share capital of 384,868,623 ordinary shares, impacting the company’s capital structure and potentially influencing shareholder value.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £235.00 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 Announces Share Capital Update
Neutral
Oct 1, 2025

Domino’s Pizza Group plc announced that as of 30 September 2025, it had 385,303,324 issued ordinary shares, each carrying one vote at general meetings. This figure is significant 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 Hold with a £235.00 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Stock Buyback
Domino’s Pizza Completes Share Buyback Program
Positive
Oct 1, 2025

Domino’s Pizza Group PLC has announced the completion of a share buyback program, purchasing 469,362 ordinary shares for cancellation. This move reduces the total number of shares in issue to 385,303,324, potentially enhancing shareholder value and signaling confidence in the company’s financial health. The buyback could impact the company’s market positioning by improving earnings per share and demonstrating a commitment to returning value to shareholders.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £235.00 price target. To see the full list of analyst forecasts on Domino’s Pizza stock, see the GB:DOM Stock Forecast page.

Stock Buyback
Domino’s Pizza Executes Share Buyback Program
Positive
Sep 30, 2025

Domino’s Pizza Group PLC has executed a share buyback program, purchasing 80,596 of its own shares for cancellation, with prices ranging from 198.90p to 199.50p per share. This move reduces the total number of shares in issue to 385,772,686, impacting the company’s voting rights and potentially enhancing shareholder value by increasing earnings per share.

The most recent analyst rating on (GB:DOM) stock is a Hold with a £235.00 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: Dec 07, 2025