Domino’s Pizza, Inc. (DPZ) recently hit a new 52-week high on the company’s better than expected Q4 results that were driven by a hot, new pizza recipe that is creating a buzz on the Street.

Company Description

Domino’s Pizza, Inc. through its subsidiaries, operates as a pizza delivery company in the United States and internationally. The company was founded in 1960 and has a market cap of $812 million.

Fourth-Quarter Results

Domestic same-store sales were up 1.4% while international same-store sales were up 3.9%, helping produce a total revenue gain of 8.1% from last year. Earnings came in ahead of expectations at 30 cents, 20% better than the Zacks Consensus Estimate. Domino’s has been consistent over the last year, beating in all 4 quarters by an average of 14%.

Domino’s paid down some of its debt during the quarter, repurchasing $49 million in senior notes for a year-long total of $189 million. As it stands, the company has a total of $1.57 billion in debt with $42 million in unrestricted cash and equivalents.

Estimates

Estimates jumped higher on the good quarter, with the current year adding 14 cents to $1.10. The next-year estimate is pegged at $1.23, a solid 12% growth projection.

Valuation

In spite of recent gains, this stock still has value, trading with a forward P/E multiple of 13X, a discount to the overall market.

The Chart

Shares of DPZ have been surging for the last few months after jumping above a key level of resistance just above $10 in mid January. Take a look below.

Michael Vodicka is the Momentum Stock Strategist for Zacks.com. He is also the Editor in charge of the market-beating Zacks Surprise Trader Service.

Zacks Investment Research

1. (DV) DeVry Incorporated – Excellent Results – Earnings Forecasts are UpDeVry Inc. (DV) recently reported a strong fiscal second quarter. Earnings of $1.00 per share...
2. (LZB) La-Z-Boy Incorporated – Earnings Forecasts Move HigherLa Z Boy Inc. (LZB) recently rebounded from a dip lower to move back within...
3. (CPKI) California Pizza Kitchen Trims Earnings OutlookCalifornia Pizza Kitchen Inc. (CPKI), a leading casual dining restaurant chain, recently declared preliminary fourth-quarter...
4. (DPZ) Domino’s Pizza Beats Consensus EstimatesDomino’s Pizza (DPZ), one of the leading pizza delivery chains, recently reported better-than-expected third quarter...
5. (CPKI) California Pizza Kitchen Raises Earnings OutlookCalifornia Pizza Kitchen, Inc. (CPKI), a leading casual dining restaurant chain, recently raised its third...
6. (DPZ) Domino’s Pizza, Inc. – Momentum – Zacks Rank BuyDomino’s Pizza, Inc.’s (DPZ) share price has broken through a key level of short-term resistance...

Search Posts by Tag: Dominos Pizza Inc. | DPZ | Restaurants | Services

RSS Feeds by Tag: Dominos Pizza Inc. | DPZ | Restaurants | Services |

Other Posts by: vitalstocks | RSS Feed for this author