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Domino’s Pizza Tops Street’s Estimates (DPZ)

Domino’s Pizza Inc. (NYSE: DPZ) reported on Tuesday that fiscal first quarter profit jumped 66% as opening of new stores and lower expenses boosted company’s both top line and the bottom line.

Commenting over the results, Domino’s Pizza’s Chief Executive Officer, Patrick Doyle said “[The Company] was off to a strong start this year”. The Pizza maker rolled out new items to boost its sales.

For the quarter ended March 24, the Ann Arbor Michigan based Company reported net income of $34.4 million or 59 cents a share compared to a profit of $20.7 million or 35 cents a share, in the year-earlier quarter. Last the Company had accounted for $6.5 million in expenses.

Revenue during the period soared 9% to $417.6 million from $384.6 million, in the same quarter of last fiscal. Analysts surveyed by FactSet Research were expecting earnings of 55 cents a share on revenue of $412.1 million.

Same-store-sales, a key gauge on restaurant chain’ performance since its excludes the sales impact from those stores that were opened or closed less than a year ago, climbed 6.2% in the U.S. and jumped 6.5% in international market.

What do Wall Street’s analysts have to Say about the Stock?

On April 16th, analysts at Barclays Capital boosted their price target on the stock to $49 from $43 and set “equal weight” rating on the stock.

A day before, in a research note to clients, analysts at Miller Tabak, raised the price target on the stock to $55 from $52 and set a “buy” rating on the stock.

However, analysts at Goldman Sachs downgraded the stock from “conviction buy” rating to “buy” rating on April 4th but raised price the price target on the stock to $60 from $56.

At present, three equity research analysts’ keep “hold” rating on the stock, five maintain “buy” rating. On average, the stock has a “buy” rating and a price target of $52.57.

 


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