Dominos Pizza Valuation
| DPZ Stock | USD 487.71 6.55 1.36% |
At this time, the firm appears to be overvalued. Dominos Pizza shows a prevailing Real Value of $378.97 per share. The current price of the firm is $487.71. Our model computes the value of Dominos Pizza from reviewing the firm fundamentals such as Operating Margin of 0.18 %, shares owned by insiders of 0.36 %, and Shares Outstanding of 34.83 M as well as analyzing its technical indicators and probability of bankruptcy. In general, most investors advise acquiring undervalued instruments and dropping overvalued instruments since, at some point, asset prices and their ongoing real values will submerge. Key fundamental drivers impacting Dominos Pizza's valuation include:
Enterprise Value 22.5 B | Enterprise Value Ebitda 24.0397 | Price Sales 3.8512 | Forward PE 31.4465 | Trailing PE 32.7766 |
Overvalued
Today
Please note that Dominos Pizza's price fluctuation is very steady at this time. Calculation of the real value of Dominos Pizza is based on 3 months time horizon. Increasing Dominos Pizza's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Dominos Pizza is useful when determining the fair value of the Dominos stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Dominos Pizza. Since Dominos Pizza is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Dominos Stock. However, Dominos Pizza's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 487.71 | Real 378.97 | Target 411.67 | Hype 486.82 | Naive 455.39 |
The real value of Dominos Stock, also known as its intrinsic value, is the underlying worth of Dominos Pizza Company, which is reflected in its stock price. It is based on Dominos Pizza's financial performance, assets, liabilities, growth prospects, management team, or industry conditions. The intrinsic value of Dominos Pizza's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Dominos Pizza's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Dominos Pizza helps investors to forecast how Dominos stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Dominos Pizza more accurately as focusing exclusively on Dominos Pizza's fundamentals will not take into account other important factors: Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Dominos Pizza's intrinsic value based on its ongoing forecasts of Dominos Pizza's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Dominos Pizza's closest peers. When choosing an evaluation method for Dominos Pizza, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.
Dominos Pizza Investments |
|
Dominos Valuation Trend
Knowing Dominos Pizza's actual value is paramount for traders to make sound investment determinations. Dominos Pizza's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Dominos Pizza's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Dominos Pizza's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.
Dominos Market Cap
Dominos Pizza is rated # 4 in market capitalization category among related companies. Market capitalization of Consumer Discretionary industry is currently estimated at about 187.81 Billion. Dominos Pizza holds roughly 16.76 Billion in market capitalization claiming about 9% of stocks in Consumer Discretionary industry.Dominos Pizza Valuation Ratios as Compared to Competition
Comparative valuation techniques use various fundamental indicators to help in determining Dominos Pizza's current stock value. Our valuation model uses many indicators to compare Dominos Pizza value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Dominos Pizza competition to find correlations between indicators driving Dominos Pizza's intrinsic value. More Info.Dominos Pizza is rated below average in price to earning category among related companies. It is rated # 4 in price to sales category among related companies fabricating about 0.12 of Price To Sales per Price To Earning. The ratio of Price To Earning to Price To Sales for Dominos Pizza is roughly 8.25 . At this time, Dominos Pizza's Price To Sales Ratio is fairly stable compared to the past year.Comparative valuation analysis is a catch-all model that can be used if you cannot value Dominos Pizza by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Dominos Pizza's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Dominos Pizza's earnings, one of the primary drivers of an investment's value.Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Dominos Pizza's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Dominos Pizza and how it compares across the competition.
About Dominos Pizza Valuation
The stock valuation mechanism determines the current worth of Dominos Pizza on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Dominos Pizza. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Dominos Pizza based exclusively on its fundamental and basic technical indicators. By analyzing Dominos Pizza's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Dominos Pizza's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Dominos Pizza. We calculate exposure to Dominos Pizza's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Dominos Pizza's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.7 B | 1.8 B | |
| Pretax Profit Margin | 0.15 | 0.08 | |
| Operating Profit Margin | 0.18 | 0.12 | |
| Net Profit Margin | 0.12 | 0.12 | |
| Gross Profit Margin | 0.39 | 0.24 |
8 Steps to conduct Dominos Pizza's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Dominos Pizza's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Dominos Pizza's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Dominos Pizza's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Dominos Pizza's revenue streams: Identify Dominos Pizza's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Dominos Pizza's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Dominos Pizza's growth potential: Evaluate Dominos Pizza's management, business model, and growth potential.
- Determine Dominos Pizza's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Dominos Pizza's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
A single share of Dominos Pizza represents a small ownership stake in the entity. As a stockholder of Dominos, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Dominos Pizza Dividends Analysis For Valuation
Dividend Paid And Capex Coverage Ratio is likely to rise to 9.64 in 2024, whereas Dividends Paid is likely to drop slightly above 99.8 M in 2024. . Price Earnings To Growth Ratio is likely to rise to 1.73 in 2024, despite the fact that Retained Earnings are likely to grow to (3.9 B).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 169.8 M | 99.8 M | |
| Dividend Yield | 0.01 | 0.01 | |
| Dividend Payout Ratio | 0.33 | 0.31 | |
| Dividend Paid And Capex Coverage Ratio | 9.18 | 9.64 |
There are various types of dividends Dominos Pizza can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Dominos shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Dominos Pizza directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Dominos pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Dominos Pizza by the value of the dividends paid out.
Dominos Pizza Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Dominos Pizza does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 35.4 M | |
| Quarterly Earnings Growth Y O Y | 0.301 | |
| Forward Price Earnings | 31.4465 |
Dominos Pizza Current Valuation Indicators
Valuation refers to the process of determining the present value of Dominos Pizza and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Dominos we look at many different elements of the entity such as Dominos's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Dominos Pizza's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Dominos Pizza's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Dominos Pizza, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Dominos Pizza's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Dominos Pizza's worth.When determining whether Dominos Pizza offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Dominos Pizza's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Dominos Pizza Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Dominos Pizza Stock: Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Dominos Pizza. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in american community survey. For more information on how to buy Dominos Stock please use our How to Invest in Dominos Pizza guide.You can also try the Content Syndication module to quickly integrate customizable finance content to your own investment portal.
Complementary Tools for Dominos Stock analysis
When running Dominos Pizza's price analysis, check to measure Dominos Pizza's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Dominos Pizza is operating at the current time. Most of Dominos Pizza's value examination focuses on studying past and present price action to predict the probability of Dominos Pizza's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Dominos Pizza's price. Additionally, you may evaluate how the addition of Dominos Pizza to your portfolios can decrease your overall portfolio volatility.
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |
Is Dominos Pizza's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Dominos Pizza. If investors know Dominos will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Dominos Pizza listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.301 | Dividend Share 4.84 | Earnings Share 14.68 | Revenue Per Share 127.683 | Quarterly Revenue Growth 0.031 |
The market value of Dominos Pizza is measured differently than its book value, which is the value of Dominos that is recorded on the company's balance sheet. Investors also form their own opinion of Dominos Pizza's value that differs from its market value or its book value, called intrinsic value, which is Dominos Pizza's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Dominos Pizza's market value can be influenced by many factors that don't directly affect Dominos Pizza's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Dominos Pizza's value and its price as these two are different measures arrived at by different means. Investors typically determine if Dominos Pizza is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Dominos Pizza's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.