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What To Expect From Domino's Pizza Q4 Earnings?
DPZDomino’s Pizza(DPZ) Benzinga·2025-02-20 18:46

Core Viewpoint - RBC Capital Markets analyst Logan Reich maintains an Outperform rating on Domino's Pizza Inc (DPZ) with a price target of 500,highlightinginterestinU.S.demandtrendsandmarketshareaheadofthefourth−quarterresultsonFebruary24[1].Group1:MarketDynamics−ThepotentialpartnershipwithDoorDash,Inc.isunderconsideration,especiallyasUberTechnologies,Inc.′sexclusivityagreementissettoexpireattheendofQ1[2].−DoorDashholdsasignificantmarketshareintheU.S.,approximatelythreetimesthatofUber,whichcouldinfluenceinvestorsentimentregardingdemand[2].−Domino′sisexpectedtocontinuegainingmarketshareduetoitsstrongvaluepositioningandmarketingadvantagesoverindependentpizzabusinesses[3].Group2:FinancialEstimates−TheU.S.same−storesalesestimateforDomino′sinthefourthquarterhasbeenloweredto1.0500, highlighting interest in U.S. demand trends and market share ahead of the fourth-quarter results on February 24 [1]. Group 1: Market Dynamics - The potential partnership with DoorDash, Inc. is under consideration, especially as Uber Technologies, Inc.'s exclusivity agreement is set to expire at the end of Q1 [2]. - DoorDash holds a significant market share in the U.S., approximately three times that of Uber, which could influence investor sentiment regarding demand [2]. - Domino's is expected to continue gaining market share due to its strong value positioning and marketing advantages over independent pizza businesses [3]. Group 2: Financial Estimates - The U.S. same-store sales estimate for Domino's in the fourth quarter has been lowered to 1.0%, down from the consensus estimate of 1.3%, reflecting softer category growth [4]. - As of the latest trading session, DPZ shares are down 1.14% to 469.93 [4].