Cabot Wealth Management Inc. has increased its holdings in Domino’s Pizza Inc. (NASDAQ: DPZ) by 1.4% during the second quarter of the fiscal year, according to a recent filing with the Securities and Exchange Commission (SEC). The firm now owns 26,336 shares of the pizza chain’s stock, having purchased an additional 375 shares during the quarter. This investment represents about 1.4% of Cabot Wealth Management’s portfolio, making Domino’s its 26th largest holding with a total value of approximately $11,867,000.
Several other institutional investors have also adjusted their positions in Domino’s Pizza recently. Notably, Impax Asset Management Group plc established a new position valued at $633,000 in the first quarter. The Teacher Retirement System of Texas acquired a stake worth $2,319,000, while Charles Schwab Investment Management Inc. invested a significant $110,348,000. Additionally, Summit Trail Advisors LLC increased its stake by an impressive 157.2%, now holding 1,597 shares valued at $734,000. Overall, institutional investors and hedge funds control 94.63% of Domino’s stock.
Wall Street Analysts Project Future Growth
The outlook for Domino’s Pizza has been bolstered by several recent research reports. Benchmark raised its target price for the stock from $535.00 to $540.00, maintaining a “buy” rating. Similarly, BTIG Research reiterated a “buy” rating with a price objective of $530.00. Conversely, Citigroup lowered its price target from $500.00 to $480.00 and issued a “neutral” rating, while Barclays cut its target from $425.00 to $405.00, assigning an “underweight” rating.
A majority of analysts have issued positive ratings on the stock. One analyst rates it as a Strong Buy, twelve have given it a Buy rating, eleven have issued a Hold rating, and two have rated it as a Sell. The consensus rating stands at “Hold” with an average price target of $489.92, according to data from MarketBeat.com.
Insider Activity and Stock Performance
In related developments, James A. Goldman, a director at Domino’s Pizza, sold 1,000 shares on August 18, 2023, at an average price of $451.49, totaling $451,490.00. Following this transaction, Goldman now holds 3,384 shares, valued at approximately $1,527,842.16, reflecting a 22.81% decrease in his ownership. Insiders currently own 0.83% of the company’s stock.
On the market, Domino’s Pizza shares opened at $414.86 on Friday. The company’s 50-day moving average price is $436.64, while its 200-day moving average price stands at $456.68. With a market capitalization of $14.02 billion, Domino’s exhibits a P/E ratio of 24.25 and a beta of 1.12. The stock has ranged from a 52-week low of $397.12 to a 52-week high of $500.55.
Domino’s Pizza recently reported its earnings results on October 14, 2023, revealing an earnings per share (EPS) of $4.08, surpassing analysts’ expectations of $3.96 by $0.12. The company recorded a revenue of $1.15 billion for the quarter, slightly above the anticipated $1.14 billion. Compared to the same quarter last year, Domino’s revenue grew by 6.2%, although EPS decreased from $4.19 in the prior year. Analysts predict that Domino’s will post an EPS of 16.74 for the current year.
In addition, Domino’s has announced a quarterly dividend of $1.74 per share, set to be paid on December 26, 2023, to investors on record as of December 15, 2023. This annualizes to a dividend of $6.96 per share, yielding 1.7%, with a payout ratio of 40.68%.
Founded in the United States, Domino’s Pizza Inc. operates globally through its subsidiaries, offering pizza through both company-owned and franchised locations. The company’s operations are divided into three segments: U.S. Stores, International Franchise, and Supply Chain.
