Domino's Pizza Price Target Cut to $500 from $530 on Sales Growth Doubts
BTIG lowered Domino’s Pizza’s price target to $500 from $530 while maintaining a Buy rating, citing challenges in hitting its 3% annual same-store sales growth goal. Domino’s ended Q3 with 21,750 locations worldwide, adding 214 in the quarter and generating $495.6 million in free cash flow through nine months.
1. BTIG Price Target Trim
On February 19, BTIG lowered its price target for Domino’s Pizza to $500 per share from $530 while reaffirming a Buy rating. The firm highlighted concerns about Domino’s ability to sustain its 3% annual same-store sales growth target amid increased competition and market saturation.
2. Store Expansion Metrics
Domino’s ended the third quarter of fiscal 2025 with 21,750 global locations, adding 214 net new units during the quarter and 748 over the past year. International growth accounted for 588 of the new openings, underscoring the company’s emphasis on overseas market expansion.
3. Financial Performance and Franchise Model
The company generated $495.6 million in free cash flow during the first nine months of 2025 and returned $397.2 million to shareholders via dividends and share repurchases. With 99% of restaurants franchised, Domino’s leverages an asset-light model that drives consistent royalty and supply-chain revenues.