Can Domino's Pizza Beat These Numbers?

Updated

Domino's Pizza (NYS: DPZ) is expected to report Q2 earnings on July 23. Here's what Wall Street wants to see:

The 10-second takeaway
Comparing the upcoming quarter to the prior-year quarter, average analyst estimates predict Domino's Pizza's revenues will grow 7.5% and EPS will expand 19.1%.

The average estimate for revenue is $404.3 million. On the bottom line, the average EPS estimate is $0.56.


Revenue details
Last quarter, Domino's Pizza logged revenue of $417.6 million. GAAP reported sales were 8.6% higher than the prior-year quarter's $384.6 million.

Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.

EPS details
Last quarter, EPS came in at $0.59. GAAP EPS of $0.59 for Q1 were 69% higher than the prior-year quarter's $0.35 per share.

Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.

Recent performance
For the preceding quarter, gross margin was 31.1%, 130 basis points better than the prior-year quarter. Operating margin was 18.1%, 70 basis points better than the prior-year quarter. Net margin was 8.2%, 280 basis points better than the prior-year quarter.

Looking ahead

The full year's average estimate for revenue is $1.78 billion. The average EPS estimate is $2.40.

Investor sentiment
The stock has a three-star rating (out of five) at Motley Fool CAPS, with 343 members out of 427 rating the stock outperform, and 84 members rating it underperform. Among 128 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 116 give Domino's Pizza a green thumbs-up, and 12 give it a red thumbs-down.

Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Domino's Pizza is outperform, with an average price target of $51.04.

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The article Can Domino's Pizza Beat These Numbers? originally appeared on Fool.com.

Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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