Domino’s Pizza has thrived during the past decade. Revenues have risen from $1.6 billion in 2011 to $4.1 billion in 2020. The growth also includes the trend of gross margins going up. They were 28.5% in 2011 and 38.7% in 2020. Increasing gross margins and growing revenue is a sign that the business model benefits from sustainable competitive advantages. Domino’s is among the best restaurants stocks to invest in. Its earnings per share have jumped from $1.71 in 2011 to $12.4 in 2020. The company has also grown its dividends every year since 2013. The financials of Domino’s are pretty impressive. The business also has a global presence, a strong brand, and it seems to be giving importance to technology as well. About 70% of the orders that Domino’s receives are from the digital channel. This is an essential quality in a post-pandemic world where digital and delivery are expected to be more widely accepted by consumers around the world.
Domino’s Pizza Announces Q12021 Earnings Results
On 29th April 2021, Domino’s announced its first-quarter 2021 earnings results. Total revenues were up 12.7%, from $873 million in Q12020 to $983 million. Net income, however, was slightly down from $121 million in Q12020 to $118 million. Diluted earnings per share came in at $3 as compared to $3.07 in Q12020. US same-store sales growth was 13.4% and outpaced international same-store sales growth of 11.8%. The company management said that it saw positive momentum in the company’s US and international business. Another significant trend was a more extensive spread between franchise stores and company-owned stores. Franchise stores are spread out across urban and rural regions, while company-owned stores are more concentrated in urban higher-income areas. Domino’s is counted among the best restaurants stocks 2021.
Domino’s Pizza closed at $426 on 28th May 2021 and was up 0.68% for the day. On a 1-month basis, the stock is down 1.5%, while year-to-date, the price has risen by 12.5%. Domino’s Pizza is up 28% since the March 2020 market fall when the pandemic broke out.