A sharp decline in Papa John's net profit margin alongside a steeply higher forward P/E signals lower earnings expectations and increased valuation risk, prompting a cut in the consensus price target from $49.17 to $46.70.
What's in the News
- Papa John's added to the Russell 2000 Dynamic Index.
- Apollo Global Management and Irth Capital Management approached Papa John's with a joint buyout offer valuing the company at just above $60 per share; shares rose 7.5% on the news.
- The Shaq-a-Roni pizza, crafted with Shaquille O'Neal, is now a permanent menu item.
- Papa John's launched a new Cheddar Crust Pizza and Cheddar Cheesesticks in Canada.
- No share repurchases were completed in the latest period, but the company has finished repurchasing 11.48% of shares under its buyback program.
Valuation Changes
Summary of Valuation Changes for Papa John's International
- The Consensus Analyst Price Target has fallen from $49.17 to $46.70.
- The Future P/E for Papa John's International has significantly risen from 16.76x to 39.37x.
- The Net Profit Margin for Papa John's International has significantly fallen from 5.29% to 2.30%.
Disclaimer
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