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Domino's Pizza Group

LSE:DOM
Snowflake Description

Reasonable growth potential average dividend payer.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
DOM
LSE
£1B
Market Cap
  1. Home
  2. GB
  3. Consumer Services
Company description

Domino's Pizza Group plc owns, operates, and franchises Domino’s Pizza stores in the United Kingdom, the Republic of Ireland, Switzerland, Germany, Iceland, Norway, and Sweden. The last earnings update was 66 days ago. More info.


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DOM Share Price and Events
7 Day Returns
-8.2%
LSE:DOM
0.3%
GB Hospitality
0.5%
GB Market
1 Year Returns
-38.6%
LSE:DOM
-8.7%
GB Hospitality
-5.4%
GB Market
DOM Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Domino's Pizza Group (DOM) -8.2% -10.1% -3% -38.6% -34% 25.7%
GB Hospitality 0.3% -0.1% -2.9% -8.7% 9.7% 28.7%
GB Market 0.5% -1.7% 2.1% -5.4% 13.8% 1.8%
1 Year Return vs Industry and Market
  • DOM underperformed the Hospitality industry which returned -8.7% over the past year.
  • DOM underperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -5.4% over the past year.
Price Volatility
DOM
Industry
5yr Volatility vs Market

DOM Value

 Is Domino's Pizza Group undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Domino's Pizza Group to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Domino's Pizza Group.

LSE:DOM Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 10 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 8.3%
Perpetual Growth Rate 10-Year GB Government Bond Rate 1.2%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for LSE:DOM
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year GB Govt Bond Rate 1.2%
Equity Risk Premium S&P Global 6.7%
Hospitality Unlevered Beta Simply Wall St/ S&P Global 0.93
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.927 (1 + (1- 19%) (21.35%))
1.059
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.06
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (1.059 * 6.65%)
8.27%

Discounted Cash Flow Calculation for LSE:DOM using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Domino's Pizza Group is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

LSE:DOM DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (GBP, Millions) Source Present Value
Discounted (@ 8.27%)
2019 71.97 Analyst x5 66.48
2020 76.34 Analyst x6 65.13
2021 83.30 Analyst x6 65.64
2022 78.30 Analyst x1 56.99
2023 82.40 Analyst x1 55.39
2024 83.65 Est @ 1.52% 51.94
2025 84.85 Est @ 1.43% 48.66
2026 86.01 Est @ 1.37% 45.56
2027 87.16 Est @ 1.33% 42.64
2028 88.29 Est @ 1.3% 39.90
Present value of next 10 years cash flows £538.34
LSE:DOM DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= £88.29 × (1 + 1.23%) ÷ (8.27% – 1.23%)
£1,269.57
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= £1,269.57 ÷ (1 + 8.27%)10
£573.74
LSE:DOM Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= £538.34 + £573.74
£1,112.08
Equity Value per Share
(GBP)
= Total value / Shares Outstanding
= £1,112.08 / 460.10
£2.42
LSE:DOM Discount to Share Price
Calculation Result
Value per share (GBP) From above. £2.42
Current discount Discount to share price of £2.32
= -1 x (£2.32 - £2.42) / £2.42
3.9%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Domino's Pizza Group is available for.
Intrinsic value
4%
Share price is £2.32 vs Future cash flow value of £2.42
Current Discount Checks
For Domino's Pizza Group to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Domino's Pizza Group's share price is below the future cash flow value, but not at a moderate discount (< 20%).
  • Domino's Pizza Group's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Domino's Pizza Group's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Domino's Pizza Group's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
LSE:DOM PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-30) in GBP £0.10
LSE:DOM Share Price ** LSE (2019-05-23) in GBP £2.32
United Kingdom of Great Britain and Northern Ireland Hospitality Industry PE Ratio Median Figure of 34 Publicly-Listed Hospitality Companies 18.11x
United Kingdom of Great Britain and Northern Ireland Market PE Ratio Median Figure of 789 Publicly-Listed Companies 16.47x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Domino's Pizza Group.

LSE:DOM PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= LSE:DOM Share Price ÷ EPS (both in GBP)

= 2.32 ÷ 0.10

22.48x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Domino's Pizza Group is overvalued based on earnings compared to the GB Hospitality industry average.
  • Domino's Pizza Group is overvalued based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does Domino's Pizza Group's expected growth come at a high price?
Raw Data
LSE:DOM PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 22.48x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts
14.4%per year
United Kingdom of Great Britain and Northern Ireland Hospitality Industry PEG Ratio Median Figure of 28 Publicly-Listed Hospitality Companies 2.05x
United Kingdom of Great Britain and Northern Ireland Market PEG Ratio Median Figure of 574 Publicly-Listed Companies 1.46x

*Line of best fit is calculated by linear regression .

LSE:DOM PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 22.48x ÷ 14.4%

1.56x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Domino's Pizza Group is poor value based on expected growth next year.
Price based on value of assets
What value do investors place on Domino's Pizza Group's assets?
Raw Data
LSE:DOM PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-30) in GBP £0.01
LSE:DOM Share Price * LSE (2019-05-23) in GBP £2.32
United Kingdom of Great Britain and Northern Ireland Hospitality Industry PB Ratio Median Figure of 54 Publicly-Listed Hospitality Companies 1.38x
United Kingdom of Great Britain and Northern Ireland Market PB Ratio Median Figure of 1,369 Publicly-Listed Companies 1.5x
LSE:DOM PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= LSE:DOM Share Price ÷ Book Value per Share (both in GBP)

= 2.32 ÷ 0.01

386.81x

* Primary Listing of Domino's Pizza Group.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Domino's Pizza Group is overvalued based on assets compared to the GB Hospitality industry average.
X
Value checks
We assess Domino's Pizza Group's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Hospitality industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Hospitality industry average (and greater than 0)? (1 check)
  5. Domino's Pizza Group has a total score of 0/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

DOM Future Performance

 How is Domino's Pizza Group expected to perform in the next 1 to 3 years based on estimates from 10 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
14.4%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Domino's Pizza Group expected to grow at an attractive rate?
  • Domino's Pizza Group's earnings growth is expected to exceed the low risk savings rate of 1.2%.
Growth vs Market Checks
  • Domino's Pizza Group's earnings growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
  • Domino's Pizza Group's revenue growth is expected to exceed the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
Raw Data
LSE:DOM Future Growth Rates Data Sources
Data Point Source Value (per year)
LSE:DOM Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 10 Analysts 14.4%
LSE:DOM Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 10 Analysts 6.4%
United Kingdom of Great Britain and Northern Ireland Hospitality Industry Earnings Growth Rate Market Cap Weighted Average 12%
United Kingdom of Great Britain and Northern Ireland Hospitality Industry Revenue Growth Rate Market Cap Weighted Average 5.8%
United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate Market Cap Weighted Average 10.9%
United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate Market Cap Weighted Average 5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
LSE:DOM Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
All numbers in GBP Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
LSE:DOM Future Estimates Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 768 125 110 1
2022-12-31 674 116 101 2
2021-12-31 658 112 89 8
2020-12-31 613 109 83 10
2019-12-31 577 101 74 10
2018-12-31 545 96 72 10
LSE:DOM Past Financials Data
Date (Data in GBP Millions) Revenue Cash Flow Net Income *
2018-12-30 534 86 49
2018-09-30 528 90 57
2018-07-01 522 94 65
2018-04-01 499 99 66
2017-12-31 475 104 68
2017-09-30 435 88 69
2017-06-25 396 73 70
2017-03-25 378 68 68
2016-12-25 361 63 65
2016-09-25 350 69 65
2016-06-26 339 75 65
2016-03-26 328 72 62

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Domino's Pizza Group's earnings are expected to grow by 14.4% yearly, however this is not considered high growth (20% yearly).
  • Domino's Pizza Group's revenue is expected to grow by 6.4% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
LSE:DOM Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (4 months ago) See Below
Future Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below

All data from Domino's Pizza Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:DOM Future Estimates Data
Date (Data in GBP Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 0.23 0.23 0.23 1.00
2022-12-31 0.21 0.21 0.21 1.00
2021-12-31 0.19 0.21 0.18 4.00
2020-12-31 0.18 0.19 0.17 4.00
2019-12-31 0.16 0.16 0.15 4.00
2018-12-31 0.15 0.16 0.14 5.00
LSE:DOM Past Financials Data
Date (Data in GBP Millions) EPS *
2018-12-30 0.10
2018-09-30 0.12
2018-07-01 0.13
2018-04-01 0.14
2017-12-31 0.14
2017-09-30 0.14
2017-06-25 0.14
2017-03-25 0.14
2016-12-25 0.13
2016-09-25 0.13
2016-06-26 0.13
2016-03-26 0.13

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Domino's Pizza Group is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).
X
Future performance checks
We assess Domino's Pizza Group's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Domino's Pizza Group has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

DOM Past Performance

  How has Domino's Pizza Group performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Domino's Pizza Group's growth in the last year to its industry (Hospitality).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Domino's Pizza Group's year on year earnings growth rate has been positive over the past 5 years.
  • Domino's Pizza Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.
  • Domino's Pizza Group's 1-year earnings growth is negative, it can't be compared to the GB Hospitality industry average.
Earnings and Revenue History
Domino's Pizza Group's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Domino's Pizza Group Company Filings, last reported 4 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

LSE:DOM Past Revenue, Cash Flow and Net Income Data
Date (Data in GBP Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-30 534.30 49.00 131.50
2018-09-30 528.35 56.75 128.30
2018-07-01 522.40 64.70 125.30
2018-04-01 498.50 66.20 113.70
2017-12-31 474.60 67.50 101.90
2017-09-30 435.05 68.73 88.25
2017-06-25 395.51 69.97 74.59
2017-03-25 378.05 67.58 68.20
2016-12-25 360.60 65.20 61.80
2016-09-25 349.65 65.29 58.56
2016-06-26 338.70 65.39 55.33
2016-03-26 327.75 62.34 53.74
2015-12-27 316.79 59.29 52.16
2015-06-28 297.58 56.40 46.05
2015-03-28 293.14 52.88 46.63
2014-12-28 288.69 49.36 47.21
2014-09-28 287.31 36.33 69.20
2014-06-29 281.42 29.72 81.19
2014-03-29 274.12 23.64 79.19
2013-12-29 266.82 17.57 77.19
2013-09-29 262.81 20.30 61.96
2013-06-30 258.81 23.02 46.72
2013-03-31 249.66 26.97 43.97
2012-12-30 240.52 30.91 41.22
2012-09-30 230.47 30.12 39.08
2012-06-24 220.42 29.33 36.94

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Whilst Domino's Pizza Group made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.
  • Domino's Pizza Group used its assets more efficiently than the GB Hospitality industry average last year based on Return on Assets.
  • Domino's Pizza Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).
X
Past performance checks
We assess Domino's Pizza Group's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Hospitality industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Domino's Pizza Group has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

DOM Health

 How is Domino's Pizza Group's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Domino's Pizza Group's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Domino's Pizza Group's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
  • Domino's Pizza Group's long term commitments exceed its cash and other short term assets.
Balance sheet
This treemap shows a more detailed breakdown of Domino's Pizza Group's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • High level of physical assets or inventory.
  • Debt is not covered by short term assets, assets are 0.4x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Domino's Pizza Group Company Filings, last reported 4 months ago.

LSE:DOM Past Debt and Equity Data
Date (Data in GBP Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-30 2.50 228.10 24.80
2018-09-30 2.50 228.10 24.80
2018-07-01 52.70 214.60 18.50
2018-04-01 52.70 214.60 18.50
2017-12-31 64.50 118.20 29.00
2017-09-30 64.50 118.20 29.00
2017-06-25 99.57 94.02 33.06
2017-03-25 99.57 94.02 33.06
2016-12-25 107.20 57.70 23.10
2016-09-25 107.20 57.70 23.10
2016-06-26 107.97 28.76 17.87
2016-03-26 107.97 28.76 17.87
2015-12-27 97.68 12.44 52.86
2015-06-28 86.01 10.93 30.13
2015-03-28 86.01 10.93 30.13
2014-12-28 73.40 22.79 33.74
2014-09-28 73.40 22.79 33.74
2014-06-29 66.56 47.35 43.61
2014-03-29 66.56 47.35 43.61
2013-12-29 60.15 47.25 31.60
2013-09-29 60.15 47.25 31.60
2013-06-30 68.31 50.38 22.55
2013-03-31 68.31 50.38 22.55
2012-12-30 70.33 49.59 21.98
2012-09-30 70.33 49.59 21.98
2012-06-24 63.70 44.69 23.63
  • Domino's Pizza Group's level of debt (9124%) compared to net worth is high (greater than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (78.4% vs 9124% today).
  • Debt is well covered by operating cash flow (37.6%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 24.8x coverage).
X
Financial health checks
We assess Domino's Pizza Group's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Domino's Pizza Group has a total score of 2/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

DOM Dividends

 What is Domino's Pizza Group's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
4.09%
Current annual income from Domino's Pizza Group dividends. Estimated to be 4.72% next year.
If you bought £2,000 of Domino's Pizza Group shares you are expected to receive £82 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Domino's Pizza Group's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.98%).
  • Domino's Pizza Group's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.3%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
LSE:DOM Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 10 Analyst Estimates (S&P Global) See Below
United Kingdom of Great Britain and Northern Ireland Hospitality Industry Average Dividend Yield Market Cap Weighted Average of 32 Stocks 3.2%
United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield Market Cap Weighted Average of 706 Stocks 4.3%
United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield 10th Percentile 1%
United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield 25th Percentile 2%
United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield 75th Percentile 5.3%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

LSE:DOM Future Dividends Estimate Data
Date (Data in £) Dividend per Share (annual) Avg. No. Analysts
2023-12-31 0.15 1.00
2022-12-31 0.13 2.00
2021-12-31 0.12 9.00
2020-12-31 0.11 11.00
2019-12-31 0.10 11.00
2018-12-31 0.10 11.00
LSE:DOM Past Annualized Dividends Data
Date (Data in £) Dividend per share (annual) Avg. Yield (%)
2019-03-18 0.095 3.824
2019-03-12 0.095 4.127
2018-03-19 0.090 3.085
2018-03-08 0.090 2.762
2017-07-25 0.083 2.642
2017-03-20 0.080 2.611
2017-03-09 0.080 2.401
2016-03-16 0.069 1.962
2016-03-03 0.069 2.032
2015-03-19 0.058 1.958
2015-02-26 0.058 2.313
2014-07-29 0.055 2.640
2014-02-28 0.053 2.980
2014-02-27 0.053 2.841
2013-07-30 0.050 2.710
2013-02-25 0.048 2.306
2012-02-15 0.041 2.477
2011-02-15 0.038 2.585
2010-07-12 0.030 1.866
2010-02-26 0.028 2.406
2010-02-16 0.028 2.502
2009-07-20 0.023 2.455

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Domino's Pizza Group's earnings are paid to the shareholders as a dividend.
  • Dividends paid are not well covered by earnings (1.1x coverage).
Future Payout to shareholders
  • Dividends after 3 years are expected to be covered by earnings (1.7x coverage).
X
Income/ dividend checks
We assess Domino's Pizza Group's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Domino's Pizza Group afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Domino's Pizza Group has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

DOM Management

 What is the CEO of Domino's Pizza Group's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
David Wild
COMPENSATION £699,000
AGE 63
TENURE AS CEO 5.1 years
CEO Bio

Mr. David James Wild has been Chief Executive Officer and Executive Director at Domino's Pizza Group plc since April 30, 2014 and November 14, 2013 respectively. Mr. Wild served as President of Wal-Mart Germany and Managing Director of Wal-Mart Germany at Wal-Mart Stores, Inc. since September 2005. He served as Chief Executive Officer of Halfords Group plc at Halfords Autocentres Ltd. since August 4, 2008 until July 2012. He served as Interim Chief Executive Officer of Domino's Pizza Group plc since January 31, 2014 until April 2014. He held senior roles at Walmart Stores Inc., Tesco Stores plc and RHM Foods Limited. He serves as Non-Executive Director of Bankers' Investment Trust. He has been Director of The Bankers Investment Trust PLC. since February 26, 2014. He has been a Senior Independent Non-Executive Director of Ten Entertainment Group plc since April 12, 2017 and its Non-executive Director since March 15, 2017. He serves as Senior Independent Non-Executive Director at Essenden Limited. He serves as Director of Domino's Pizza UK and Ireland Limited. He served as a Non-Executive Director of Multi-Channel Consultancy Practicology Limited. He served as Director of Halfords Group plc since August 4, 2008 until July 18, 2012. He served as Non Executive Director of Premier Foods plc since Match 7, 2011 until May 1, 2014 and served as its Senior Independent Director since April 25, 2013 until May 1, 2014. Mr. Wild served as Senior Independent Director of Domino's Pizza Group plc since December 2013 until January 31, 2014.

CEO Compensation
  • David's compensation has been consistent with company performance over the past year, both up more than 20%.
  • David's remuneration is lower than average for companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure

Average tenure and age of the Domino's Pizza Group management team in years:

2.3
Average Tenure
50
Average Age
  • The tenure for the Domino's Pizza Group management team is about average.
Management Team

David Wild

TITLE
CEO & Executive Director
COMPENSATION
£699K
AGE
63
TENURE
5.1 yrs

David Bauernfeind

TITLE
CFO & Executive Director
COMPENSATION
£333K
AGE
50
TENURE
0.6 yrs

Scott Bush

TITLE
Operations Director
TENURE
0.6 yrs

Barry Wiech

TITLE
Chief Information Officer
TENURE
2 yrs

Peregrine Riviere

TITLE
Head of Investor Relations

Nina Arnott

TITLE
Head of Communications

Tony Holdway

TITLE
Sales & Marketing Director
TENURE
2.7 yrs

Nadine Wyncoll

TITLE
Human Resources Director
TENURE
2.9 yrs

Simon Wallis

TITLE
International Managing Director
AGE
46
TENURE
0.6 yrs

Brian Trier

TITLE
Group Managing Director of Germany
TENURE
5.8 yrs
Board of Directors Tenure

Average tenure and age of the Domino's Pizza Group board of directors in years:

5
Average Tenure
58.5
Average Age
  • The tenure for the Domino's Pizza Group board of directors is about average.
Board of Directors

Stephen Hemsley

TITLE
Non-Executive Chairman
COMPENSATION
£237K
AGE
60
TENURE
11.3 yrs

David Wild

TITLE
CEO & Executive Director
COMPENSATION
£699K
AGE
63
TENURE
5.5 yrs

Colin Halpern

TITLE
Non-Executive Vice Chairman
COMPENSATION
£171K
AGE
81
TENURE
11.4 yrs

David Bauernfeind

TITLE
CFO & Executive Director
COMPENSATION
£333K
AGE
50
TENURE
0.6 yrs

Kevin Higgins

TITLE
Non-Executive Director
COMPENSATION
£60K
AGE
55
TENURE
4.7 yrs

Ian Bull

TITLE
Non-Executive Director
AGE
57
TENURE
0.1 yrs

Helen Keays

TITLE
Senior Independent Director
COMPENSATION
£60K
AGE
53
TENURE
3.1 yrs

Ebbe Jacobsen

TITLE
Non-Executive Director
COMPENSATION
£50K
AGE
69
TENURE
5.3 yrs
Who owns this company?
Recent Insider Trading
  • No 3 month insider trading information.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price (£) Value (£)
X
Management checks
We assess Domino's Pizza Group's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Domino's Pizza Group has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

DOM News

Simply Wall St News

Here's What You Should Know About Domino's Pizza Group plc's (LON:DOM) 3.7% Dividend Yield

Could Domino's Pizza Group plc (LON:DOM) be an attractive dividend share to own for the long haul? … LSE:DOM Historical Dividend Yield, May 14th 2019 Payout ratios Companies (usually) pay dividends out of their earnings. If a company is paying more than it earns, the dividend might have to be cut. As a result, we should always investigate whether a company can afford its dividend, measured as a percentage of a company's net income after tax. Domino's Pizza Group paid out 92% of its profit as dividends, over the trailing twelve month period. This is quite a high payout ratio that suggests the dividend is not well covered by earnings. In addition to comparing dividends against profits, we should inspect whether the company generated enough cash to pay its dividend. Domino's Pizza Group paid out 78% of its cash flow last year. This may be sustainable but it does not leave much of a buffer for unexpected circumstances. Is Domino's Pizza Group's Balance Sheet Risky? As Domino's Pizza Group's dividend was not well covered by earnings, we need to check its balance sheet for signs of financial distress. A rough way to check this is with these two simple ratios: a) net debt divided by EBITDA (earnings before interest, tax, depreciation and amortisation), and b) net interest cover. … Dividend Growth Potential While dividend payments have been relatively reliable, it would also be nice if earnings per share (EPS) were growing, as this is essential to maintaining the dividend's purchasing power over the long term. It's good to see Domino's Pizza Group has been growing its earnings per share at 24% a year over the past 5 years. Earnings per share have been growing very rapidly, although the company is also paying out virtually all of its profit in dividends. While EPS could grow fast enough to make the dividend sustainable, in this type of situation, we'd want to pay extra attention to any fragilities in the company's balance sheet. Conclusion Dividend investors should always want to know if a) a company's dividends are affordable, b) if there is a track record of consistent payments, and c) if the dividend is capable of growing.

Simply Wall St -

Domino's Pizza Group plc (LON:DOM) Earns A Nice Return On Capital Employed

Specifically, we'll consider its Return On Capital Employed (ROCE), since that will give us an insight into how efficiently the business can generate profits from the capital it requires. … Return On Capital Employed (ROCE): What is it? … ROCE measures the amount of pre-tax profits a company can generate from the capital employed in its business.

Simply Wall St -

Domino's Pizza Group plc (LON:DOM): Immense Growth Potential?

After Domino's Pizza Group plc's (LON:DOM) earnings announcement on 30 December 2018, … with earnings expected to grow by a high double-digit of 56% in the upcoming year,

Simply Wall St -

Does Domino's Pizza Group plc's (LON:DOM) Stock Price Account For Its Growth?

Domino's Pizza Group plc (LON:DOM) is considered a high growth stock. … See our latest analysis for Domino's Pizza Group? … Domino's Pizza Group is poised for significantly high earnings growth in the near future

Simply Wall St -

Domino's Pizza Group plc (LON:DOM): Poised For Long-Term Success?

The most recent earnings release Domino's Pizza Group plc's (LON:DOM) announced in December 2018a

Simply Wall St -

Calculating The Intrinsic Value Of Domino's Pizza Group plc (LON:DOM)

by taking the expected future cash flows and discounting them to their present value. … Discounted Cash Flows (DCF) … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model.

Simply Wall St -

Does Domino's Pizza Group plc (LON:DOM) Have A Place In Your Portfolio?

The company currently pays out a dividend yield of 3.2% to shareholders, making it a relatively attractive dividend stock. … Does Domino's Pizza Group tick all the boxes of a great dividend stock? … See our latest analysis for Domino's Pizza Group?

Simply Wall St -

Despite Its High P/E Ratio, Is Domino's Pizza Group plc (LON:DOM) Still Undervalued?

We'll show how you can use Domino's Pizza Group plc's (LON:DOM) P/E ratio to inform your assessment of the investment opportunity. … Domino's Pizza Group has a price to earnings ratio of 18.08, based on the last twelve months. … Price to Earnings Ratio = Share Price ÷ Earnings per Share (EPS)

Simply Wall St -

Is Domino's Pizza Group plc (LON:DOM) Undervalued After Accounting For Its Future Growth?

Domino's Pizza Group plc (LON:DOM) is considered a high growth stock. … However its last closing price of £2.267 left investors wondering whether this growth has already been factored into the share price. … Investors in Domino's Pizza Group have been patiently waiting for the uptick in earnings.

Simply Wall St -

Will Domino's Pizza Group plc's (LON:DOM) Earnings Grow In The Next 12 Months?

After Domino's Pizza Group plc's (LON:DOM) earnings announcement in July 2018,. … the higher past 5-year average growth rate of 21%

Simply Wall St -

DOM Company Info

Description

Domino's Pizza Group plc owns, operates, and franchises Domino’s Pizza stores in the United Kingdom, the Republic of Ireland, Switzerland, Germany, Iceland, Norway, and Sweden. It also leases properties; and leases store equipment to franchisees. The company operates 1,261 stores in the six European markets. The company was formerly known as Domino's Pizza UK & IRL plc and changed its name to Domino's Pizza Group plc in May 2012. Domino's Pizza Group plc was founded in 1960 and is headquartered in Milton Keynes, the United Kingdom.

Details
Name: Domino's Pizza Group plc
DOM
Exchange: LSE
Founded: 1960
£1,068,359,149
460,102,993
Website: http://corporate.dominos.co.uk
Address: Domino's Pizza Group plc
1 Thornbury,
West Ashland,
Milton Keynes,
Buckinghamshire, MK6 4BB,
United Kingdom
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
LSE DOM Ordinary Shares London Stock Exchange GB GBP 24. Nov 1999
OTCPK DMPZ.F Ordinary Shares Pink Sheets LLC US USD 24. Nov 1999
DB DKOB Ordinary Shares Deutsche Boerse AG DE EUR 24. Nov 1999
BATS-CHIXE DOML Ordinary Shares BATS 'Chi-X Europe' GB GBP 24. Nov 1999
OTCPK DPUK.Y UNSPONSORED ADR Pink Sheets LLC US USD 01. Aug 2011
Number of employees
Current staff
Staff numbers
4,067
Domino's Pizza Group employees.
Industry
Restaurants
Consumer Services
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/05/23 21:16
End of day share price update: 2019/05/23 00:00
Last estimates confirmation: 2019/05/22
Last earnings filing: 2019/03/18
Last earnings reported: 2018/12/30
Last annual earnings reported: 2018/12/30


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.