From Nasdaq: 2025-05-02 04:06:00

Warren Buffett’s Berkshire Hathaway invested in Domino’s Pizza (NASDAQ: DPZ) while unloading other equities last year. However, the pizza giant reported a decline in same-store sales in the U.S. International same-store sales were strong, up 3.7%. Domino’s is expanding delivery through partnerships with Uber (NYSE: UBER) and DoorDash (NASDAQ: DASH). The company plans to open 175 net new locations in the U.S. this year. Q1 results showed a revenue increase of 2.5% to $1.11 billion. Adjusted EPS rose 21% to $4.33. Domino’s stock is trading at a forward P/E ratio of over 28.

Overall, while Domino’s has growth opportunities, its valuation and high leverage ratio suggest the stock may be fairly valued at the moment. The company’s new third-party delivery partnerships could drive incremental growth. However, investors may want to wait for a pullback before investing in Domino’s Pizza. The Motley Fool Stock Advisor team did not include Domino’s Pizza in their list of the 10 best stocks to buy now. Stock Advisor has released its latest top 10 list, showcasing impressive returns for investors. For example, if you invested $1,000 at the time of their recommendation, you’d have $610,327 or $667,581 for Nvidia. Stock Advisor boasts a total average return of 882%, significantly outperforming the S&P 500’s 161%. Don’t miss out on these opportunities by joining Stock Advisor today for the latest recommendations. The Motley Fool, which provides these recommendations, has positions in and recommends Berkshire Hathaway, Domino’s Pizza, DoorDash, and Uber Technologies.



Read more at Nasdaq: Warren Buffett Favorite Domino’s Sees This as a Big Growth Driver, but Is the Stock a Buy?