Cowen and Company upgraded the stock to "outperform" from "market perform"
The shares of Domino's Pizza, Inc. (NYSE:DPZ) are up 3.3% at $401.74 at last check, after Cowen and Company upgraded the stock to "outperform" from "market perform," and hiked its price-target to $450 from $445. The firm cited the company's proactive measures, believing earnings will increase in the next couple years. Additionally, the analyst in coverage noted that the pizza name's valuation is "attractive on a total return basis."
Today's pop has DPZ contending with its 30-day moving average, a trendline it dipped below earlier this month. Up 35.7% year-to-date, the equity is still on track for a monthly loss after the last two months in the black.
On the analyst front, 11 out of the 19 analysts in coverage sport a "buy" or better rating, with the remaining eight at a tepid "hold." Meanwhile, the 12-month consensus price target of $429.96 is a 7.6% premium to current levels.
Options look like a good way to go when weighing in on DPZ. The security's Schaeffer's Volatility Index (SVI) of 34% sits in the 19th percentile of its annual range, suggesting short-term options are pricing in relatively low volatility expectations. In other words, the stock's near-term options are attractively priced at the moment.