It's Time to Buy the Dip on Domino's Pizza Stock, Says Analyst

The firm cut its price target to $385, however

Deputy Editor
Oct 4, 2022 at 9:05 AM
facebook X logo linkedin


Shares of Domino's Pizza, Inc. (NYSE:DPZ) are up 3.3% at $326.99 premarket, following an upgrade from UBS. Though the analyst cut its price target on DPZ to $385 from $430, it raised its rating to "buy" from "neutral," saying the demand for pizza is strong and concerns for demand weakness are overblown. In its note, UBS cites several catalysts for the pizza chain, including "price increases on select promos, efforts to improve driver staffing shortages, and potential third-party delivery partnerships."

The majority of covering brokerages lean pessimistic, as 16 of 22 still rate Domino's pizza stock a "hold" or worse, which means additional bull notes could soon be on the way.

The options pits are similarly bearish. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), DPZ sports a 50-day put/call volume ratio of 1.11, which stands higher than 86% of other readings from the past year. In simpler terms, this implies a particular penchant for bearish bets amongst options traders.

Domino's Pizza stock tumbled briefly yesterday, touching a two-year low of $300.63, before the equity went on to bounce and turn in a victory. Today's pop, should it hold, will put the security back above the $320 area that acted as a floor back in May. Coming into today, DPZ was down 43.9% year-to-date.

 

Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls

 
 
 


 
 

Rainmaker Ads CGI