Dominos Pizza Inc. [stckqut]DPZ[/stckqut] is currently on my Watch List and I have the company rated as a Good Company.
Wall Street analysts covering Dominos have a consensus target price of $198.75 on the stock. Target predictions might differ vastly from analyst to analyst. This target is applying estimates from analysts polled by Thomson Reuters.
Sell-side analysts are able to use multiple metrics in order to help calculate target price estimates. A widely used metric is a company’s price to earnings ratio. This calculation is derived from dividing the current share price by the projected earnings per share. Domino’s Pizza Inc currently has a P/E Ratio of 41.12.
Investors might also evaluate a company’s PEG or price to earnings growth ratio. The PEG ratio represents the ratio of the price to earnings to the anticipated future growth rate of the company. If a company has a PEG Ratio under one, it may be seen as undervalued. If a company has a PEG Ratio over one, it may represent that the company is overvalued. A PEG Ratio near one may be viewed as the fair market value. Currently, the company has a PEG Ratio of 1.85.
Looking at stock performance, Domino’s Pizza Inc shares have recently traded $10.27 away from the 50-day moving average of $182.03 and $18.23 away from the 200-day moving average of $174.07. The stock has been recently noted -0.64% off of the 52-week high of 193.53 and +61.84% off of the 52-week low of 118.82. Monitoring the stock price relative to moving averages and highs and lows for the year may help evaluate the value of the stock in the future.