Domino's Fair Value
DP
The fair market value of DPZ stock is 483.53 USD. Relative to the market price of 411.71 USD Domino's Pizza is undervalued by 17.4%
Eyestock's quantitative valuation approach is based on the method of estimating historical multipliers. To determine whether a stock is undervalued, we compare its current price to our estimated of fair value. The more undervalued a stock is, the more investment is profitable.
Fair Relative Value
Domino's Valuation
Current DPZ share ticker price is 411.71 USD.
The fair value level of 483.53 USD can be considered as an effective entry point for long-term investors to start investing in DPZ stock. For a more in-depth assessment, we provide a minimum value that can be used to increase a stock position and a maximum one that can be used to reduce it.
Price chart is not available
Current market price
Current price is 17% lower its fair value
Current price is 3% lower its minimum value
Current price is 38% lower its maximum value
Market price:
DPZ stock is greatly undervalued
It means the current price may concern as a Low Risk Entry Point
Domino's Pizza Inc Stock Valuation Calculator
How do we value a stock?
As fair value, we use the product of the median Price-to-earnings ratios at the end of each reporting period for the last 5 years and earnings per share for the last 12 months. By analogy with the fair value, we calculate the maximum and minimum ones using the corresponding P/E extremums.
1
Maximum P/E over 5 years
34.63
2
Median P/E over 5 years
29.48
3
Minimum P/E over 5 years
25.84
4
Earning per share (last 12 months)
16.4 USD
Maximum value
1
x
4
=
567.89 USD
Fair value
2
x
4
=
483.53 USD
Minimum value
3
x
4
=
423.85 USD
Domino's Pizza Inc price metrics
10.5
Annual return (geometric mean)
32.4
Risk (standard deviation) of returns
β
0.9
Beta (volatility compared to market)