CluenexDomino's Pizza DPZ
Domino's Pizza scores good on business quality (6.1 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Domino's Pizza does
Domino's Pizza operates a global network of franchise and company-owned stores, generating revenue through supply chain sales to franchisees and store royalties. The new leadership is pushing operational changes to target stronger cash flow starting in 2027.
- What it does best
Domino's dominates quick-service pizza delivery through a tightly integrated digital ordering platform and supply chain, generating a gross margin of 40.0% that outpaces peer DRI's 21.7%.
- The main risk
High leverage poses the primary structural risk, with total debt at $4.8B creating a heavy debt load that leaves little margin for error if store traffic stalls.
Quality, check by check
Scored against its own industry, from company filings.
Operating margin stands at 19.3% with an FCF margin in the top quartile at the 75th percentile, driving efficient profit conversion as scale increases.
The franchise model locks in store operators through exclusive supply chain reliance, supported by an operating margin ranking in the top quartile of its sector at the 77th percentile.
Revenue grew at 5.0% to reach $5.0B, reflecting a slower pace compared to historical multi-year expansion trends.
Interest coverage sits at 4.9x, meaning earnings cover debt costs adequately while free cash flow reached $654.0M, showing a softer balance sheet overall.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
1 sold $4.0M outside pre-planned sales.
Our sealed record on DPZ
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Domino's Pizza scores good on the Cluenex quality check (6.1 of 10), measured against its own industry. Profitability is fair, moat strong, growth slow and financial health fair.
In the last 90 days of SEC Form 4 filings: 1 sold $4.0M outside pre-planned sales.
Oct 13, 2026, before the open.
See DPZ today
- Today's verdict on DPZ, and why
- Fair value with cautious, base and optimistic cases
- The exact price that would change the verdict
- Which stocks each signal names, the night it fires
Cite this page: Cluenex, “Domino's Pizza (DPZ)”, https://cluenex.com/stocks/dpz/, data as of Oct 10, 2026.