Domino's Pizza Slips to 251st in Trading Volume Despite Stock Price Gain
1min read On April 29, 2025, domino's pizza (DPZ) experienced a significant decline in trading volume, with a total of $321 million in shares traded, marking a 54.07% decrease from the previous day. This decline placed domino's at the 251st position in terms of trading volume for the day. Despite this, the stock price of Domino's Pizza rose by 0.57%, marking the second consecutive day of gains and a total increase of 1.20% over the past two days.
Domino's Pizza reported its first-quarter 2025 financial results on April 28, 2025. The company's global retail sales growth increased by 4.7%, excluding the impact of foreign currency fluctuations. In the US, retail sales growth was 1.3%, driven by net store growth, while same-store sales declined by 0.5%. The carry-out business saw a 1% increase in comparable sales, while the delivery business experienced a 1.5% decrease. Domino's added 17 net new stores in the US, bringing the total to 7,031. Internationally, retail sales growth was 8.2%, with same-store sales increasing by 3.7%. However, the international net store count decreased by 25, primarily due to closures in Japan.
Domino's Pizza Inc. repurchased approximately 115,000 shares at an average price of $434, totaling $50 million. The remaining share repurchase authorization stands at $764 million. The company achieved market share gains in both the US and international markets despite consumer and industry headwinds. The launch of the Parmesan Stuffed Crust Pizza has been well-received, with high customer satisfaction scores and a strong mix of orders. The partnership with DoorDash is expected to significantly enhance delivery capabilities and is anticipated to be approximately 50% incremental. Domino's continues to drive value through national promotions and rewards programs, which have been effective in a challenging economic environment. The company has made strategic organizational changes to improve efficiency and align with its Hungry for MORE strategy, which is expected to drive long-term growth.
However, the company faces challenges such as a decline in same-store sales in the US, which decreased by 0.5% due to negative traffic and a decline in the delivery business. The delivery business continues to be impacted by macroeconomic pressures affecting low-income consumers. Net store growth in the US was modest, with only 17 net new stores added in the first quarter. International net store count decreased by 25 due to closures by Domino's Pizza Enterprises, primarily in Japan. The company also faces potential geopolitical pressures that could impact international sales and growth. During the earnings call, CFO Sandeep Reddy explained that the geopolitical pressure is more about the volatility in recent months, which could potentially impact demand and is factored into their guidance of 1% to 2% international sales growth for the year.
