Domino’s Pizza price target raised to $510 from $500 at Stifel

Stifel analyst Chris O’Cull raised the firm’s price target on Domino’s Pizza (DPZ) to $510 from $500 and keeps a Buy rating on the shares. The firm notes Domino’s reported soft Q1 comparable sales, which reflected the broader choppiness experienced across the restaurant industry during the quarter. The company maintained its full-year guidance, which already anticipated a tough macro environment, while acknowledging that worsening conditions could impact its ability to fully deliver on 3% domestic SRS growth. Despite the softness, Stifel was encouraged by the company seeing strong relative responses to its Parmesan Stuffed Crust launch and solid slate of value promotions, and believes Domino’s Pizza is among the restaurant companies best-positioned to outperform in a value-centric consumer environment as evidenced by the improving two-year stack in both delivery and carryout comps.