1. Dominos Pizza Stock Pitch
March 21, 2016

2. Dominos Pizza Founded in 1960 in Ann Arbor, MI
Owns, operates, franchises restaurant chain and pizza delivery chain globally
CEO: J. Patrick Doyle
Revenue sources: Restaurant operations, franchise fees, fresh dough and other product operations
Introduction
Introduce the company you are pitching: what do they produce, who is their management (experienced?, vision), what are their main revenue sources, suppliers and consumers (supplier power, consumer power).

3. Domino’s Pizza Financials
Company’s stock chart
You can mention:
Current price
How has the stock performed over the past year (be ready to explain major fluctuations in the stock price)
52 week high/low
Beta of the stock
Current price: $131.17
52-week high: $ , 52-week low: $98.01
Beta: 0.64

4. Investment Thesis Industry leader in sales growth
Expanding domestically and abroad
Supply-chain revenue model insulates it from higher commodity prices
Revenue growth, strong cash-flow
Solid financial position with justified debt levels
Investment Thesis:
Why are you bullish on this stock?
How is your view differentiated from the market?
Provide few reasons for why the company will perform well in the future?
Google what a good investment thesis incorporates.
Can be in sentences /bullet points

5. Domino’s is the industry leader in an already fast growing market segrment
Use the next slide/slides to support your investment thesis.

6. Domino’s is taking advantage of lower gas prices and food poisoning concerns
Fast-food chains…often located near gasoline stations -- are getting the biggest benefit from lower prices, because they cater to lower-income customers who are seeing a bigger change in their monthly budgets and are more likely to spend their spare change. “It is the lower-income groups who are eating out more frequently and pushing the sales in those categories” – Darren Tristano, Technomic, Inc.
Source: Company website

8. Robust online and mobile infrastructure is positioned to make it a millennial favorite
Rollout of push-button ordering, including ordering by tweeting the pizza emoji to Domino’s account
The reason Doyle [Domino’s CEO] considers it an e-commerce site is because half of Domino’s sales are now digital. – Marketplace.org

9. Impressive EPS growth

10. Total industry spending has held steady, and Domino’s still has room to grow

11. Valuation Last quarter EPS * 4 * P/E = Target price
($1.18)(4)($38.02)=$179.45

12. Threats to Domino’s Pizza in the future
Concerns about valuation
Challenges to continued international expansion
Rising labor and technology costs
Highly levered capital structure
Threats
Outline some threats of why your investment thesis might not hold true.
Competition?
Earnings from abroad (be considerate about appreciating dollar)
Legal (very large market share?)
Bad product development?
High supplier power?

13. Conclusion
Domino’s is currently undervalued at $131/share; this analysis values it at $170/share
I recommend DPZ shares with a Buy rating and 12- month price target of $155 which implies 18% upside to the current share price
Long-term earnings growth is crucial
Conclusion
Sum up your investment thesis
Mention target buy and sell prices
Be ready to answer questions