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Fly News Breaks for July 26, 2017
DPZ
Jul 26, 2017 | 08:13 EDT
Goldman analyst Karen Holthouse said Domino's Pizza (DPZ) weakness following Q2 results is a buying opportunity given a strong secular growth story and "overblown" concerns about new delivery channels. The analyst said UK, international comps show a reduced slowdown and the UK has Amazon (AMZN) echo ordering, GPS tracking, and a value push in the fall that should drive a reacceleration. Further, Holthouse doe not view other delivery alternatives as a "tipping point" of a slowdown given greater population density in the UK. The analyst expects Domino's margin trends to improve from here and raised his price target to $223 from $216 and reiterates a Buy rating on shares.
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