Domino’s operates a premier, asset-light franchising model where over 98% of system-wide restaurants are operated by independent franchisees. This produces steady, recurring royalty streams with minimal capital intensity. The firm’s fully integrated domestic supply chain functions as an operational moat that provides franchisees with predictable food costs and fast delivery logistics and in turn cements unit-level profitability and incentivizing continued global store expansion.
Furthermore, the company’s leading digital ordering ecosystem, scale advantages in national advertising, and expanding presence on third-party aggregators provide strong customer acquisition tailwinds. The combination of consistent return on invested capital, aggressive share repurchases, and annual dividend growth creates a durable framework for compounding shareholder value.
DOMINO’S PIZZA (New York symbol DPZ; www.dominos.com) is the world’s largest chain of pizza stores offering takeout and delivery. The company operates 22,531 outlets, in the U.S. and 85 other countries. Franchisees run most of these stores.
Domino’s recently introduced a rectangular pie targeted at individual orders. The new pizza, called the Domino, is being championed by Domino’s incoming CEO Joe Jordan, who rose through the company’s innovation arm.
Market research shows that the percentage of consumers eating alone has been steadily growing in the U.S., with 43% of food-service meals eaten solo in the 12 months ended in June.
Domino’s new pizza is set to launch on August 31. The chain currently sells a small pizza, but the new Domino offering will come with higher-quality toppings and comes with a savory Parmesan crust. It resembles the Detroit-style pizza that has grown popular in recent years, and franchisees have to buy special pans to produce it.
A one-topping version will sell for around $7.99, or with two toppings as part of Domino’s mix-and-match menu for $6.99 each. It comes in its own box
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Domino’s Pizza’s aggressive share buybacks signal management confidence
In the three months ended June 14, 2026, the company’s sales rose 4.3%, to $1.19 billion from $1.15 billion a year earlier. Revenue rose due to higher supply chain revenues driven by increased store order volumes and higher food-basket pricing, along with higher global franchise royalties and advertising revenues. Same-store sales rose 0.1% in the U.S., while they fell 0.1% internationally. The pizza chain added 995 (net of closures) more restaurants over the last 12 months.
Earnings per share rose 3.6%, to $4.09 from $3.84.
All in all, the pandemic was a boon for top pizza chains as consumers avoided public spaces and instead opted for delivery and curbside pickup. That boosted Domino’s, which was already outpacing rivals given its commitment to tech-enabled carry-out and delivery. Meantime, those moves are still paying off.
Last year, Domino’s initiated its first rebrand in more than a decade, revamping some of its pizza boxes and introducing a new jingle. The company also rolled out its first stuffed-crust pizza and a partnership with DoorDash in an effort to boost sales as Americans pulled back on eating out.
In 2025, in its U.S. business, Domino’s gained another point of market share. The chain’s market share in QSR (quick service restaurant) pizza grew from 22.5% in 2024 to 23.3% in 2025. In fact, Domino’s has taken an additional 1% market share each year for the last 11 years.
During 2025, the company repurchased 785,280 shares for a total of $354.7 million.
Domino’s raised its quarterly dividend by 14.4% with the March 2026 payment, to $1.99 from $1.74. Its shares yield 2.7%.
All this bodes well for company profits and future share price gains for investors
Recommendation in Power Growth Investor: Domino’s Pizza is a buy.
