Buffett likes Domino’s

Article Excerpt

DOMINO’S PIZZA, $438.97 (New York symbol DPZ; TSINetwork Rating: Average) (www.dominos.com; Shares outstanding: 34.5 million; Market cap: $15.2 billion; Dividend yield: 1.4%), has a new, prominent investor. Warren Buffett’s Berkshire Hathaway added Domino’s Pizza to its stock portfolio last quarter. The famed investor’s conglomerate bought nearly 1.3 million shares of Domino’s, a 3.7% stake worth $549 million at the end of September. You need to remember that all investors suffer from the same limitation: nobody gets it right every time. But the stocks that Warren Buffett holds are like those we recommend in our newsletters. They are well-established companies with a history of earnings and, in most cases, dividends. They have established their value. They can fluctuate widely and they will, like most stocks, suffer in a long-term market downturn; still, they offer a high probability of long-term growth. Domino’s Pizza is a buy. buy…