Innovation spurs these two restaurant stocks

Article Excerpt

During the pandemic, both Domino’s Pizza and Texas Roadhouse implemented savvy strategies to support their businesses. Now, going forward, we think each is well-positioned to capitalize on its popular offerings to keep attracting customers. Each stock also remains a buy. DOMINO’S PIZZA, $450.97 (New York symbol DPZ; TSINetwork Rating: Average) (www.dominos.com; Shares o/s: 34.8 million; Market cap: $15.8 billion; Yield: 1.3%), gives you exposure to the world’s largest chain of pizza stores offering takeout and delivery. The company (symbol DPZ on New York) operates 20,591 outlets, in the U.S. and 85 other countries. Franchisees run most of these stores. In the three months ended December 31, 2023, the company’s sales rose 0.8%, to $1.40 billion from $1.39 billion a year earlier. Same-store sales rose 2.8% in the U.S., while they rose 0.1% internationally. Excluding one-time items, earnings per share rose 1.1%, to $4.48 from $4.43. All in all, the pandemic was a boon for top pizza chains like Domino’s as consumers avoided public spaces and instead…