Domino’s Pizza (NASDAQ:DPZ) reports first-quarter 2026 results on April 27, before the market opens. With the stock down nearly 11% year-to-date, this is a chance to quiet the skeptics and reset the narrative.
Easy Comps, High Stakes
Last quarter delivered a mixed but broadly constructive picture. Revenue came in at $1.535 billion, beating estimates by 1.23% and growing 6.4% year-over-year. EPS of $5.35 missed the consensus by just 0.68%, a marginal shortfall driven largely by U.S. company-owned store margin compression of 5.4 percentage points from higher insurance, labor, and food costs.
The more important signal was same-store sales. U.S. same-store sales accelerated to +3.7% in Q4 2025, compared to just +0.4% in the prior-year quarter. That momentum sets up a favorable comparison heading into Q1 2026. Q1 2025 posted U.S. same-store sales of -0.5%, meaning the bar for Q1 2026 is low. The board also approved a 15% dividend increase to $1.99 per quarter, declared February 18, 2026, reinforcing confidence in cash generation. Full-year free cash flow surged 31.2% to $671.5 million.
How DPZ Actually Performed in 2025
The table below shows Q1 2025 actuals as the year-over-year comparison base, alongside full-year 2025 results.
| Metric | Q1 2025 Actual (YoY Base) | Full Year 2025 Actual |
|---|---|---|
| Revenue | $1.112B | $4.94B |
| Diluted EPS | $4.33 | $17.57 |
| Revenue YoY Growth | +2.53% | +4.96% |
| U.S. Same-Store Sales | -0.5% | N/A |
| EPS vs. Estimate | Beat by +6.29% | N/A |
Same-Store Sales, Margins, and the DPC Dash Wildcard
U.S. same-store sales deserve the closest scrutiny above everything else. Against a -0.5% comp from Q1 2025, any positive number represents a meaningful acceleration. CEO Russell Weiner set the tone plainly after Q4: “It is our expectation that we will meaningfully increase our market share within a U.S. QSR pizza category that continues to grow.” The new brand campaign and revamped e-commerce platform, both launching in 2026, are the tools he’s betting on. Over 85% of U.S. retail sales already flow through digital channels, so a better digital experience should convert directly to order volume.
Margins remain the counterweight. Insurance, labor, and food inflation compressed company-owned store margins by 5.4 percentage points in Q4 2025, and those pressures have not eased meaningfully. Watch whether management signals any improvement in that line or flags further headwinds in the commentary.
One technical item worth flagging: the DPC Dash investment has distorted EPS in both directions across recent quarters. Q1 2025 EPS of $4.33 was boosted by $42.7 million in unrealized DPC Dash gains, making the year-ago comparison flattering on paper but operationally tricky to lap. Q3 2025 net income was hurt by $29.2 million in unrealized DPC Dash losses. Watch for this swing again in Q1 2026 results, and focus on operating income as the cleaner signal.
On the international side, Domino’s enters Q1 2026 on a remarkable streak. The company delivered its 32nd consecutive year of international same-store sales growth in 2025. Continuation of that streak would reinforce the global durability of the brand.
A Dividend Record That Demands Respect
The doubters are pointing at a stock that has fallen 21.12% over the past year and trades below its 200-day moving average of $420.27. The dividend story stands on its own merits. The quarterly payout has grown from $0.20 per quarter in 2013 to $1.99 today, representing a 5-year CAGR of 18.2% and a 10-year CAGR of 19.3%. The dividend record reflects a durable, cash-generating business. Analysts carry a consensus price target of $474.94 against a current price of $367.94, implying meaningful upside. 20 analysts rate the stock a buy versus just 2 sells. April 27 is the moment to back the confidence with results.
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