Domino's Pizza Enterprises Ltd
ASX:DMP

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Domino's Pizza Enterprises Ltd
ASX:DMP
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Price: 16.31 AUD -0.97% Market Closed
Market Cap: AU$1.5B

P/FCFE

-10.7
Current
25%
Cheaper
vs 3-y average of -14.2

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
-10.7
=
Market Cap
AU$1.5B
/
Free Cash Flow to Equity
AU$-141.6m

Price to Free Cash Flow to Equity (P/FCFE) ratio compares a company`s market value to the free cash flow available to its shareholders. It`s similar to the P/OCF ratio but more precise, since it accounts for capital expenditures deducted from operating cash flow.

P/FCFE
-10.7
=
Market Cap
AU$1.5B
/
Free Cash Flow to Equity
AU$-141.6m

Valuation Scenarios

Domino's Pizza Enterprises Ltd is trading above its 5-year average

If P/FCFE returns to its 5-Year Average (14.7), the stock would be worth AU$-22.53 (238% downside from current price).

Statistics
Positive Scenarios
0/3
Maximum Downside
-309%
Maximum Upside
No Upside Scenarios
Average Downside
272%
Scenario P/FCFE Value Implied Price Upside/Downside
Current Multiple -10.7 AU$16.31
0%
5-Year Average 14.7 AU$-22.53
-238%
Industry Average 22.3 AU$-34.15
-309%
Country Average 18.1 AU$-27.65
-269%

Forward P/FCFE
Today’s price vs future free cash flow to equity

Not enough data available to calculate forward P/FCFE

Peer Comparison

All Multiples
P/FCFE
P/E
All Countries
Close
Market Cap P/FCFE P/E
AU
Domino's Pizza Enterprises Ltd
ASX:DMP
1.5B AUD -10.7 25.4
US
McDonald's Corp
NYSE:MCD
204.1B USD 28.7 23.8
US
Starbucks Corp
NASDAQ:SBUX
120.6B USD 57.3 88.1
UK
Compass Group PLC
LSE:CPG
44.8B GBP 0.2 0.3
US
Chipotle Mexican Grill Inc
NYSE:CMG
43B USD 29.7 28
US
Yum! Brands Inc
NYSE:YUM
43.9B USD 25.3 28.1
CA
Restaurant Brands International Inc
NYSE:QSR
27.7B USD 75.8 35.7
IN
Eternal Ltd
NSE:ETERNAL
2.2T INR -117.7 973.2
US
Darden Restaurants Inc
NYSE:DRI
22.3B USD 21.5 20.2
JP
Friendly Corp
TSE:8209
2.9T JPY 279.2 -6.5

Market Distribution

Lower than 100% of companies in Australia
Percentile
0th
Based on 1 160 companies
0th percentile
-10.7
Low
0.2 — 12.5
Typical Range
12.5 — 35.6
High
35.6 —
Distribution Statistics
Australia
Min 0.2
30th Percentile 12.5
Median 18.1
70th Percentile 35.6
Max 5 049.1

Domino's Pizza Enterprises Ltd
Glance View

In the bustling world of global pizza chains, Domino's Pizza Enterprises Ltd stands out as a formidable player, primarily known as the largest franchisee of the Domino's brand. Originating from the humble beginnings in Australia, it has expanded its reach across several continents, including Europe and Asia-Pacific. The company's growth trajectory is marked by its strategic emphasis on delivering a consistent and convenient customer experience, both through its traditional delivery model and a rapidly evolving digital infrastructure. This dual-channel approach, bolstered by technological innovations such as user-friendly mobile apps and efficient online ordering systems, has allowed it to capture significant market share. By continually refining its delivery logistics and adapting to local tastes, Domino's has managed to strike a balance between offering a standardized yet locally appealing product offering. The financial engine of Domino's Pizza Enterprises Ltd is powered by a blend of franchise and company-owned operations. The franchise model is a critical component of its business strategy, allowing for scalability with minimized capital expenditure. Through this model, the company earns revenue from franchise fees and a cut of sales, ensuring a steady income stream. On the other hand, its company-owned stores provide opportunities for higher margin returns, although they come with increased operational complexities and risks. As consumer preferences shift towards faster, more convenient dining options, Domino's continues to adapt, focusing on enhancing delivery efficiencies and integrating technological advancements, thus positioning itself to thrive in an ever-competitive food service industry.

DMP Intrinsic Value
23.67 AUD
Undervaluation 31%
Intrinsic Value
Price AU$16.31
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