A look at Dominos Pizza Inc. — Does Dominos Really Deliver?
Dominos Pizza Inc. ($DPZ) averages are at $59.12 (21 day SMA), $56.88 (50 day SMA), $46.73 (200 day SMA). Over the past 52 weeks DPZ has traded from a low of $29.01 to a high of $61.24. DPZ was last at $58.72 on a volume of 279,536. Average daily volume has been at 893,289.Dominos Pizza has been trending higher for about a year, turning up after a breakout in late June 2012. Look at the chart for an analysis of the rare ideal buy points.
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Note how the stock has only occasionally tagged the 50-day moving average. Back in November through January 2013, the trend was so strong that it completely ignored this key moving average. But since that time, we’ve seen only three instances when DPZ has hit the 50-day moving average. Buying any of those pullbacks would have been a real money maker.
Well, the most recent buy point was on Monday the stock fell below the 50-day moving average and tested $56. Now, with the stock up at $58.75,, there’s still time to buy if you’re interested in holding the stock for a while. The stock is fairly priced, with a growth rate of 27%, and a P/E of 27. That’s a good value on a stock that’s trending higher.
If you do choose to buy,l just keep a stop beneath $55. If your stop is hit, then the stock is probably going to pull back even more.
Domino’s Pizza, Inc.through its subsidiaries is engaged in retail sales of food through Domino’s Pizza stores; sales of equipment and supplies to Domino’s Pizza stores and receipt of royalties from domestic and international Domino’s Pizza franchisees.
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