Business
from24/7 Wall St.
3 days agoShould Investors Be Cautious About Domino's Pizza Stock?
Domino's Pizza faces significant stock price pressure and margin compression amid increased competition and declining consumer sentiment.
Restaurants' delivery sales jumped by 7.6% year-on-year in October as consumers continued a long-term move towards direct-to-door orders, CGA by NIQ's latest Hospitality at Home Tracker reveals. The comparison is the strongest of the year so far on a like-for-like basis, and a welcome boost for managed restaurant groups after a challenging 2025 for dine-in sales. The figure is exactly double the UK's rate of inflation in October, as measured by the Consumer Prices Index. Growth in deliveries was in sharp contrast to takeaway and click-and-collect orders, which fell 5.1% from October 2024-one of the worst figures of the year, as consumers' steady move away from picking up food went on.
DoorDash has effectively dominated the restaurant delivery market in the U.S. with a two-thirds share, significantly boosted by its strategic suburban expansion during the Covid-19 pandemic.