Zacks Investment Research lowered shares of Domino’s Pizza Inc. (NYSE:DPZ) from a hold rating to a sell rating in a research note released on Monday.

According to Zacks, “Domino's Pizza has considerable international presence and is thus highly vulnerable to fluctuations in exchange rates. Though the U.S. dollar weakened slightly in 2016 compared to the previous year, the negative currency impact is still significant and is likely to keep profits under pressure. In fact, the company expects foreign currency to have an $8 million to $12 million year-over-year impact on pretax earnings in 2016. Moreover, higher labor costs and expenses related to sales initiatives are likely to remain headwinds. Nonetheless, the company has been posting positive comps over the past several quarters, and its digital ordering system, focus on re-imaging and other sales initiatives are expected to help it sustain the momentum. However, soft consumer spending environment in the U.S. restaurant space raises concern.”

Other equities analysts have also issued reports about the company. Nomura upped their target price on Domino’s Pizza to $152.00 in a research note on Wednesday, October 19th. BTIG Research set a $195.00 target price on Domino’s Pizza and gave the company a buy rating in a research note on Wednesday, October 19th. Bank of America Corp. upgraded Domino’s Pizza from an underperform rating to a buy rating and upped their target price for the company from $150.31 to $175.00 in a research note on Friday, October 14th. Beaufort Securities reiterated a buy rating on shares of Domino’s Pizza in a research note on Thursday, October 13th. Finally, Peel Hunt reiterated a buy rating on shares of Domino’s Pizza in a research note on Thursday, October 13th. Two research analysts have rated the stock with a sell rating, nine have assigned a hold rating and eight have given a buy rating to the company’s stock. The company currently has a consensus rating of Hold and an average target price of $158.63.

Shares of Domino’s Pizza (NYSE:DPZ) opened at 166.04 on Monday. The firm has a market cap of $7.98 billion, a price-to-earnings ratio of 41.28 and a beta of 0.59. Domino’s Pizza has a 52-week low of $104.10 and a 52-week high of $172.62. The firm has a 50-day moving average price of $163.81 and a 200-day moving average price of $155.30.

Domino’s Pizza (NYSE:DPZ) last released its earnings results on Tuesday, October 18th. The company reported $0.96 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.90 by $0.06. The firm earned $566.70 million during the quarter, compared to analyst estimates of $339.32 million. Domino’s Pizza had a negative return on equity of 11.03% and a net margin of 8.55%. The business’s quarterly revenue was up 16.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.67 earnings per share. Analysts predict that Domino’s Pizza will post $4.25 EPS for the current fiscal year.

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Hedge funds and other institutional investors have recently modified their holdings of the stock. Nordea Investment Management AB acquired a new position in shares of Domino’s Pizza during the second quarter worth approximately $182,000. Oakbrook Investments LLC acquired a new position in shares of Domino’s Pizza during the second quarter worth approximately $667,000. Daiwa Securities Group Inc. acquired a new position in shares of Domino’s Pizza during the second quarter worth approximately $145,000. Shell Asset Management Co. acquired a new position in shares of Domino’s Pizza during the second quarter worth approximately $460,000. Finally, MSI Financial Services Inc increased its position in shares of Domino’s Pizza by 14.2% in the second quarter. MSI Financial Services Inc now owns 2,944 shares of the company’s stock worth $387,000 after buying an additional 366 shares in the last quarter. 90.89% of the stock is owned by hedge funds and other institutional investors.

About Domino’s Pizza

Domino’s Pizza, Inc is a pizza restaurant chain. The Company operates pizza stores at 12,500 locations in over 80 markets. It operates through three segments: domestic stores, international franchise and supply chain. Its Domestic Stores segment consists primarily of its franchise operations, through which it operates network of over 4,820 franchised stores located in the United States.

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