Robbins LLP is Investigating Allegations that Domino's Pizza, Inc. (DPZ) Misled Investors Regarding its Growth Projections

Robbins LLP informs investors that a shareholder filed a class action on behalf of all persons and entities who purchased or otherwise acquired Domino's Pizza, Inc. (NYSE: DPZ) securities between December 7, 2023 and July 17, 2024. Domino’s, through its subsidiaries, operates as a global pizza company that offers pizzas and other food products under the Domino’s brand name through Company-owned and franchised stores.

The Allegations

According to the complaint, during the class period, defendants failed to disclose that: (i) DPE, the Company’s largest master franchisee, was experiencing significant challenges with respect to both new store openings and closures of existing stores; (ii) as a result, Domino’s was unlikely to meet its own previously issued long-term guidance for annual global net store growth; and (iii) accordingly, Domino’s business and/or financial prospects were overstated.

On July 18, 2024, Domino’s issued a press release announcing its Q2 2024 financial results.  Among other items, Domino’s disclosed that it “expects it will fall 175 to 275 stores below its 2024 goal of 925+ net stores in international primarily as a result of challenges in both openings and closures being faced by Domino’s Pizza Enterprises (‘DPE’), one of its master franchisees.”  Accordingly, “[t]he Company is temporarily suspending its guidance metric of 1,100+ global net stores until the full effect of DPE’s store opens and closures on international net store growth are known.” On this news, Domino’s stock price fell $64.23 per share, or 13.57%, to close at $409.04 per share on July 18, 2024.

What Now: Shareholders who own Domino's Pizza, Inc. stock have legal options. Submit a form to speak with an attorney.

All representation is on a contingency fee basis. Shareholders pay no fees or expenses.