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Domino's Pizza Continues to Expand, Opens Store in Mauritius

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In an effort to expand its footprint globally and gain market share, Domino's Pizza, Inc. (DPZ - Free Report) has announced the opening of its first store in Port Louis, Mauritius. The store opening was accomplished through a partnership with Island Living — a Mauritius master franchisee.

As Domino’s earns a chunk of its revenues from outside the United States, the company remains committed to fortifying its presence in international markets. The company said that it plans to open the second store in Mauritius later this year.

International Expansions Continues to Drive Growth

Domino’s international growth continues to be strong and diversified across markets, courtesy of exceptional unit level economics. Notably, the third quarter of 2018 marked the 99th consecutive quarter of positive same-store sales in its international business. Domino’s opened 829 and 173 net new stores in international markets during 2017 and third-quarter 2018, respectively.

Furthermore, many international franchisees continue generating robust returns. Apart from the established markets such as Canada, Japan, Italy, the U.K., Ireland, Switzerland and South Korea, the emerging markets like Brazil, China, Indonesia and Turkey have been posting solid growth. Australia, Russia, New Zealand, and Saudi Arabia are also gaining momentum. In South Africa and Germany, the company has completed the conversion of Pizza Sprint stores to Domino's stores. This should further drive revenues.

Meanwhile, India remains a market with immense growth potential. In fact, Domino’s India operations are one of the fastest growing operations in its global system. Moreover, the company’s entry into Slovakia and Malta is proof of its ever-expanding base.

Stock Performance

This Zacks Rank #3 (Hold) stock is riding high on robust earnings history, positive same-store sales, international expansion and sales building initiatives. As a result, shares of the company have gained 50.3% in a year’s time, outperforming the industry’s 12.1% growth.

Key Picks

Some better-ranked stocks in the same space are Dunkin' Brands Group, Inc. , Dave & Buster's Entertainment, Inc. (PLAY - Free Report) and BJ's Restaurants, Inc. (BJRI - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Dunkin' Brands Group has an impressive long-term earnings growth rate of 12.4%.

Dave & Buster's Entertainment delivered positive earnings surprise in each of the trailing four quarters, the average beat being 13.7%.

BJ's Restaurants reported better-than-expected earnings over the preceding four quarters, the average beat being 33.2%.

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