Domino’s Pizza just downgraded at Piper Sandler, here’s why

Piper Sandler analyst Brian Mullan downgraded Domino’s Pizza to Neutral from Overweight with a price target of $400, down from $401. This is a valuation and risk/reward based downgrade as Piper is not negative on the business or the company’s strategy, the analyst tells investors in a research note. While it is likely true that Domino’s is one of the only restaurant concepts that is likely to have accelerating domestic same-store-sales and unit growth next year, this dynamic is very well understood at this point, and is also arguably priced into the shares at current levels, says the firm.