Domino's Pizza GroupLSE:DOM -3.94%77 Gross Margin % is 45.49% as of Dec. 2025, which is 1% below its 10-year median of 46.11. GuruFocus rates LSE:DOM with a GF Score™ of 77/100 and a GF Value™ of £3.41 (Significantly Undervalued). The stock has 6 warning signs investors should review. Among 359 Restaurants companies, Domino's Pizza Group ranks better than 50.97% on this metric.
The historical rank and industry rank for Domino's Pizza Group's Gross Margin % or its related term are showing as below:
LSE:DOM'
s Gross Margin % Range Over the Past 10 Years
Min: 40.18 Med: 46.11 Max: 47.99
Current: 45.92
During the past 13 years, the highestGross Margin % of Domino's Pizza Group was 47.99%. The lowest was 40.18%. And the median was 46.11%.
LSE:DOM's Gross Margin % is ranked better than 50.97% of 359
companies
in the Restaurants industry
Industry Median: 45.71
vs LSE:DOM: 45.92
Domino's Pizza Group had a gross margin of 45.49% for the quarter that ended in Dec. 2025 => Durable competitive advantage
The 5-Year average Growth Rate of Gross Margin for Domino's Pizza Group was -0.20% per year.
Domino's Pizza Group (LSE:DOM) Gross Margin % Explanation
Warren Buffett believes that firms with excellent long term economics tend to have consistently higher margins.
Durable competitive advantage creates a high Gross Margin % because of the freedom to price in excess of cost. Companies can be categorized by their Gross Margin %
1. Greater than 40% = Durable competitive advantage
2. Less than 40% = Competition eroding margins
3. Less than 20% = no sustainable competitive advantage
Consistency of Gross Margin is key
Domino's Pizza Group had a gross margin of 45.49% for the quarter that ended in Dec. 2025 => Durable competitive advantage
Be Aware
If a company loses its competitive advantages, usually its gross margin declines well before its sales declines. Watching Gross Margin % and Operating Margin % closely helps avoid value trap situations.
Domino's Pizza Group Gross Margin % Related Terms
Domino's Pizza Group Gross Margin % Historical Data
* Premium members only.
The historical data trend for Domino's Pizza Group's Gross Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LSE:DOM vs MCD, SBUX, CMG: Gross Margin % Comparison
For the Restaurants subindustry, Domino's Pizza Group's Gross Margin %, along with its competitors' market caps and Gross Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Domino's Pizza Group Gross Margin % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Domino's Pizza Group's Gross Margin % distribution charts can be found below:
* The bar in red indicates where Domino's Pizza Group's Gross Margin % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
A positive Gross Profit is only the first step for a company to make a net profit. The gross profit needs to be big enough to also cover related labor, equipment, rental, marketing/advertising, research and development and a lot of other costs in selling the products.
Domino's Pizza Group (LSE:DOM) has a Gross Margin % of 45.49% as of Dec. 2025. Gross margin is the ratio of total gross profit to net sales. View historical data on Domino's Pizza Group and its competitors. This is near median its historical median of 46.11. Over the past decade, Domino's Pizza Group's Gross Margin % has ranged from 40.18 to 47.99. According to the industry distribution chart, Domino's Pizza Group ranks #176 out of 359 companies in the Restaurants industry, placing it in the top 49%.
Is Domino's Pizza Group's Gross Margin % too high?
Domino's Pizza Group's current Gross Margin % of 45.49% is near median its 10-year median of 46.11. Over the past 10 years, this metric has ranged from a low of 40.18 to a high of 47.99. The Restaurants industry median Gross Margin % is 45.71. Domino's Pizza Group's value of 45.49% is 0.5% below this industry median. Based on the distribution chart, Domino's Pizza Group ranks #176 out of 359 companies in the Restaurants industry, which is above the industry midpoint. Overall, Domino's Pizza Group has a GF Score™ of 77/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Domino's Pizza Group's Gross Margin % compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Domino's Pizza Group ranks #176 out of 359 companies for Gross Margin %. This puts Domino's Pizza Group in the upper half of its industry. The industry median Gross Margin % is 45.71. Domino's Pizza Group's value of 45.49% is 0.5% below this benchmark. Historically, Domino's Pizza Group's own Gross Margin % has ranged from 40.18 to 47.99 over the past decade. While the company's 10-year median is 46.11 vs. the industry median of 45.71, Domino's Pizza Group has consistently been below the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Gross Margin % for a Restaurants company?
The median Gross Margin % among Restaurants companies is 45.71, based on 359 companies in the industry. Companies in the top quartile (top 25%) have a Gross Margin % significantly above this median, while those in the bottom quartile fall well below. However, Gross Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Domino's Pizza Group's current Gross Margin % of 45.49% is 0.5% below the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Gross Margin % mean?
A high Gross Margin % can signal that a stock is expensive relative to its fundamentals. Gross margin is the ratio of total gross profit to net sales. View historical data on Domino's Pizza Group and its competitors. For the Restaurants industry, the median Gross Margin % is 45.71 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Domino's Pizza Group's current Gross Margin % is 45.49%, which is near median its own 10-year median of 46.11. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Domino's Pizza Group stock overvalued right now?
Based on GuruFocus' analysis, Domino's Pizza Group (LSE:DOM) is currently considered Significantly Undervalued. The stock's GF Value™ is £3.41, compared to a current price of £1.83 — trading 46.4% below its estimated fair value. The current Gross Margin % is 45.49%, which is near median its 10-year median of 46.11 and 0.5% below the Restaurants industry median of 45.71. Domino's Pizza Group's overall GF Score™ is 77/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Gross Margin % calculated?
Gross Margin % is calculated from a company's financial statements. For Domino's Pizza Group (LSE:DOM), the current Gross Margin % is 45.49% as of Dec. 2025. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Domino's Pizza Group (LSE:DOM) Overvalued in 2026?
Based on GuruFocus' analysis, Domino's Pizza Group stock appears to be undervalued.
The current stock price of £1.83 is trading 46.4% below its estimated GF Value™ of £3.41.
GuruFocus considers Domino's Pizza Group to be Significantly Undervalued.
Key valuation signals for LSE:DOM:
Gross Margin %: 45.49% (near median its 10-year median of 46.11)
GF Value™: £3.41 vs. price of £1.83 (46.4% below fair value)
Industry Position: 0.5% below the Restaurants median (#176 of 359)
No single metric tells the full story. See the LSE:DOM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Domino's Pizza Group PLC is the UK's pizza brand and a player in the Irish market. The company owns, operates and franchises Domino's stores in the UK and the Republic of Ireland. The company also has an associate investment in Germany and Luxembourg. The company is organised into two geographical business units based on the operating models of the regions, the UK and Ireland and International. Revenue included in each segment includes all sales made to franchise stores (royalties, sales to franchisees and rental income) and by corporate stores located in that segment.
77GF Score
Get the complete analysis for LSE:DOM
Gross Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
Quick Browse
Personalize
Premium Gurus 
Create New Portfolio
LSE:DOM has been successfully added to your 
