Domino's Pizza EnterprisesASX:DMP -1.69%67 Net Margin % is 3.73% as of Dec. 2025, which is 51% below its 10-year median of 7.69. GuruFocus rates ASX:DMP with a GF Score™ of 67/100 and a GF Value™ of A$29.91 (Possible Value Trap). The stock has 7 warning signs investors should review. Among 366 Restaurants companies, Domino's Pizza Enterprises ranks better than 54.92% on this metric.
The historical rank and industry rank for Domino's Pizza Enterprises's Net Margin % or its related term are showing as below:
ASX:DMP'
s Net Margin % Range Over the Past 10 Years
Min: -0.16 Med: 7.69 Max: 10.84
Current: 2.66
ASX:DMP's Net Margin % is ranked better than 54.92% of 366
companies
in the Restaurants industry
Industry Median: 2.06
vs ASX:DMP: 2.66
Domino's Pizza Enterprises (ASX:DMP) Net Margin % Explanation
Although Net Income and Earnings-per-Share (EPS) are the most widely used parameter in measuring a company's profitability and valuation, it is the least reliable. The reason is that reported earnings can be manipulated easily by adjusting any numbers such as Depreciation, Depletion and Amotorization and non-recurring items.
But the long term trend of the net margin is a good indicator of the competitiveness and health of the business.
Domino's Pizza Enterprises Net Margin % Related Terms
Domino's Pizza Enterprises Net Margin % Historical Data
* 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.
ASX:DMP vs MCD, SBUX, CMG: Net Margin % Comparison
For the Restaurants subindustry, Domino's Pizza Enterprises's Net Margin %, along with its competitors' market caps and Net 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 Enterprises Net Margin % vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Domino's Pizza Enterprises's Net Margin % distribution charts can be found below:
* The bar in red indicates where Domino's Pizza Enterprises's Net 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.
Domino's Pizza Enterprises (ASX:DMP) has a Net Margin % of 3.73% as of Dec. 2025. Net margin is the ratio of total net income to net sales. View historical data on Domino's Pizza Enterprises and its competitors. This is 51% below median its historical median of 7.69. According to the industry distribution chart, Domino's Pizza Enterprises ranks #165 out of 366 companies in the Restaurants industry, placing it in the top 45.1%.
Is Domino's Pizza Enterprises' Net Margin % too high?
Domino's Pizza Enterprises' current Net Margin % of 3.73% is 51% below median its 10-year median of 7.69. The Restaurants industry median Net Margin % is 2.06. Domino's Pizza Enterprises' value of 3.73% is 81.1% above this industry median. Based on the distribution chart, Domino's Pizza Enterprises ranks #165 out of 366 companies in the Restaurants industry, which is above the industry midpoint. Overall, Domino's Pizza Enterprises has a GF Score™ of 67/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Domino's Pizza Enterprises' Net Margin % compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Domino's Pizza Enterprises ranks #165 out of 366 companies for Net Margin %. This puts Domino's Pizza Enterprises in the upper half of its industry. The industry median Net Margin % is 2.06. Domino's Pizza Enterprises' value of 3.73% is 81.1% above this benchmark. While the company's 10-year median is 7.69 vs. the industry median of 2.06, Domino's Pizza Enterprises has consistently been above 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 Net Margin % for a Restaurants company?
The median Net Margin % among Restaurants companies is 2.06, based on 366 companies in the industry. Companies in the top quartile (top 25%) have a Net Margin % significantly above this median, while those in the bottom quartile fall well below. However, Net Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Domino's Pizza Enterprises's current Net Margin % of 3.73% is 81.1% above 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 Net Margin % mean?
A high Net Margin % can signal that a stock is expensive relative to its fundamentals. Net margin is the ratio of total net income to net sales. View historical data on Domino's Pizza Enterprises and its competitors. For the Restaurants industry, the median Net Margin % is 2.06 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Domino's Pizza Enterprises's current Net Margin % is 3.73%, which is 51% below median its own 10-year median of 7.69. 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 Enterprises stock overvalued right now?
Based on GuruFocus' analysis, Domino's Pizza Enterprises (ASX:DMP) is currently considered Possible Value Trap. The stock's GF Value™ is A$29.91, compared to a current price of A$15.72 — trading 47.4% below its estimated fair value. The current Net Margin % is 3.73%, which is 51% below median its 10-year median of 7.69 and 81.1% above the Restaurants industry median of 2.06. Domino's Pizza Enterprises' overall GF Score™ is 67/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Margin % calculated?
Net Margin % is calculated from a company's financial statements. For Domino's Pizza Enterprises (ASX:DMP), the current Net Margin % is 3.73% 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 Enterprises (ASX:DMP) Overvalued in 2026?
Based on GuruFocus' analysis, Domino's Pizza Enterprises stock appears to be undervalued.
The current stock price of A$15.72 is trading 47.4% below its estimated GF Value™ of A$29.91.
GuruFocus considers Domino's Pizza Enterprises to be Possible Value Trap.
Key valuation signals for ASX:DMP:
Net Margin %: 3.73% (51% below median its 10-year median of 7.69)
GF Value™: A$29.91 vs. price of A$15.72 (47.4% below fair value)
Industry Position: 81.1% above the Restaurants median (#165 of 366)
No single metric tells the full story. See the ASX:DMP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Domino's Pizza Enterprises operates fast-food pizza outlets and franchise service. The company holds the exclusive master franchise rights for the Domino's brand and network in Australia, New Zealand, Japan, Singapore, Malaysia, Taiwan, Germany, France, Belgium, Luxembourg, Cambodia, and the Netherlands. The Domino's brand is owned by NYSE-listed Domino's Pizza Inc.
67GF Score
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