Domino's Pizza Group has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.
Warning Sign:
Domino's Pizza Group PLC displays poor financial strength. Usually, this is caused by too much debt for the company.
GuruFocus Financial Strength Rank measures how strong a company's financial situation is. It is rated on a scale of 1 to 10 and is based on these factors:
1. The debt burden that the company has as measured by its Interest Coverage (current year). The higher, the better.
2. Debt to revenue ratio. The lower, the better.
3. Altman Z-Score.
4. Other debt related ratios.
A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Domino's Pizza Group's Interest Coverage for the quarter that ended in Dec. 2025 was 3.06.
Domino's Pizza Group's debt to revenue ratio for the quarter that ended in Dec. 2025 was 0.78.
As of today, Domino's Pizza Group's Altman Z-Score is 1.97.
Domino's Pizza Group (LSE:DOM) Financial Strength Explanation
The rank is rated on a scale of 1 to 10. A higher score indicates a stronger financial position, with companies rated 7 or above considered financially stable and unlikely to face distress. Conversely, a score of 3 or below suggests potential financial difficulties, indicating a higher risk of distress.
Domino's Pizza Group has the Financial Strength Rank of 3. It displays poor financial strength and is likely in financial distress. Usually this is caused by too much debt for the company.
Domino's Pizza Group Financial Strength Related Terms
LSE:DOM vs MCD, SBUX, YUM: Financial Strength Comparison
For the Restaurants subindustry, Domino's Pizza Group's Financial Strength, along with its competitors' market caps and Financial Strength 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 Financial Strength vs Restaurants Industry
For the Restaurants industry and Consumer Cyclical sector, Domino's Pizza Group's Financial Strength distribution charts can be found below:
* The bar in red indicates where Domino's Pizza Group's Financial Strength falls into.
Interest Coverage is a ratio that determines how easily a company can pay interest expenses on outstanding debt. It is calculated by dividing a company's Operating Income (EBIT) by its Interest Expense:
Z-Score model is an accurate forecaster of failure up to two years prior to distress. It can be considered the assessment of the distress of industrial corporations.
The zones of discrimination were as such:
When Z-Score is less than 1.81, it is in Distress Zones.
When Z-Score is greater than 2.99, it is in Safe Zones.
When Z-Score is between 1.81 and 2.99, it is in Grey Zones.
Domino's Pizza Group has a Z-score of 1.97, indicating it is in Grey Zones. This implies that Domino's Pizza Group is in some kind of financial stress. If it is below 1.81, the company may faces bankrupcy risk.
Warning Sign:
Altman Z-score of 1.97 is in the grey area. This implies that the company is under some kind of financial stress. If it is below 1.8, the company may face bankruptcy risk.
* 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 Group (LSE:DOM) has a Financial Strength of 3 as of Dec. 2025. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Domino's Pizza Group and its competitors. This is 25% below median its historical median of 4.00. Over the past decade, Domino's Pizza Group's Financial Strength has ranged from 3.00 to 8.00.
Is Domino's Pizza Group's Financial Strength too high?
Domino's Pizza Group's current Financial Strength of 3 is 25% below median its 10-year median of 4.00. Over the past 10 years, this metric has ranged from a low of 3.00 to a high of 8.00. Overall, Domino's Pizza Group has a GF Score™ of 75/100 and is considered Significantly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Domino's Pizza Group's Financial Strength compare to MCD and SBUX?
Domino's Pizza Group's Financial Strength of 3 can be compared against companies in the Restaurants industry. Historically, Domino's Pizza Group's own Financial Strength has ranged from 3.00 to 8.00 over the past decade. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Financial Strength for a Restaurants company?
A good Financial Strength depends on the Restaurants industry context. However, Financial Strength should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Financial Strength mean?
A high Financial Strength can signal that a stock is expensive relative to its fundamentals. The financial strength rank measures the strength of a company's balance sheet based on revenue and debt. View historical data on Domino's Pizza Group and its competitors. Domino's Pizza Group's current Financial Strength is 3, which is 25% below median its own 10-year median of 4.00. 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 £1.89 — trading 44.6% below its estimated fair value. The current Financial Strength is 3, which is 25% below median its 10-year median of 4.00. Domino's Pizza Group's overall GF Score™ is 75/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Financial Strength calculated?
Financial Strength is calculated from a company's financial statements. For Domino's Pizza Group (LSE:DOM), the current Financial Strength is 3 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 £1.89 is trading 44.6% below its estimated GF Value™ of £3.41.
GuruFocus considers Domino's Pizza Group to be Significantly Undervalued.
Key valuation signals for LSE:DOM:
Financial Strength: 3 (25% below median its 10-year median of 4.00)
GF Value™: £3.41 vs. price of £1.89 (44.6% below fair value)
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.
75GF Score
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