Domino's Pizza Group (LSE:DOM) ROE %: Negative Equity% (As of Dec. 2025)


LSE:DOM Domino's Pizza Group PLC LSE:DOM
77 GF Score
Price £1.83
GF Value £3.41
Valuation Significantly Undervalued
! 6 Warning Signs
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What is Domino's Pizza Group ROE %?

Domino's Pizza Group LSE:DOM -3.94% 77 ROE % is Negative Equity% as of Dec. 2025. 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 346 Restaurants companies, Domino's Pizza Group ranks better than 99.71% on this metric.

ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Domino's Pizza Group's annualized net income for the quarter that ended in Dec. 2025 was £57.6 Mil. Domino's Pizza Group's average Total Stockholders Equity over the quarter that ended in Dec. 2025 was £-85.2 Mil. Therefore, Domino's Pizza Group's annualized ROE % for the quarter that ended in Dec. 2025 was Negative Equity%.

The historical rank and industry rank for Domino's Pizza Group's ROE % or its related term are showing as below:

LSE:DOM' s ROE % Range Over the Past 10 Years
Min: 70.09   Med: 89.4   Max: 210.3
Current: Negative Equity

During the past 13 years, Domino's Pizza Group's highest ROE % was 210.30%. The lowest was 70.09%. And the median was 89.40%.

LSE:DOM's ROE % is ranked better than
99.71% of 346 companies
in the Restaurants industry
Industry Median: 6.38 vs LSE:DOM: Negative Equity

Domino's Pizza Group  (LSE:DOM) ROE % Explanation

ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.

The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=57.6/-85.15
=(Net Income / Revenue )*(Revenue / Total Assets)*(Total Assets / Total Stockholders Equity)
=(57.6 / 707.8)*(707.8 / 604.85)*(604.85 / -85.15)
=Net Margin %*Asset Turnover*Equity Multiplier
=8.14 %*1.1702*N/A
=ROA %*Equity Multiplier
=9.53 %*N/A
=Negative Equity %

With this breakdown, it is clear that if a company grows its Net Profit Margin, its Asset Turnover, or its Leverage, it can grow its ROE %.

The factors that affect a company's ROE % can also be illustrated with the five-step DuPont Analysis:

ROE %(Q: Dec. 2025 )
=Net Income/Total Stockholders Equity
=57.6/-85.15
=(Net Income / Pre-Tax Income) * (Pre-Tax Income / Operating Income) * (Operating Income / Revenue) * (Revenue / Total Assets) * (Total Assets / Total Stockholders Equity)
= (57.6 / 81.2) * (81.2 / 107) * (107 / 707.8) * (707.8 / 604.85) * (604.85 / -85.15)
= Tax Burden * Interest Burden * Operating Margin % * Asset Turnover * Equity Multiplier
= 0.7094 * 0.7589 * 15.12 % * 1.1702 * N/A
=Negative Equity %

Note: The net income data used here is two times the semi-annual (Dec. 2025) net income data. The Revenue data used here is two times the semi-annual (Dec. 2025) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.

* 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.


Be Aware

Net Income is used.

Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.

Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.


Domino's Pizza Group ROE % Related Terms


Domino's Pizza Group ROE % Historical Data

* Premium members only.

The historical data trend for Domino's Pizza Group's ROE % 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.

Domino's Pizza Group ROE % Chart

Domino's Pizza Group Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
ROE %
Get a 7-Day Free Trial Premium Member Only Premium Member Only Negative Equity Negative Equity Negative Equity Negative Equity Negative Equity

Domino's Pizza Group Semi-Annual Data
Jun16 Dec16 Jun17 Dec17 Jun18 Dec18 Jun19 Dec19 Jun20 Dec20 Jun21 Dec21 Jun22 Dec22 Jun23 Dec23 Jun24 Dec24 Jun25 Dec25
ROE % Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Negative Equity Negative Equity Negative Equity Negative Equity Negative Equity

LSE:DOM vs MCD, SBUX, CMG: ROE % Comparison

For the Restaurants subindustry, Domino's Pizza Group's ROE %, along with its competitors' market caps and ROE % 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 ROE % vs Restaurants Industry

For the Restaurants industry and Consumer Cyclical sector, Domino's Pizza Group's ROE % distribution charts can be found below:

* The bar in red indicates where Domino's Pizza Group's ROE % falls into.


LSE:DOM
77GF Score
Domino's Pizza Group PLC LSE:DOM
ROE % is just one metric. See GF Score™, valuation, warning signs, and more.
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Domino's Pizza Group ROE % Calculation

Domino's Pizza Group's annualized ROE % for the fiscal year that ended in Dec. 2025 is calculated as

ROE %=Net Income (A: Dec. 2025 )/( (Total Stockholders Equity (A: Dec. 2024 )+Total Stockholders Equity (A: Dec. 2025 ))/ count )
=58.6/( (-82.2+-88.3)/ 2 )
=58.6/-85.25
=Negative Equity %

Domino's Pizza Group's annualized ROE % for the quarter that ended in Dec. 2025 is calculated as

ROE %=Net Income (Q: Dec. 2025 )/( (Total Stockholders Equity (Q: Jun. 2025 )+Total Stockholders Equity (Q: Dec. 2025 ))/ count )
=57.6/( (-82+-88.3)/ 2 )
=57.6/-85.15
=Negative Equity %

* 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.

In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data, the net income data used here is two times the semi-annual (Dec. 2025) net income data. ROE % is displayed in the 30-year financial page.

* Note that if the average Total Stockholders Equity is zero or negative, then ROE % would be considered meaningless and hence not be calculated.

Frequently Asked Questions Learn more about ROE % →
What does a ROE % of Negative Equity% mean?
Domino's Pizza Group (LSE:DOM) has a ROE % of Negative Equity% as of Dec. 2025. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Domino's Pizza Group and its competitors. Over the past decade, Domino's Pizza Group's ROE % has ranged from 70.09 to 210.30. According to the industry distribution chart, Domino's Pizza Group ranks #1 out of 346 companies in the Restaurants industry, placing it in the top 0.3%.
Is Domino's Pizza Group's ROE % too high?
Domino's Pizza Group's current ROE % is Negative Equity%. Over the past 10 years, this metric has ranged from a low of 70.09 to a high of 210.30. Based on the distribution chart, Domino's Pizza Group ranks #1 out of 346 companies in the Restaurants industry, which is in the top quartile — a strong position relative to peers. 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 ROE % compare to MCD and SBUX?
According to the Restaurants industry distribution chart, Domino's Pizza Group ranks #1 out of 346 companies for ROE %. This places Domino's Pizza Group in the top 0% of its industry — outperforming the majority of peers. The industry median ROE % is 6.38. Historically, Domino's Pizza Group's own ROE % has ranged from 70.09 to 210.30 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 ROE % for a Restaurants company?
The median ROE % among Restaurants companies is 6.38, based on 346 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % 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 ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Domino's Pizza Group and its competitors. For the Restaurants industry, the median ROE % is 6.38 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Domino's Pizza Group's current ROE % is Negative Equity%. 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 ROE % is Negative Equity%. 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 ROE % calculated?
ROE % is calculated from a company's financial statements. For Domino's Pizza Group (LSE:DOM), the current ROE % is Negative Equity% 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:

  • ROE %: Negative Equity%
  • GF Value™: £3.41 vs. price of £1.83 (46.4% below fair value)
  • GF Score™: 77/100 with 6 warning signs

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 Business Description

Address 1 Thornbury, West Ashland, Milton Keynes, Buckinghamshire, GBR, MK6 4BB
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

ROE % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

£1.83
Price
£3.41
GF Value