Domino’s Pizza (UK) Alpha and Beta Analysis
| DOM Stock | 296.80 4.60 1.57% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Dominos Pizza Group. It also helps investors analyze the systematic and unsystematic risks associated with investing in Domino’s Pizza over a specified time horizon. Remember, high Domino’s Pizza's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Domino’s Pizza's market risk premium analysis include:
Beta 0.22 | Alpha (0.15) | Risk 1.73 | Sharpe Ratio (0.02) | Expected Return (0.03) |
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
Domino’s |
Domino’s Pizza Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Domino’s Pizza market risk premium is the additional return an investor will receive from holding Domino’s Pizza long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Domino’s Pizza. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Domino’s Pizza's performance over market.| α | -0.15 | β | 0.22 |
Domino’s Pizza expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Domino’s Pizza's Buy-and-hold return. Our buy-and-hold chart shows how Domino’s Pizza performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Domino’s Pizza Market Price Analysis
Market price analysis indicators help investors to evaluate how Domino’s Pizza stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Domino’s Pizza shares will generate the highest return on investment. By understating and applying Domino’s Pizza stock market price indicators, traders can identify Domino’s Pizza position entry and exit signals to maximize returns.
Domino’s Pizza Return and Market Media
The median price of Domino’s Pizza for the period between Mon, Dec 16, 2024 and Sun, Mar 16, 2025 is 293.4 with a coefficient of variation of 3.74. The daily time series for the period is distributed with a sample standard deviation of 11.08, arithmetic mean of 296.35, and mean deviation of 8.53. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
1 | Dominos Pizza Group stock falls 4.1 percent in past week as three-year earnings and shareholder returns continue downward trend - Simply Wall St | 12/18/2024 |
2 | Cornerstone Wealth Group LLC Purchases New Stake in Dominos Pizza, Inc. - MarketBeat | 01/27/2025 |
3 | Sumitomo Mitsui Trust Group Inc. Sells 3,437 Shares of Dominos Pizza, Inc. - MarketBeat | 02/14/2025 |
4 | Zacks Research Cuts Earnings Estimates for Dominos Pizza - Defense World | 03/07/2025 |
5 | Dominos Pizza Group plc Increases Dividend to 0.19 Per Share - MarketBeat | 03/13/2025 |
About Domino’s Pizza Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Domino’s or other stocks. Alpha measures the amount that position in Dominos Pizza Group has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Domino’s Pizza in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Domino’s Pizza's short interest history, or implied volatility extrapolated from Domino’s Pizza options trading.
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Other Information on Investing in Domino’s Stock
Domino’s Pizza financial ratios help investors to determine whether Domino’s Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Domino’s with respect to the benefits of owning Domino’s Pizza security.