Using the PEG framework with analyst consensus forward EPS growth of 12.0% plus 1.9% dividend yield, Domino's Pizza, Inc. has a fair value of $238.61 based on NTM EPS (FY2026) of $19.86. The current PEG ratio is 1.52.
PEG < 1 = bargain, 1–1.5 = fair, > 2 = expensive.
PEG works well for steady growers with predictable earnings.
| EPS Growth RateForward | 10.1% |
| Dividend Yield | +1.9% |
| Adjusted Growth (clamped 8–25%) | 12.0% |
| Fair P/E | 12.0x |
| NTM EPS (FY2026) | $19.86 |
| Fair Value | $238.61 |
| Period | EPS Est. | Growth | Analysts |
|---|---|---|---|
| FY2025 (actual) | $17.57 | — | — |
| FY2026E | $19.86 | +13.0% | 21 |
| FY2027E | $21.56 | +8.6% | 22 |
| FY2028E | $23.38 | +8.4% | 15 |
| FY2029E | $26.20 | +12.1% | 8 |
| FY2030E | $28.39 | +8.4% | 7 |
5Y Forward EPS CAGR: 10.1%
| Year | Net Income | EPS | YoY |
|---|---|---|---|
| FY2021 | $510.5M | $13.54 | — |
| FY2022 | $452.3M | $12.53 | -7.5% |
| FY2023 | $519.1M | $14.66 | +17.0% |
| FY2024 | $584.2M | $16.76 | +14.3% |
| FY2025 | $601.7M | $17.57 | +4.8% |
4Y Historical EPS CAGR: 6.7%
The PEG Fair Value uses the Price/Earnings-to-Growth framework. A stock is fairly valued when its P/E ratio equals its earnings growth rate (PEG = 1.0). This model adds dividend yield to the growth rate per the original PEGY formula.
Growth rate priority: analyst consensus forward EPS CAGR (when ≥ 3 analysts cover the stock), falling back to historical EPS CAGR. Using EPS rather than net income avoids distortion from share buybacks. The growth rate is clamped between 8% and 25% — below 8% would undervalue stable earners, while above 25% would overvalue unsustainable spikes.