Domino’s Pizza (NASDAQ:DPZ – Get Free Report) and Vail Resorts (NYSE:MTN – Get Free Report) are both consumer discretionary companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, profitability, risk, institutional ownership, valuation, dividends and earnings.
Profitability
This table compares Domino’s Pizza and Vail Resorts’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Domino’s Pizza | 11.86% | -15.15% | 34.16% |
| Vail Resorts | 5.38% | 21.88% | 2.67% |
Insider & Institutional Ownership
94.6% of Domino’s Pizza shares are owned by institutional investors. Comparatively, 94.9% of Vail Resorts shares are owned by institutional investors. 0.9% of Domino’s Pizza shares are owned by insiders. Comparatively, 1.2% of Vail Resorts shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Earnings and Valuation
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Domino’s Pizza | $4.94 billion | 2.12 | $601.70 million | $17.63 | 18.00 |
| Vail Resorts | $2.96 billion | 1.61 | $280.00 million | $4.40 | 30.48 |
Domino’s Pizza has higher revenue and earnings than Vail Resorts. Domino’s Pizza is trading at a lower price-to-earnings ratio than Vail Resorts, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a summary of recent recommendations for Domino’s Pizza and Vail Resorts, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Domino’s Pizza | 1 | 14 | 16 | 0 | 2.48 |
| Vail Resorts | 2 | 8 | 5 | 0 | 2.20 |
Domino’s Pizza presently has a consensus price target of $398.06, indicating a potential upside of 25.45%. Vail Resorts has a consensus price target of $149.83, indicating a potential upside of 11.71%. Given Domino’s Pizza’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Domino’s Pizza is more favorable than Vail Resorts.
Dividends
Domino’s Pizza pays an annual dividend of $7.96 per share and has a dividend yield of 2.5%. Vail Resorts pays an annual dividend of $8.88 per share and has a dividend yield of 6.6%. Domino’s Pizza pays out 45.2% of its earnings in the form of a dividend. Vail Resorts pays out 201.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Domino’s Pizza has increased its dividend for 12 consecutive years and Vail Resorts has increased its dividend for 3 consecutive years.
Volatility & Risk
Domino’s Pizza has a beta of 0.94, suggesting that its stock price is 6% less volatile than the S&P 500. Comparatively, Vail Resorts has a beta of 0.69, suggesting that its stock price is 31% less volatile than the S&P 500.
Summary
Domino’s Pizza beats Vail Resorts on 12 of the 17 factors compared between the two stocks.
About Domino’s Pizza
Domino’s Pizza, Inc., through its subsidiaries, operates as a pizza company in the United States and internationally. The company operates through three segments: U.S. Stores, International Franchise, and Supply Chain. It offers pizzas under the Domino’s brand name through company-owned and franchised stores. It also provides oven-baked sandwiches, pastas, boneless chicken and chicken wings, breads and dips, desserts, and soft drink products, as well as loaded tots and pepperoni stuffed cheesy breads. Domino’s Pizza, Inc. was founded in 1960 and is headquartered in Ann Arbor, Michigan.
About Vail Resorts
Vail Resorts, Inc., through its subsidiaries, operates mountain resorts and regional ski areas in the United States. It operates through three segments: Mountain, Lodging, and Real Estate. The Mountain segment operates 41 destination mountain resorts and regional ski areas. This segment is also involved in the ancillary activities, including ski school, dining, and retail/rental operations, as well as real estate brokerage activities. The Lodging segment owns and/or manages various luxury hotels and condominiums under the RockResorts brand; other lodging properties; various condominiums located in proximity to the company's mountain resorts; destination resorts; and golf courses, as well as offers resort ground transportation services. This segment operates owned and managed hotel and condominium units. The Real Estate segment owns, develops, and sells real estate properties. The company was founded in 1845 and is based in Broomfield, Colorado.
Receive News & Ratings for Domino's Pizza Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Domino's Pizza and related companies with MarketBeat.com's FREE daily email newsletter.
