Domino’s Pizza Enterprises (OTCMKTS:DPZUF) vs. Jack In The Box (NASDAQ:JACK) Financial Analysis

Domino’s Pizza Enterprises (OTCMKTS:DPZUF) and Jack In The Box (NASDAQ:JACK) are both consumer cyclical companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, risk, analyst recommendations, dividends, valuation, earnings and profitability.

Institutional & Insider Ownership

27.0% of Domino’s Pizza Enterprises shares are owned by institutional investors. Comparatively, 99.8% of Jack In The Box shares are owned by institutional investors. 1.4% of Jack In The Box shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Domino’s Pizza Enterprises and Jack In The Box’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Domino’s Pizza Enterprises	N/A	N/A	N/A
Jack In The Box	-5.51%	-9.23%	3.23%

Earnings and Valuation

This table compares Domino’s Pizza Enterprises and Jack In The Box”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Domino’s Pizza Enterprises	N/A	N/A	N/A	$0.50	28.71
Jack In The Box	$1.47 billion	0.27	-$80.72 million	($4.27)	-4.87

Domino’s Pizza Enterprises has higher earnings, but lower revenue than Jack In The Box. Jack In The Box is trading at a lower price-to-earnings ratio than Domino’s Pizza Enterprises, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and price targets for Domino’s Pizza Enterprises and Jack In The Box, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Domino’s Pizza Enterprises	0	0	0	0	0.00
Jack In The Box	2	14	5	0	2.14

Jack In The Box has a consensus target price of $25.20, suggesting a potential upside of 21.10%. Given Jack In The Box’s stronger consensus rating and higher probable upside, analysts clearly believe Jack In The Box is more favorable than Domino’s Pizza Enterprises.

Summary

Jack In The Box beats Domino’s Pizza Enterprises on 7 of the 11 factors compared between the two stocks.

About Domino’s Pizza Enterprises

Domino's Pizza Enterprises Limited operates retail food outlets. The company holds franchise rights for the Domino's brand in Australia, New Zealand, Belgium, France, the Netherlands, Japan, Cambodia, Germany, Luxembourg, Denmark, Taiwan, Malaysia, and Singapore. It operates various stores. Domino's Pizza Enterprises Limited was founded in 1983 and is based in Brisbane, Australia.

About Jack In The Box

Jack in the Box Inc. operates and franchises Jack in the Box and Del Taco quick-service restaurants in the United States. The company was founded in 1951 and is headquartered in San Diego, California.