Domino’s Pizza (NYSE: DPZ) Stock Weekly Chart
Domino’s Pizza (DPZ) traded higher on Tuesday after Credit Suisse initiated coverage on the stock.
However, we believe DPZ may be due for a correction based on its market cycles.
On Wednesday, Credit Suisse analyst Lauren Silberman initiated coverage on Domino’s Pizza stock with an outperform rating. Her price target is $320.
She explained, “Does optimism make sense, with worries about the strength of the economy and the age of the bull market persist? The short answer is yes—especially for big, well-capitalized players that are leading the charge in areas of the industry with the biggest growth.”
Our approach to stock analysis focuses on market cycles.
For DPZ, we believe the stock may have entered the declining phase of its current cycle. Further, the stock has exhibited negative relative strength to the S&P 500 for several weeks. Our target is $252 by August.
For more from Slim, or to learn about cycle analysis, check out the askSlim Market Week show every Friday on our YouTube channel.
Any opinions expressed herein are solely those of the author, and do not in any way represent the views or opinions of any other person or entity.