NEW YORK--(BUSINESS WIRE)--The law firm of Kirby McInerney LLP announces that a class action lawsuit has been filed in the U.S. District Court for the Eastern District of Michigan on behalf of those who acquired Domino’s Pizza, Inc. (“Domino’s” or the “Company”) (NYSE: DPZ) securities during the period of December 7, 2023 to July 17, 2024, inclusive (“the Class Period”). Investors have until November 19, 2024 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
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On July 18, 2024, Domino’s issued a press release announcing its second quarter 2024 financial results. The Company disclosed challenges experienced by its master franchisees, Domino’s Pizza Enterprises (“DPE”), relating to both openings and closures. As a result, the Company stated that it expected to “fall 175 to 275 stores below its 2024 goal of 925+ net stores in international,” and “is temporarily suspending its guidance metric of 1,100+ global net stores until the full effect of DPE’s store opens and closures on international net store growth are known.” On an earnings call held that same day, the Company’s Chief Financial Officer Sandeep Reddy further revealed that the long-term guidance announced at the prior year’s 2023 Investor Day did not accurately reflect the extent of DPE’s challenges with respect to new store openings and closures of existing stores. On this news, the price of Domino’s shares declined by $64.23 per share, or approximately 13.6%, from $473.27 on July 17, 2024, to close at $409.04 per share on July 18, 2024.
The lawsuit alleges that Domino’s made false and/or misleading statements and/or failed to disclose that: (i) DPE, the Company’s largest master franchisee, was experiencing significant challenges with respect to both new store openings and closures of existing stores and (ii) as a result, Domino’s was unlikely to meet its own previously issued long-term guidance for annual global net store growth.
If you purchased or otherwise acquired Domino’s securities, have information, or would like to learn more about this investigation, please contact Thomas W. Elrod of Kirby McInerney LLP by email at investigations@kmllp.com, or by filling out this CONTACT FORM, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website.
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