10:51 AM EDT, 07/15/2024 (MT Newswires) -- Domino's Pizza (DPZ) drivers point towards management's near-, medium-, and longer-term growth targets since the company is viewed as the "primary transaction share gainers," Wedbush said in a note to clients Monday.

There are numerous drivers of near- and medium-term transaction growth for both the carryout and delivery segments, analysts Nick Setyan and Michael Symington wrote, ahead of Q2 results from Domino's Pizza due Jul. 18.

The drivers include new loyalty plans having "lower tier redemptions", messaging around value, innovation in the menu, and all US stores now live on Uber Technologies' (UBER) UberEats application, the analysts added.

"Additionally, we see significant headroom for continued market share gains in both the delivery and carryout segments as DPZ's relative value proposition continues to widen vs. QSR peers," the analysts said.

Wedbush expects Domino's to report fiscal Q2 earnings of $3.72 per share and revenue of $1.10 billion.

Wedbush has an outperform rating and a $575 price target on the company's stock.

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