03:11 PM EST, 02/20/2025 (MT Newswires) -- Domino's Pizza (DPZ) is likely to report Q4 results slightly below estimates while initiating 2025 outlook in line with expectations, RBC Capital Markets said in an earnings preview emailed Thursday.

RBC said it would be looking for US demand trends and the possibility of a partnership with DoorDash ( DASH ) heading into the earnings set to be released Monday.

The firm lowered its Q4 US same-store sales estimate to 1% on softer category growth which compares to the consensus of 1.3%.

Despite revising its estimate, RBC said it was "constructive" going into the earnings due to the potential of a DoorDash ( DASH ) partnership announcement and a more positive tone on international business.

Domino's current exclusivity agreement with Uber ( UBER ) is set to expire at the end of Q1, and the company could either announce a renewal or additional partnership with DoorDash ( DASH ) starting in Q2, according to the note.

A renewal with Uber ( UBER ) would be a "negative" as investors will likely take that as a signal of softer demand given that DoorDash's ( DASH ) market share is three times larger than Uber's ( UBER ), according to RBC.

RBC has an outperform rating on the stock with a price target of $500.

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