Credit Suisse reiterates 'outperform' on Domino's Pizza

The Swiss broker said it liked the long-term attractions of the business model, pointing out that while it was "unusual" it should generate a decent return on invested capital.

To back up its observation, it argued that returns on store openings - which it pegged at between three or four a year for the JV from 2018 - were "attractive"
and that London was underserved.

However, it also said: "This marks a move back into UK store ownership and might meet some skeptical responses about a lack of franchisee willingness to invest behind growth."

Credit Suisse estimated that the purchase price implied a current multiple of roughly between 10 and 11 times EBITDA.

Still at 365p, the target was also unchanged.