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$23.83 -0.57 (-2.34%)
10/6/2008 4:00 PM

Papa John's Int'l, Inc. (PZZA)

CAPS Rating:
**

The company operates and franchises pizza delivery and carryout restaurants under the trademark 'Papa John's,' currently in 49 states, the District of Columbia, Puerto Rico and 26 countries.

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What the Community Thinks

Total Members

113 Outperforms
37 Underperforms
 

All-Stars

34 Outperforms
15 Underperforms
 

Wall Street

3 Outperforms
0 Underperforms
 

Members bullish on PZZA are also bullish on:

Members bearish on PZZA are also bearish on:

Ticker Tags

Restaurants (69), Fast Food (12), Small Cap (1922)
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Papa John's Int'l, Inc. At A Glance

Current Price: $23.83
Last Trade Time: 10/6/2008 4:00 PM
Open: $0.00
Previous Close: $23.83
Daily Range: $22.39 - $24.64
52-Week Range: $20.57 - $30.68
Volume: 780,247
Market Cap: $669.69M
P/E Ratio: 23.83
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Stock Trends

PZZA VS S&P 500 (SPY)

PZZA 12 month chart vs. S&P

News & Discussion Boards

Other News Headlines for PZZA

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Top Bull Pitch

Recs

1

Papa John's Int'l, Inc. (PZZA)

Avatar rikkyy21 (80.04) Submitted: 6/21/08 11:41 AM

pizza

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Top Bear Pitch

Recs

2

Papa John's Int'l, Inc. (PZZA)

Avatar AnomaLee (99.50) Submitted: 5/09/08 10:32 PM

I'm already pessimistic on food service, but Papa John's decided to sell pizzas for 23 cents in Cleveland because they insulted Lebron James fans...

Do you seriously want to be long this stock?

(Full Article) http://sports.espn.go.com/nba/playoffs2008/news/story?id=3381471

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CAPS Members

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Recs

0

 (PZZA)

Avatar CatFoodMoney (< 20) Submitted: 9/29/08 10:38 AM : Outperform Start Price: $27.99 PZZA Score: -4.61

i delivered for papa's for four years. nothing can stop this company. economic crisis, ha. papa knows that when it's raining or you're wasted you'll sell your soul for a hot stinking pizza to be delivered fresh to your door

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Recs

0

 (PZZA)

Avatar TheHuney (49.90) Submitted: 7/27/08 6:39 PM : Underperform Start Price: $27.05 PZZA Score: -6.28

Papa John's is not in nearly as bad shape as rival pizzamaker, Domino's (DPZ), but economic trends should continue to harm them as well. Drive by some of the pizza delivery chains and take a look at the windows and you'll notice a recurring theme: "NOW HIRING" signs. This is because no one wants to work in pizza delivery when gasoline costs $4/gallon. Both DPZ and PZZA stores have dragged their feet as much as possible when it comes to raising commissions for drivers and as a result, they are having extreme difficulty retaining and attracting employees.

Something's got to give! Either commissions and prices go up and hence, demand goes down or commissions stay the same and the pizzamakers can only attract the absolute lowest-quality employees. The latter might not seem so bad, except (a) pizza delivery is a very customer service-oriented industry unlike its fast-food counterparts and (b) employees shortages will still persist thereby lowering service quality and hence, lowering revenues.

Then there's another disturbing little trend going on with pizza delivery to watch ... as delivery pizza companies try to find ways to lower prices to remain competitive in their core business (pizza delivery), they try to pass one these high costs to carry-out customers. It used to be very common for PZZA and DPZ to offer "carry-out specials" at low rates, but it's become a rare sight these days. Who does this benefit: none other than battered-down carry-out pizza chain Little Caesar's and their $5 pizzas! LC's has been growing phenomenally over the past few years after being brutalized in the '90s. Meanwhile, check out your grocery store's frozen pizza aisle and you'll see more and more offerings as companies seek to replicate DiGiornio's success. The general message is that there are alternatives and they are growing.


On the plus side, PZZA has a lot going for it in this particular industry:

(1) A definite market niche. Papa John's is a pizza delivery chain, but they have established themselves as more of a high-quality brand, unlike DPZ. People willing to shell out a few extra bucks for quality will still continue to buy from PZZA even with higher prices. Whereas, DPZ's main niche was low-cost pizza delivery and it's getting undermined by the rapidly rising prices.

(2) Good international growth. I don't think it will be enough to offset the negative trends in the pizza delivery business, but it will certainly help.

(3) Decent management and coherent organization. I worked for both DPZ and PZZA at various points in time and I can tell you that PZZA has a very centralized and highly organized operation whereas, DPZ's organizational structure is total chaos.

Overall, despite these strengths, so long as gasoline prices remain in the $3.00+ range, the pizza delivery industry is going to struggle. Either they are going to have to change their business models or hope for much lower oil prices long-term.

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Recs

0

 (PZZA)

Avatar jellybelly66 (< 20) Submitted: 7/24/08 10:03 PM : Underperform Start Price: $28.79 PZZA Score: 0.44

A minumum wage increase for employees= higher pizza prices,and lower sales

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Recs

1

 (PZZA)

Avatar bullshiite (79.35) Submitted: 6/21/08 3:58 PM : Underperform Start Price: $28.23 PZZA Score: -5.13

It is near its 52 week high. Rising fuel costs, minimum wage increases, and rising food costs.

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Recs

1

 (PZZA)

Avatar rikkyy21 (80.04) Submitted: 6/21/08 11:41 AM : Outperform Start Price: $28.23 PZZA Score: 5.13

pizza

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Wall Street

Results 1 - 3 of 3  

picks per page. CHANGE

Top
Pick
Member NameMember RatingStart
Date
CallTime FrameStart
Price
Stock
Gain
S&P
Gain
ScorePitch
TrackJimCramer 82.79 12/19/07 Outperform 3W $22.64+5.26%-28.21%+33.47
TrackOppenheimer < 20 05/10/07 Outperform NS $34.51-30.95%-30.52%-0.42
TrackRyanBeck 58.40 10/04/06 Outperform NS $35.50-32.87%-21.24%-11.63

Results 1 - 3 of 3  

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