On Monday, February 23, a Warren Buffett-backed restaurant stock is taking the spotlight thanks to its strong pre-market rally.
Domino’s Pizza (NASDAQ: DPZ) shares rocketed 5.94% in the early morning hours and have risen from their most recent closing price of $384.61 to their press time price of $407.45.
Why Domino’s Pizza stock is soaring today
The extended session rally simultaneously represents a break from the 2026 downtrend – DPZ stock is otherwise some 9% down year-to-date (YTD) – and came following a strong earnings report.
Specifically, despite narrowly missing the earnings-per-share (EPS) forecast of $5.36, having reported $5.35 instead, sales growth in the U.S. proved sufficient to drive the rally.
Indeed, Domino’s Pizza recorded $1.535 billion in revenue in the fourth quarter (Q4) of 2025, showcasing a $90 million increase from the same period in 2024. Similarly, whole-year revenue for 2025 came in $4.94 billion – $234 million above the figure recorded for 2024.
Interestingly, though investors reacted positively to the earnings, Wall Street issued a singular and bearish revision on February 23. Specifically, Jeff Bernstein of Barclays issued a ‘Sell’ rating accompanied by a $370 price target – effectively forecasting a 9% downturn – on Monday.
How much Warren Buffett is up on his DPZ stock position in 2026
Unfortunately for Warren Buffett and his Berkshire Hathaway (NYSE: BRK.A, BRK.B), the pre-market DPZ stock rally has not been sufficient to turn their position green.
On December 31, 2025, Domino’s Pizza shares closed at $416.82, and ‘The Oracle of Omaha’s’ 13-f covering the period stated the position of 3.35 million shares was worth nearly $1.4 billion on the day. Additionally, the billionaire investor increased his DPZ position by 12% during the three months ended on the last day of 2025.
Considering Domino’s Pizza stock at press time on February 23, Berkshire Hathaway lost $32 million on DPZ since 2026 started.
Still, Warren Buffett is set to benefit from the holding as the restaurant chain’s board also approved a 15% increase in dividends to $1.99 per share each quarter. Thus, Berkshire’s position will benefit from nearly $7 million in yield every three months, or about $28 million annually.
Featured image via Shutterstock
