The Domino's Pizza Enterprises Ltd (ASX: DMP) share price is edging higher on Tuesday afternoon.
At the time of writing, the pizza chain operator's shares are up 0.88% to $79.645, having hit $81.19 earlier in the day.
Despite treading higher today, it's worth noting the company's shares are down 23% in a month.
What's the deal with Domino's shares?
With the company's half-year results delivered, investors are eyeing Domino's shares as they go ex-dividend today.
Typically, one business day before the record date, the ex-dividend date is when investors must have purchased shares. If the investor does not buy Domino's shares before this date, the dividend will go to the seller.
Historically, when a company reaches its ex-dividend day, its shares tend to fall in proportion to the dividend paid out. This is because investors tend to sell off the company's shares after securing the dividend. However, this has not been the case for the Domino's share price today.
A catalyst for this could be the strong surge across the benchmark S&P/ASX 200 Index (ASX: XJO), which is currently up 1.13% to 7,128.7 points.
What does this mean for Domino's shareholders?
For those eligible for Domino's dividend, shareholders will receive a payment of 88.4 cents per share on 17 March 2022. The dividend is 70% franked, which means investors will receive some tax credits from this.
The total dividend amount to be paid from Domino's is around $76.5 million.
Are Domino's shares a buy now?
Following the company's financial scorecard last month, a number of brokers reassessed their outlook on the Domino's share price.
Analysts at UBS slashed their price target by 8.3% to $110.00 apiece. Based on the current share price, this implies a potential upside of 38%.
Furthermore, Morgans upgraded its view on Domino's to "add" from "hold", also reducing its price target by 15% to $115.00.
Lastly, Macquarie cut its rating on Domino's by a sizeable 33% to $88.70 per share. It appears the broker believes the pizza chain operator's shares are almost fully valued.
Domino's share price summary
Since the beginning of 2022, the Domino's share price has fallen by more than 30%. Its current price of $79.645 is in sharp contrast to when it touched an all-time high of $167.15 in September 2021.
On valuation grounds, Domino's commands a market capitalisation of roughly $6.96 billion, with approximately 86.55 million shares outstanding.