Domino's Pizza Group PLC (LSE:DOM) shares fell 1.9% despite reporting results that showed like-for-like sales moving into positive territory in the third quarter.
Underlying revenues were up 1.0% in Q3, up from a decline of 0.1% in the first half.
System sales rose 2.1% on a comparable basis to £383 million, with volumes down 2.9%, total orders down 1.5%, offset by price up 5.0%.
Delivery sales growth was up 0.9% with volumes down 4.5% but prices up 5.4%.
Analysts at UBS noted that orders were down "due to the weaker consumer sentiment", though collection orders were up 1.7% thanks to a national marketing campaign.
Franchisees remained focused on mitigating labour cost inflation through the higher prices.
At the same time, a positive initial customer reaction was noted in relation to a recently launched Chick 'n' Dip trial and the 'Ultimate Indian Feast' pizza was well received by customers and accounted for about 7.6% of orders since launch.
Construction of a new supply chain centre in Avonmouth, bear Bristol, began in September to bring automated warehouse and distribution capacity.
With Domino's shares down circa 2% since first half results and almost 40% so far this year, UBS said its view was that the reiteration of EBITDA outlook was "assuring but negative volumes (despite positive LFL) and continued order weakness expectations will likely weigh on reactions today".
Peel Hunt analysts said the forecast p/e ratio of 10.5 is "close to an all-time low".
"Catalysts to rectify this include improving LFL sales and faster expansion, which we believe should materialise in 2026E unless the macro environment deteriorates," the broker added.
"We believe that a second brand acquisition would clear uncertainty, generate good supply chain synergies, increase the franchise base and boost long-term growth prospects."