Domino's Pizza, a global pizza giant, experienced a significant drop in its shares by nearly 13% during today's premarket session. This sharp decline came in response to the company's mixed second-quarter numbers and a disappointing outlook for the future.

While Domino's reported a 7.1% year-over-year increase in revenue, reaching $1.09 billion, the figure fell short of expectations by $10 million. On the other hand, the company's earnings per share (EPS) of $4.03 exceeded estimates by $0.35. These results left investors with a mixed impression.

In terms of same-store sales growth, Domino's U.S. market saw a modest increase of 4.8% during the quarter. However, the international market experienced a more subdued growth rate of 2.1%. The company managed to expand its total store count by 175, bringing the global figure to 20,930 stores in Q2.

One concerning aspect spotted in the report was a contraction of 100 basis points in Domino's gross margin for its owned U.S. stores, which now stands at 17.6%. This shrinkage was attributed to higher labor costs. Despite this setback, the company's net income improved by nearly 30% to $142 million.

Looking ahead, Domino's provided a somewhat bleak outlook, which may have contributed to the drop in its stock price. The company plans to open more than 175 net new stores in the U.S. each year from 2024 to 2028. However, it expects to fall short of its target for international store openings this year, missing it by 175 to 275 outlets. Dominos mainly attributes this setback to challenges faced by Domino's Pizza Enterprises in Australia (DMP). Consequently, DPZ has put a hold on its guidance for 1,100+ global net new store openings until the impact of these challenges becomes clearer.

Investor sentiment towards Domino's has been mixed following these results. The stock had enjoyed a nearly 22% rise over the past year but witnessed a sharp decline today. Currently, the Street holds a Moderate Buy consensus rating for Domino's and an average price target of $555.48. However, analysts may adjust their views on the company in light of the latest earnings report.

It remains to be seen how Domino's will overcome the challenges it faces in various markets and whether its resiliency in a challenging macroeconomic environment will continue.