Domino's Pizza (DPZ) stock took a hit as the company reported second-quarter revenue that fell short of Wall Street's estimate. The disappointing results were attributed to the slowing international markets in countries such as Japan, France, and Australia, prompting management to lower their guidance on unit growth overseas.

AB Bernstein senior analyst Danilo Gargiulo acknowledged that despite the weaker international performance, both national and global demand for Domino's remained positive. Gargiulo highlighted the strength of the company's loyalty program and the increased access to consumers through its partnership with Uber Eats (UBER) as factors contributing to its overall success.

When asked about Domino's long-term guidance, Gargiulo expressed that there might be concerns weighing on the stock price until there is more clarity on the future prospects of the pizza chain. He pointed out that the decision to suspend the long-term guidance on international stores indicates that Domino's is taking a cautious approach and wants to gather more information before reinstating their outlook.

The recent challenges in international markets have prompted Domino's to revise their projections for unit growth overseas. The company believes it is crucial to assess the real opportunities that lie ahead before providing a more accurate long-term guidance. This cautious approach aims to ensure the company's decision-making is informed and aligns with the evolving market dynamics.

Domino's Pizza has been a dominant player in the pizza delivery industry, known for its innovative ordering process and efficient delivery service. Although facing headwinds in some international markets, the company's strong domestic demand and loyalty program demonstrate its ability to adapt to changing consumer preferences.

Investors will closely monitor how Domino's addresses the challenges in international markets and whether their strategic decisions, including the partnership with Uber Eats, can help drive growth abroad. As the pizza chain seeks to regain momentum, the market will eagerly await further updates from Domino's to gauge their future expansion plans in the international arena.

While the stock has experienced a decline due to the disappointing Q2 revenue, analysts believe that once Domino's provides more clarity on the path forward, it may regain investor confidence and bounce back in the market.