Shares of Domino's Pizza in premarket trading in New York crashed the most since late 2008 following a surprise announcement in an earnings report this morning about the company cutting its 2024 international store-growth target due to "challenges" faced by franchisee Domino's Pizza Enterprises. Also, the company "temporarily suspended" its long-term guidance metric of plus 1,000 global net stores annually.

Domino's US same-store sales increased by 4.8% in the second quarter, missing the 4.92% average estimate tracked by Bloomberg. Internationally, comparable sales surpassed estimates, rising by 2.1%

Here's a snapshot of the second quarter results (courtesy of Bloomberg):

Wall Street analysts focused on the company's announcement that it is "temporarily suspending its guidance metric of 1,100+ global net stores until the full effect of Domino's Pizza Enterprises' store openings and closures on international net store growth is known." 

Domino's expects to open 175 stores annually in the US between now and 2028, but international openings will drop 175 to 275 stores below its 2024 goal of more than 925 new stores. 

"The company is partnering closely with Domino's Pizza Enterprises as they work through this process and will provide further updates once it has more visibility into the effect on its annual global net store growth numbers," said Domino's.

The news sent shares in New York crashing nearly 15% in the premarket. If losses are sustained through the cash session, this would be the largest daily decline since the 17.87% plunge on December 1, 2008.  

The pizza bubble is reversing. 

Here's what Wall Street analysts are saying about the earnings report (courtesy of Bloomberg): 

Citi, Jon Tower

Baird, David Tarantino

Bernstein, Danilo Gargiulo

Is the pizza bubble toast?