Cautious Analyst Sentiment on Papa John’s (PZZA) As Refranchising and Cost Reductions Drive Strategy

As of January 6, 2026, astir 40% of analysts are bullish connected Papa John’s International, Inc. (NASDAQ:PZZA) with a median terms people of $48.00, amid the company’s strategical and enlargement initiatives. The terms people translates into an upside imaginable of 20.40%. The astir caller expert update came from Jefferies connected December 15, 2025, wherever it reiterated its “Hold” standing connected the banal with a $45 terms target. Jefferies’ reaffirmation followed Stifel’s update successful the erstwhile month. Stifel besides reiterated its “Hold” standing connected Papa John’s International, Inc. (NASDAQ:PZZA) with a $42 terms target. The update came aft investigation of the company’s 10-Q filing. The concern steadfast updated its fiscal exemplary to incorporated the company’s planned cost-saving initiatives for 2026. The exemplary present besides includes management’s plans to refranchise a important information of its home company-owned restaurants implicit the adjacent 2 years. In November, Papa John’s International, Inc. (NASDAQ:PZZA) made a strategical refranchising announcement, refranchising 85 restaurants successful the Washington, D.C., and Baltimore markets to Pie Investments, led by Chris Patel. This came aft the status of longtime franchise spouse William Freitas. Within the aforesaid announcement, Papa John’s besides announced that it plans to unfastened 52 further restaurants by 2030 crossed the Greater Philadelphia, Washington, D.C., and Baltimore markets. For fiscal 2026, the steadfast projects EBITDA of astir $205 million, representing astir 4% year-over-year growth. The firm’s EBITDA forecast is beneath the Street statement estimation of $213 million. Additionally, Stifel mentioned that the EBITDA metric could alteration if Papa John’s International, Inc. (NASDAQ:PZZA) makes an incremental concern successful its selling fund. The institution has already invested $25 cardinal successful selling truthful acold successful 2025. The firm’s projections see a $10 cardinal incremental concern successful marketing. Papa John’s International, Inc. (NASDAQ:PZZA), an American pizza edifice company, operates 1 of the world’s largest pizza edifice chains with astir 6,000 restaurants successful astir 50 countries and territories. While we admit the imaginable of PZZA arsenic an investment, we judge definite AI stocks connection greater upside imaginable and transportation little downside risk. If you're looking for an highly undervalued AI banal that besides stands to payment importantly from Trump-era tariffs and the onshoring trend, spot our escaped study connected the best short-term AI stock.READ NEXT: 7 Best Rising Tech Stocks to Buy Now and 12 Best Multibagger Stocks to Buy Heading into 2026. Disclosure: None.