Jefferies has reiterated its ‘Buy’ rating on Jubilant FoodWorks, setting a target price of ₹880, indicating a potential 46% upside from the current market price (CMP) of ₹602.60. Key takeaways from Jefferies’ analysis include:
- Same-Store Sales Growth (SSSG): Jubilant managed to maintain positive SSSG in Domino’s India, despite a challenging macro environment, while listed competitors reported declines.
- Growth Dynamics: Delivery services continued to see respectable growth, although dine-in experienced some weakness.
- Strategic Focus on Growth: The company is implementing multiple growth initiatives, some of which contributed to Q2 performance. Management remains focused on driving growth, prioritizing it over immediate EBITDA margin recovery to historic highs, a strategy Jefferies supports.
Disclaimer: This information is for informational purposes only and does not constitute financial advice.