Jubilant FoodWorks share price hits new 52-week high amid healthy Q4 results – Check what brokerages say about the stock
The shares of Jubilant FoodWorks touched a new 52-week high, as stocked jumped around five per cent to Rs 3331.85 per share on the BSE intraday during Wednesday’s trade amid healthy fourth-quarter results, even brokerages are bullish on the stock with the majority maintaining a Buy call.
The company’s consolidated net profit jumped over three-fold at Rs 105.30 crore for the March-ended quarter in the financial year 2020-2021 as compared to Rs 32.53 crore in the same period a year ago.
Positive growth supports premium multiples for Jubilant Food, JP Morgan says, while maintaining an Overweight stance, revised the target to Rs 3425 from Rs 3039 per share. The brokerage firm further said, Popeyes to be a promising addition to the portfolio mix.
Also maintaining an Overweight call, Morgan Stanley says the management commentary positive on scale-up potential and constructive on the company’s medium-term scaling strategy. It sets a target of Rs 3236 per share.
CLSA sees an earnings growth of six to nine per cent for Jubilant Food over FY22-23, as company is geared to leverage market opportunity. Adding further, revamped management team to address growing business needs. It sets a target of Rs 3300 per share.
Prabhudas Lilladher cuts FY22/23 EPS by 6.3/0.7 per cent respectively due to lower EBITDA margins in FY22 on account of lower than expected margins in FY21. It added, the company is in the making of multi-brand player with entry into biryani (EkDum), Chinese foods (Hongs Kitchen) along Popeyes. The brokerage firm maintains Accumulate ratings with a price target of Rs 3370 per share.
Jubilant FoodWorks Ltd, which operates fast-food chains Domino's Pizza and Dunkin' Donuts and have recently acquired Popeyes fried chicken segment restaurant chain.
Jubilant FoodWorks chairman Shyam S Bhartia and co-chairman Hari S Bhartia commenting on the results said: "We are glad to have transitioned from recovery to growth phase and concluded the fiscal year on a positive note despite unique challenges posed by the global pandemic.”
(Authored by Vaibhav Bansode)
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