Jubilant Foodworks - Slice Of Success; New Offerings Galore: HDFC Securities

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..HDFC Securities Institutional Equities.The pizza category has experienced a tumultuous history, facing significant challenges over the past few quarters compared to other mainstream quick service restaurant categories such as burgers and chicken. These challenges stem from several factors:The category's price-sensitive nature means that deals and discounts have driven a decent amount of growth for mainstream players in the past.Hyper-competition from regional and local players, who can offer better quality at similar prices due to the high gross margins (75%+) of mainstream pizza brands, intensifies the competitive landscape. There has been increased downgrading to other QSR offerings or value pizza in the context of hyperinflation, given the higher average order value of Rs 450-500 for pizza.The lack of tangible breakthrough innovation (e.g., cheese burst pizza) has hindered the uplift of same-store sales growth..We believe the latter issues, specifically points three and four, will fade in the medium term as Jubilant Foodworks Ltd. has made substantial efforts to tackle these challenges by providing significant value to customers and introducing disruptive innovations. Hence, we expect Jubilant Foodworks to report strong operational numbers in FY25 within our QSR coverage pack, as SSSG recovery and cost optimisation measures could aid margin recovery. We maintain Jubilant Foodworks as a high conviction idea with a target price of Rs 685..Click on the attachment to read the full report:.FirstCry Parent Brainbees Solutions Sets IPO Price Band At Rs 440–465 Per Share.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Jubilant Foodworks - Slice Of Success; New Offerings Galore: HDFC Securities

The brokerage maintains the company as a high-conviction idea with a target price of Rs 685.

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Jubilant Foodworks - Slice Of Success; New Offerings Galore: HDFC Securities

The brokerage maintains the company as a high-conviction idea with a target price of Rs 685.

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