Hold Jubilant Foodworks, target price Rs 490: Prabhudas Lilladher

Prabhudas Lilladher has hold call on Jubilant Foodworks with a target price of Rs 490. The current market price of Jubilant Foodworks is Rs 467.2.

Jubilant Foodworks, incorporated in the year 1995, is a Large Cap company (having a market cap of Rs 30705.90 Crore) operating in Tourism & Hospitality sector.

Jubilant Foodworks key Products/Revenue Segments include Pizza, Others, Beverages, Desserts, Dips, Other Operating Revenue and Others (Traded) for the year ending 31-Mar-2022.


Financials
For the quarter ended 30-06-2023, the company has reported a Consolidated Total Income of Rs 1343.88 Crore, up 4.21 % from last quarter Total Income of Rs 1289.60 Crore and up 6.17 % from last year same quarter Total Income of Rs 1265.75 Crore. Company has reported net profit after tax of Rs 69.73 Crore in latest quarter.

Investment Rationale
The brokerage expects demand and margin pressure to sustain in 2Q with gradual recovery from 3Q led by festival season and cricket world cup in October. Long term QSR opportunity in India remains attractive although near term upside in the stock seem capped post recent run up in stock price.

Promoter/FII Holdings
Promoters held 41.94 per cent stake in the company as of 30-Jun-2023, while FIIs owned 25.22 per cent, DIIs 22.15 per cent.