Jubilant Foodworks gains 4% as Q3 net jumps 69%; Centrum lifts target price
Jubilant Foodworks rose as much as 3.7 per cent to ₹575 on the National Stock Exchange (NSE) as the stock reacted to Q3 earnings on Wednesday.
 "Jubilant Foodworks gains 4% as Q3 net jumps 69%; Centrum lifts target price")
Jubilant Foodworks share price today
Jubilant Foodworks share price rose 4 per cent on Wednesday as buying interest emerged after the release of its third-quarter (Q3FY26) results. The scrip rose as much as 3.7 per cent to ₹575 on the National Stock Exchange (NSE).
As of 9:22 AM, Jubilant Foodworks share price pared some gains to trade 2.1 per cent higher at ₹566 per share, as compared to a 0.21 per cent advance in the Nifty 50 index.
In the last 12 months, Jubilant Foodworks declined 15.3 per cent as compared to a 13 per cent advance in the Nifty 50 index.
Why did Jubilant Foodworks share price rise today?
Jubilant Foodworks share price rose on Wednesday as the company reported a 68.6 per cent Y-o-Y increase in net profit during the October–December (Q3FY26). The profit was at ₹729 crore versus ₹496 crore in the same quarter a year ago (Q3FY25).
The revenue of Jubilant Foodworks rose 13.3 per cent on year to ₹24,372 crore in the third quarter from ₹21,508 crore. The Earnings before interest, taxes, depreciation, and amortisation (Ebitda) increased 20 per cent Y-o-Y to ₹4,823 crore versus ₹4,020 crore.
Centrum| Buy| Target price raised to ₹690 from ₹670
Jubilant Foodworks has addressed the concerns of the like-for-like (LFL) trajectory on a high base and margin weakness despite double-digit LFL growth during the third quarter.
Domino’s reported a mid-single-digit LFL, which is positive for Jubilant Foodworks. The company is still outperforming peers in terms of LFL with 5 per cent growth versus 9 per cent and 12 per cent declines in LFLs of Pizza Hut, by Devyani International and Sapphire Foods.
Jubilant Foodworks outperformed peers in growth and same-store-sales growth (SSSG) in a challenging demand environment in over the last year, Centrum said.
Margins of Jubilant Foodworks expanded on account of price hikes, operating leverage, and margin-acretive new launches, Centrum said in a note. Margins have bottomed out and should see expansion from here on.
Jubilant Foodworks’ delivery channel continued to see strong growth, while store additions are on track with new city additions. The international business growth in the third quarter was also strong, according to the brokerage.
Centrum expects Jubilant Foodworks to post LFL growth in the range of 5–7 per cent despite a high base, which should lead to improved stock performance. The brokerage expects a 15.1 per cent compound annual growth rate (CAGR) over the financial years 2025 and 2028. The higher end of the anticiapted target price by Centrum, translates into a potential 20 per cent upside from current levels for the stock.
==============
Disclaimer: View and outlook shared belong to the respective brokerages/analysts and are not endorsed by Business Standard. Readers discretion is advised.