Jubilant FoodWorks Shares Jump 8.5% After Q2FY26 Results, Analysts Maintain Positive Views

Jubilant FoodWorks share price todayMost analysts retained their positive views onJubilant FoodWorks (JFL)after the country's largest quick-service restaurant (QSR) operator announced itsSeptember-quarter (Q2FY26) resultson Thursday.Analysts appreciated the company's positive surprise on growth, despite near-term margin pressures. Further, with the management reiterating its commitment to disciplined execution, measured store expansion, and a clear mid-term margin roadmap, analysts are looking at Q2FY26 as a pivotal quarter for the Domino's owner.On the bourses, Jubilant FoodWorks shares jumped as much as 8.5 per cent on the BSE to ₹622.5 per share in the intraday trade. By comparison, the benchmark BSE Sensex index was down 0.14 per cent at 9:55 AM.Jubilant Food Q2 results highlightsThe QSR chain delivered another quarter of strong operating growth, led by Domino's India, which recorded 9.1 per cent like-for-like (LFL) growth, driven by a robust 16.5 per cent surge in delivery LFL.Jubilant Food's India revenues grew 16 per cent year-on-year (Y-o-Y), while consolidated revenues rose 19.7 per cent, supported by continued traction in Turkey, Bangladesh, and Sri Lanka.International operations continued to punch above expectations. Turkey reported 10.4 per cent net profit margin, while Sri Lanka and Bangladesh delivered strong double-digit revenue growth.Order volume growth remained solid at ~15 per cent, although the dine-in segment stayed relatively muted.Jubilant FoodWorks, however, faced margin pressure in Q2. The delivery mix expanded by nearly 400 basis points (bps), but cheese inflation impacted the cost of goods sold, resulting in a 169-bps contraction in standalone gross margin.Ebitda margin stood at 19.4 per cent, almost flat year-on-year.Jubilant added 81 new Domino's India stores, taking the total store network to 2,321, with digital traffic rising sharply.Overall, Jubilant FoodWorksconsolidated profit soared 190 per cent to ₹186 croreversus ₹64.1 crore in Q2FY25.Jubilant Food management guidanceThe company has retained its guidance to deliver mid-teen revenue growth, supported by 5-7 per cent LFL growth, calibrated pricing, and continued store expansion.Management reiterated its medium-term target of 200-bps Ebitda margin expansion by FY28, citing improving store-level productivity, reducing losses in non-Domino's businesses, and early traction from new initiatives such as app-based post-order advertising.ALSO READ |Buy, sell or hold: What to do with Info Edge (India) stock after Q2 show?Jubilant FoodWorks shares: Buy, sell, hold? Investment strategyEmkay Global Financial Services | Maintained 'Buy' | Share price target: ₹825The brokerage likes Jubilant's "assuring management commentary" that addresses key investor concerns around sustained top-line growth and margin recovery.Also ReadSamvardhana Motherson rallies 4%, nears 52-wk high. Should you buy or hold?Brokerages split on Eicher Motors; should you buy, sell or hold? Check hereWelspun Living slides 3% as analysts flag US tariffs as near-term overhangIndusInd Bank share price gains 12% in 3 days; stock up 21% from Sept lowsGroww shares up 53% against issue price in 2 days; market-cap nears ₹1 trnThe brokerage highlighted JFL's strong LFL construct - benefiting not just from volumes but also a 1-2 per cent contribution from better realisations - which, along with operational efficiencies, supports the company’s guided margin improvement."Jubilant FoodWorks' share price has corrected 25 per cent, so far, in calendar year 2025, and the India business (Intl business EV: ₹8500 crore; 22x TP multiple) is now trading at 28x and 23x FY27 and FY28E Ebitda, which provides an attractive entry opportunity, in our view," it said.ALSO READ |Vodafone Idea can rise up to 50% from here, Airtel may gain 9%: Tech chartsICICI Securities | Maintained 'Buy' | Target price: ₹700 (vs ₹770 earlier)The brokerage called JFL an "outlier outperformer" within the QSR space, noting its strong delivery channel performance, steady international profitability, and consistent execution. While it acknowledged gross-margin pressure, the brokerage expects medium-term margin gains as store productivity improves and scale benefits flow through."We cut revenue/net profit estimates by 1.4 per cent/0.6 per cent for FY26, and 2.5 per cent/1.5 per cent for FY27. Further, we estimate revenue, Ebitda, and PAT CAGR of 15 per cent, 19 per cent, and 42 per cent, respectively, over FY25-28. Key downside risks include raw material costs turning inflationary, and higher-than-expected increase in competitive intensity," ICICI Securities noted.Nuvama Institutional Equities | Maintain 'Buy' | Target price: ₹775 (from ₹811)Domino's, the flagship QSR chain under Jubilant's umbrella, has by far been the most successful QSR chain in India (with nearly 80 per cent share), a reflection of its viable store economics and popularity. Despite a mature store profile (average age >7 years), its SSSG has been the best in the QSR space, Nuvama noted.Overall, benchmarking its current city reach and factoring the internal store potential assessment of the global brand owner of 2,179 stores, we believe there is still a long runway of four-five years for store addition, it said."JFL is now targeting to incubate new concepts to drive the next leg of growth. It has now shifted focus to Hong’s Kitchen and Popeye’s. Key feature of both is value focused pricing and a target market much higher than pizza market. We are tweaking FY26E/27E revenue/EBITDA by -0.1 per cent/-7.4 per cent and +1.2 per cent/-1.9 per cent, respectively," it added.