Buy Jubilant Foodworks Ltd for the Target Rs. 700 by Motilal Oswal Financial Services Ltd

* JUBI expected to grow 16.5% YoY with ~9% LFL growth.
* Lower growth is attributable to extended monsoon and festivities like Navraatri and Shraadh.
* Continues to focus on store additions. Added net 65 Dominos India stores during the quarter.
* Gross margins expected to contract 140bp YoY to 74.7% on higher discounts and focus on value offerings. EBITDA (preInd AS) expected to improve 15bp YoY to 11.8%.
* Focusing on value-driven innovations, emphasizing new product developments.
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