Shares of Jubilant FoodWorks rose around 4 percent in Friday morning trade after the company reported its first quarter FY27 results. Brokerages largely highlighted the potential for a gradual recovery in Domino’s India growth, while Popeyes continued to emerge as a key growth driver.

The stock was trading around Rs 511 and remained among the top midcap gainers during the session. Despite the latest rise, Jubilant FoodWorks is down 8.1 percent so far in 2026, compared with a 6.7 percent decline in the Nifty 50. The company’s market capitalisation stood above Rs 33,500 crore.

Jefferies retained its Buy rating on Jubilant FoodWorks with a target price of Rs 650, indicating more than 32 percent potential upside from Thursday’s closing level. The brokerage said the company’s first quarter performance was broadly in line with expectations, although like for like growth at Domino’s India remained weak.

Jefferies expects Domino’s India growth to accelerate, supported by internal and external factors as well as a favourable base. It also noted that the decline in EBITDA margin was contained despite cost inflation, supported by price increases and cost savings initiatives. Popeyes remained a key positive, with average daily sales crossing Rs 95,000.

CLSA retained its Outperform rating with a target price of Rs 554. It noted that standalone sales increased 9.2 percent year on year, while Domino’s India like for like growth stood at 2.5 percent. According to the brokerage, management expects like for like growth to improve to 5 to 7 percent in FY27, with the recovery expected to begin from the second quarter.

CLSA also highlighted the continued momentum at Popeyes and expects the pace of store additions to accelerate in FY27. Gross margin was 46 basis points above its estimate and 40 basis points ahead of consensus, while EBITDA margin expanded by 18 basis points year on year. The brokerage raised its FY27 to FY29 earnings estimates by 12 to 14 percent.

HSBC maintained a Hold rating with a target price of Rs 500, below the stock’s Friday morning trading level. The brokerage described Domino’s India like for like growth of 2.5 percent as muted, although it acknowledged that margins were managed well despite inflationary pressures.

HSBC identified Popeyes as the key standout within the business but expects the broader recovery to remain gradual. It has factored in 5 percent like for like growth for Domino’s India in the second quarter of FY27 and identified commodity inflation as an important monitorable.

Jubilant FoodWorks reported a 4.3 percent year on year increase in first quarter FY27 profit after tax to Rs 70 crore from Rs 66.7 crore in the corresponding quarter last year. Revenue from operations increased 9.2 percent to Rs 1,848.85 crore from Rs 1,692.91 crore. EBITDA rose to Rs 360 crore from Rs 323.3 crore, while the EBITDA margin improved to 19.5 percent from 19 percent a year earlier.