Rahul Arora, CEO at Nirmal Bang Institutional Equities recommends buying Jubilant Foodworks.
"If you see consensus expectations and we have highlighted this in our initiating coverage report, they were 16 and 12 percent higher for FY'16 and FY'17 in our estimates. So, there has been a reset towards our estimates and that has also hurt us. We have not yet downgraded it but I can be very sure to tell that we will. I don’t think you will probably see a price of Rs 2,000 on the stock over the next 18 months but you still probably will get 30-40 percent from here," he said.
"The recovery is taking a little longer than we expected but I still think it is a fantastic franchise. I think if I have to choose between Just Dial and Jubilant Foodworks, there is a straight dart throw at Jubilant. I think the management quality, what they want to do with the business is much better. I would be a buyer in Jubilant at this price."