Barbeque-Nation (BARBEQUE) is among the few scalable casual dining players with a healthy store economics and net cash balance sheet. In the last one year, weak macro has adversely impacted SSSG earnings. Management has rationalized the store and with a steady CFO, it is well-positioned to comfortably manage 15-20% growth through internal funding once the market recovers. At EV/Sales of 1.4x and EV/EBITDA of 14x on FY26E, it is the lowest in the retail space, offering a better risk reward opportunity.
OutlookBut the recovery in SSSG should be a key positive catalyst in reviving store-level profitability. We have valued the stock at INR690, using a 15x EV/EBITDA of its Dec’25 EBITDA.
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