A big move is seen across the quick-service restaurant (QSR) as well as the retail space from March lows. Jubilant FoodWorks has rallied 40 percent. Westlife Development, Avenue Supermarts, V-Mart and Aditya Birla Fashion have seen a rally between 60 percent and 90 percent.
While the reasons for the rally were individual, the triggers for them are collective. For both retail and QSR space, the biggest triggers have been demand resumption after 'Unlocking' began, increased share of business coming in from the stronger players, increased number of outlets, and the newer ways of business like e-commerce delivery or take-home.
Abneesh Roy, EVP-Institutional Equities at Edelweiss Securities, in an interview with CNBC-TV18, said from a long-term perspective, Titan and Jubilant can give a 15 percent compound annual growth rate (CAGR).
“We would be 'underweight' on Avenue Supermarts but at current valuations, Trent, V-Mart Retail, Aditya Birla Fashion & Retail are looking good and we see decent upsides in these names from 6-12 month perspective," Roy said.
For more details, watch video