The price of Yubilant food was locked on a 10 percent lower circuit at the beginning of trading on March 14 after the news of the CEO of the CEO of the Company and the Director of the entire Page of Rashmikant.

Pending sell orders 9,001 shares, without buyers available.

“The Jubilant Food Board of Directors in their meeting was held on March 11, 2022, accepting the resignation of the Pratik Rashmikant Pota as the CEO and Managing Director of the Company because he wanted to pursue opportunities outside the Jubilant Food,” the company said in a statement. Poca will continue in its current role until June 15.

The following is a view of brokers in stock and Post CEO company resignation:

Credit Suisse.

Research House Credit Suisse has maintained a ‘neutral’ rating on stock and cut target prices to Rs 2,900 from Rs 3,500 per share. It also lowered the multiple target to 55x.

“The CEO resignation is a setback and change of leadership during a challenging macro environment will become overhang,” he said.

Morgan Stanley.

The broker company has lowered the stock to be ‘lack of weight’ of ‘overweight’ and cut target prices to Rs 2,250 from Rs 5,000 per share.

After the CEO left, the strategy was questioned, he said.

Morgan Stanley has cut EPS FY23 / 24 estimates by 15 percent / 24 percent.

“The company still has a good position to play long-term growth stories in organized foods but leadership changes suddenly threaten short-term prospects,” he said.

JP Morgan.

JPMorgan has reduced stock for ‘neutral’ of ‘overweight’ at risk of increasing demand / margins.

It has cut target prices to rs 3,000 from RS 4.025 per share and lower EPS estimates EPS by 11 percent / 8 percent behind cutting margins.

According to broking companies, the resignation of an unexpected CEO adds uncertainty.

However, continue to believe in the mid-term story of the company.

Macquarie.

The home research has reduced the stock to ‘shortform’ and cut the target to Rs 2,150 from Rs 3,550 per share.

The weaker sales / store performance of the industry is under further pressure. However, CEO’s resignation raises concerns around execution and income growth. It has cut EPS estimation of FY22 / 23/24 by 3 percent / 13 percent / 15 percent.

At 9:17 a.m., Food Jubilant quoted at Rs 2,577.70, down Rs 286.40, or 10 percent in BSE.