Devyani International Shares Soar 9% on Strong Q3, Brokerages Predict 56% Upside

• Devyani International shares surged 9% after Q3 results, with brokerages like Goldman Sachs, Jefferies, Bernstein, and Citi giving 'Buy' ratings.
• The company's merger with Sapphire Foods India Ltd. also positively impacted Sapphire Foods' shares, which rose 6%.
• Brokerages forecast a potential upside of up to 56% for Devyani International, with target prices ranging from ₹145 to ₹192.
• Key positives include positive Same-Store Sales Growth (SSSG) in most formats (except Pizza Hut) in January, improved profitability in acquired brands, and strong international growth.
• Challenges include margin pressure in India, higher overheads, and uncertainty about sustained demand improvement.