Stock Review: Jollibee Foods Corporation | JFC

Disclaimer

 

About the Company:

Jollibee Foods Corporation (JFC) was incorporated on January 11, 1978. JFC’s principal business is the development, operation, and franchising of quick-service restaurants under the trade name “Jollibee”. In the Philippines, JFC also has, as subsidiaries, Fresh N’ Famous Foods, Inc., which develops, operates and franchises quick-service restaurants under the trade names “Chowking” and “Greenwich”; Red Ribbon Bakeshop, Inc., which develops, operates and franchises restaurants under the “Red Ribbon” trade name; Mang Inasal Phils., Inc. (MIPI), which develops, operates and franchises restaurants under the “Mang Inasal” trade name; and Perf Restaurants, Inc., which franchises restaurants under the “Burger King” trademark in the Philippines.

JFC also has subsidiaries and affiliates overseas which develop and operate its international brands, “Yonghe King”, “Hong Zhuang Yuan”, “San Pin Wang” brands under the SuperFoods Group, “12 Hotpot”, “Jinja” and “Dunkin’ Donuts”.

On October 13, 2015, the Company’s wholly-owned subsidiary, Bee Good! Inc., entered into an agreement with Smashburger Master LLC to acquire 40% of “Smashburger”, a fast casual better burger brand in the US. In April 2016, JFC acquired the remaining 30% share in MIPI, making the latter wholly-owned by the Company.

By the end of 2015, there were 916 Jollibee stores nationwide, of which 459 were franchised and 457 are Company-owned. In international operations, Jollibee had 139 stores with 32 stores in the US, 72 in Vietnam, 13 in Brunei, one in Hong Kong, two in Singapore, and 19 in the Middle East.

Management:

Recent news:

Jollibee unloads stake in Jinja Bar owner

Jollibee to divest from US restaurant business

Jollibee to sell stake in Chinese restaurant chain

Jollibee, partner to list subsidiary on Vietnam Stock Exchange

 

Financials

 

Dividends

 

Technical Analysis / Charts

Based on the Chart above:

Resistance 1: Php 217.00

Resistance 2: Php 234.07

Support 1: Php 201.00

Support 2: Php 180.44

Stochastic:  Sell Signal

 

Recommendation: With a lot of refocus for JFC it seems we need to wait for some good news before this stock picks up again. If for the next few weeks this won’t go up to Php 220.00 I’ll stay away from this stock until it stabilizes.

Cut Loss if I have a position is Php 200.00 Re entry  is at around Php 180.00 to Php 190.00

Hold: If the price holds Php 200.00 I’ll hold and buy if it breaks Php 220.00

 

Hope this helps 🙂