Jignanshu Gor, Director & Senior Research Analyst at Bernstein, said Avenue Supermart , parent company of DMart , is currently in a transformational phase, investing heavily in employees and new stores to strengthen its core business and compete with quick commerce.

“They have spent almost ₹ 4,000 crore on store growth over the last three years, and capex for H1 itself was another ₹ 1,500–1,600 crore,” he said, highlighting the company’s focus on network expansion.

Gor expects competition and cost pressures to ease in the coming quarters, supporting margin recovery.

He described the stock’s current valuation of 70-75x forward as reasonable, emphasising that Avenue Supermart offers a “solid business model which has potential for growth” compared with high-growth alternatives like

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