The shares of India’s largest food delivery app witnessed a massive uprise in the trading session on Friday. Zomato’s stock price skyrocketed to a 52-week high. The share touched Rs 190.50 in the closing time of the market. In the last 15 days, the price of Zomato’s share rose by 29 percent. Adding to this magnificent performance of the stock, the investors witnessed a 265 percent in its share price in one year. The total revenue of India’s largest food delivery app in the fourth quarter is expected to increase by 54 percent to Rs 3170 crores on an annual basis in March 2024. Experts believe that the total earnings of the company will grow by 2 percent. The brokerage girl CLSA estimated that Zomato’s consolidated EBITA margin for food should gradually surge from 5 percent to 6 percent in the medium term.
Brokerage firm Elara Capital has retained its buy rating on Zomato shares with a rise in target price. Previously, the brokerage firm had set a target price of Rs 181 which was not increased to Rs 227. Elara Capital analysts mentioned that they expect Zomato’s food delivery segment to grow by 19 percent annually and the Blinkit segment by 80 percent in terms of sales per order. The annual revenue of food delivery is expected to skyrocket by 35.8 percent, while the annual revenue of Blinkit is expected to grow by 84.8 percent. Adding to it, the brokerage firm also expects the Hyperpure segment of Zomato to experience a growth by 80 percent in its quarter preview.
Looking back at the past figures, Zomato’s share skyrocketed 265 percent. Last year Zomato’s shares were priced at Rs 51.70, which touched Rs 190 on April 5, 2024, marking a historic rise for the company. This year ,the shares have seen a surge of 55 percent. Adding to the tremendous performance, it is notable stating that the share has given a return of 82 percent to its investors in just six months.
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