Zomato Ltd saw its share price reach a record high today on March 26, marking a strong start to the last trading week of FY24 post the Holi festival. With an increase of over 1.35%, Zomato stock traded at ₹176.45, pushing its market capitalization above ₹1.55 lakh crore. This surge followed Blinkit, Zomato’s e-commerce arm, raising delivery charges by ₹11-35 in select areas of the NCR and MMR, expected to positively impact Zomato’s overall revenue and profitability.
The day started on a positive note for Zomato as its stock opened higher and peaked at ₹183.40 per share on the NSE. Over the past year, Zomato shares have witnessed an impressive growth of over 250%.
Blinkit’s CEO, Albinder Dhindsa, expressed gratitude for the surge in orders, orders per minute, and other key metrics during the Holi period. Popular items on e-commerce platforms included Gulal, water balloons, white T-shirts, detergents, and sweets.
Speculations suggest that Zomato’s rising share price might also be influenced by the upcoming Indian Premier League (IPL) season, potentially benefiting the company in the first quarter of FY25.
Several brokerage firms have shown confidence in Zomato’s performance, with Bernstein giving an ‘outperform’ rating and a target price of ₹200. Kotak Institutional Equities rated the stock as ‘buy’ with a target price of ₹190, while JM Financial also issued a ‘buy’ rating with a target price of ₹200.
