Zomato share

Zomato Share Rollercoaster: From Plunges to Peaks

Zomato's share price takes a wild ride as Q4 results shock investors. Find out why!

Zomato, the popular food delivery platform, experienced a rollercoaster ride in the stock market recently. Despite delivering a solid performance in the fourth quarter of FY24 with a consolidated net profit of ₹175 crore, Zomato's shares plunged by 6%, leaving investors puzzled. The stock price targets by UBS maintained a 'Buy' rating with a price target of Rs 250, reflecting positivity amidst the chaos. However, ESOP concerns and correction in share prices continued to weigh down Zomato's stock, even with positive target price revisions from various brokerages like CLSA and Jefferies.

The volatility in Zomato's share prices continued as they corrected by 10% in just two sessions after a remarkable growth period. The success of Zomato's quick commerce business, Blinkit, achieving operational EBITDA break-even in March 2024, brought some relief. Blinkit's plans to increase its dark store count further added to the intrigue surrounding Zomato's future prospects.

Despite the ups and downs, Emkay Global held a 'Buy' rating with a target share price of ₹230, instilling confidence in Zomato's potential growth. Investors are closely watching Zomato's movements post the Q4 results, anticipating the next move in the market as the food delivery giant continues to navigate through challenges and achievements.

As Zomato's share prices fluctuate, one thing remains certain - the market's unpredictable nature keeps investors on their toes. The clash between performance reports and market reactions creates a thrilling saga for stakeholders, highlighting the dynamic landscape of investment in the digital era.