Introduction: Zomato’s Market Performance
Zomato Share Price Target- Zomato Ltd. (NSE: ZOMATO), India’s leading food delivery and quick commerce company, has been on a strong upward trend. On February 7, 2025, Zomato’s share price closed at ₹233.85, marking a 2.10% increase from its previous close of ₹229.05. Investors are keenly watching whether the stock will sustain this rally.
In this blog, we analyze Zomato’s future stock price predictions, potential growth drivers, risks, and expert opinions to help investors decide whether to buy, hold, or sell Zomato shares.
zomato
Current Fundamental Analysis
Metric | Value |
Current Stock Price | ₹233.85 |
Market Cap | ₹2.06 Lakh Crore |
52-Week High | ₹259.95 |
52-Week Low | ₹47.60 |
P/E Ratio | 96.20 |
Revenue (FY24) | ₹10,450 Crore |
Net Profit (Q3 FY25) | ₹125 Crore |
Ownership | 56% Institutional, 30% Retail, 14% Promoters |
Future Projects & Growth Strategy
1. Expansion in Quick Commerce 🚀
- Zomato’s Blinkit business is growing rapidly, with gross order value (GOV) up 100% YoY in Q3 FY25.
- The company is expanding its 15-minute delivery network in major cities to compete with Swiggy Instamart & Zepto.
2. International Expansion Plans 🌍
- Zomato has entered the UAE market, and analysts expect further international growth in FY26.
- Focus on high-margin markets to improve profitability.
3. Profitability Focus & Cost Optimization 💰
- Zomato turned profitable in Q3 FY24 and continues to reduce costs.
- The company’s EBITDA margins have improved from -4% to +6% over the past year.
4. Possible Nifty 50 Inclusion 📊
- If Zomato is added to Nifty 50 in 2025, it could attract $700 million in foreign inflows, boosting stock demand.
Future Risks & Challenges
1. Competitive Pressure 🛑
- Swiggy, Zepto, Amazon Fresh, and Dunzo pose threats to Zomato’s quick commerce expansion.
- Intense competition may lead to price wars, affecting profitability.
2. Regulatory & Legal Risks ⚖️
- New regulations on food aggregators and consumer data privacy could impact Zomato’s operations.
3. Global Economic Uncertainty 📉
- A global slowdown or interest rate hikes could impact investor sentiment and stock valuations.
Short-Term Prediction (Next 6-12 Months)
Growth Drivers:
✔️ Blinkit’s expansion in quick commerce✔️ Strong revenue & profit growth✔️ Market share gains over Swiggy
Risks & Challenges:
⚠️ Competitive pricing pressure⚠️ Regulatory hurdles⚠️ High P/E ratio compared to traditional FMCG stocks
Short-Term Price Target:
📈 Analysts expect Zomato’s stock to hit ₹260-₹275 within the next 6-12 months.
Long-Term Prediction (2025-2030)
Big Funds & Banks’ Views on Zomato:
- Goldman Sachs: ₹310 target, citing Blinkit’s 100% YoY growth.
- Morgan Stanley: ₹280 target, highlighting Nifty 50 inclusion potential.
- Motilal Oswal: ₹320 long-term target, expects 5x revenue growth by 2030.
Market Sentiment & Investor Outlook:
✔️ Long-term investors remain bullish, expecting Zomato to dominate India’s quick commerce sector.✔️ Valuation concerns persist, as the stock trades at a high P/E ratio of 96.2.
Long-Term Price Target (2025-2030):
📈 ₹300-₹350 by 2026, with potential upside to ₹500 by 2030 if Zomato maintains profitability.
Financial Growth Analysis
Metric | YoY Growth (FY24-25) |
Revenue Growth | +45% 🚀 |
Profit Growth | +100% (Turned Profitable) 💰 |
EBITDA Growth | +250% 📊 |
Conclusion: Should You Invest?
📌 Buy if you believe in long-term growth of food delivery & quick commerce.
📌 Hold if you already own Zomato shares and expect Nifty 50 inclusion & revenue growth.📌 Sell if you prefer lower-risk stocks with better valuation metrics.
Overall, Zomato’s stock remains a high-growth, high-risk investment for long-term investors. 🚀
Disclaimer:
This blog is for informational purposes only and should not be considered financial advice. Please consult a professional before making investment decisions.