Goldman Sachs has maintained its neutral rating on Delhivery with a target price of ₹390, cautioning that the sharp rally in the stock since the announcement of the e-Comm Express acquisition leaves limited near-term upside. The stock has surged 70% since the deal was announced, compared with a 6% rise in the Sensex over the same period, as the market priced in potential volume gains and improved pricing power from the acquisition.
The brokerage acknowledged that better partial truckload (PTL) margins are likely to support profitability and that synergies from the deal should aid scale benefits. However, it pointed to quick-commerce share gains and an increasing mix of light parcels as factors that could limit the company’s pricing power and earnings trajectory. Goldman Sachs said that while Delhivery’s long-term growth prospects remain intact, the near-term risk-reward appears balanced after the recent rally, justifying its neutral stance.
Disclaimer: The views and recommendations made in this article are those of Goldman Sachs. This article does not constitute investment advice. Investors should consult their financial advisors before making any investment decisions.
