Shares of Eternal (formerly Zomato) surged nearly 8% in Tuesday’s trade, reaching ₹293, as investor sentiment improved following a strong Q1FY26 performance and a wave of brokerage upgrades. The company’s better-than-expected revenue, coupled with optimism around its quick commerce business Blinkit, drove the stock higher.
For the quarter ended June 2025, Eternal reported a 70.4% YoY rise in revenue to ₹7,167 crore, beating Street estimates. While EBITDA dropped 35% YoY to ₹115 crore, the company maintained a positive margin of 1.6%. Profit after tax fell sharply to ₹25 crore, from ₹253 crore a year ago, reflecting investments in scale and expansion. CEO Deepinder Goyal highlighted a turnaround in margins for Blinkit and unveiled plans for its new venture District to achieve $3 billion topline in five years.
Brokerages responded positively to the results. CLSA pointed out that Blinkit has now overtaken food delivery in gross order value and contribution. Jefferies, Goldman Sachs, Bernstein, and Nuvama all raised their target prices, citing structural improvements, growth in quick commerce, and bottoming out of food delivery volumes. Jefferies now sees the stock at ₹400, while Goldman Sachs raised its target to ₹340.
At the time of writing, Eternal shares were trading at ₹293 apiece, up 7.84%, with sustained buying interest on NSE.
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