JPMorgan has initiated an ‘Overweight’ rating on Swiggy with a target price of ₹730/share, citing the company’s renewed focus and improved execution in its food delivery (FD) and quick commerce (QC) segments. The brokerage expects Swiggy to achieve critical scale across both verticals, with its FY27E B2C Gross Order Value (GOV) projected at ₹1,058 billion.
Swiggy’s profitability is expected to expand faster than peers over FY25E-FY28E as it achieves scale in its core businesses. Trading at a 1.8x EV/GOV and 6.1x EV/revenue on FY26E, Swiggy is currently valued at a 32-42% discount to Zomato, a gap JPMorgan considers overly pessimistic.
The brokerage sees Swiggy emerging as a key player in India’s local services ecosystem, leveraging its market position and operational improvements to drive growth and profitability in the coming years.
