Swiggy’s stock price surged to ₹516.45 (+5.27%) as of 9:16 AM, reflecting strong market sentiment following Bernstein’s initiation of an “Outperform” rating with a target price of ₹635.
Key takeaways from Bernstein:
- Swiggy remains a leader in India’s convenience economy, pioneering food delivery in 2014 and later expanding into quick commerce.
- India’s convenience economy is projected to grow at 50%+ CAGR, presenting a $70 billion total addressable market.
- Swiggy’s market share has stabilized at 42% due to innovative product launches like Swiggy One Lite.
- EBITDA margins are expected to expand from 1.2% in Q2FY25 to 4% by FY30, aligning with Zomato’s margin growth trajectory.
The stock’s performance indicates robust investor confidence in Swiggy’s growth strategy and long-term potential.
Disclaimer: This information is for informational purposes only. Please consult a financial advisor before making investment decisions.
