Last Updated:
The rally in Eternal comes after its December-quarter performance as investors cheered improving profitability and a sharp turnaround in quick commerce.
Eternal Share Price.
Zomato Share Price: Shares of Eternal Ltd, the parent company of Zomato, jumped over 6% in early trade on Thursday to Rs 301.65, extending the rally sparked by its December-quarter performance as investors cheered improving profitability and a sharp turnaround in quick commerce. The surge pushed the company’s market capitalisation to around Rs 2.74 lakh crore.
However, the stock cooled to Rs 287.15 apiece on the NSE, which is 1.16% higher over the previous close of Rs 283.5 apiece.
The stock added to Wednesday’s nearly 5% advance, with momentum supported by positive brokerage reactions following the Q3 FY26 results.
What’s driving the rally in Eternal (Zomato)
Eternal, which owns Zomato and Blinkit, reported a 73% year-on-year increase in consolidated net profit to Rs 102 crore for the December quarter, broadly in line with expectations. Revenue climbed to Rs 16,315 crore, beating estimates, largely on the back of strong performance in quick commerce. EBITDA rose to Rs 368 crore, with margins expanding to 2.3%, while both Blinkit and Hyperpure turned adjusted EBITDA-profitable during the quarter.
The key trigger for the stock has been the inflection at Blinkit, which posted an adjusted EBITDA profit of Rs 4 crore after reporting losses in recent quarters.
What Brokerage Firms Say
Motilal Oswal on Thursday gave a ‘buy’ call to the Eternal stock. In its report, the brokerage firm said, “Eternal reported 3QFY26 net revenue of INR163b, up 20.7% QoQ, above our estimate of 11.8% QoQ growth”
“Our TP of INR360 implies a 27% upside from current levels. While FD growth is recovering, the pace of normalization remains gradual, and we expect the EBITDA respite in Blinkit to be short-lived as competitive intensity in quick commerce (QC) re-accelerates. We reiterate our BUY rating, supported by Eternal’s market leadership in both QC and FD and the long-term optionality in Blinkit as a generational opportunity in grocery and retail disruption. However, potential elevated discounting/investments in both QC and the going-out business are anticipated to constrain profitability in the short term,” Motilal Oswal stated.
Another brokerage CLSA reiterated its “high-conviction outperform call” with a target price of Rs 503, citing stronger-than-expected contribution per order and a 121% year-on-year surge in Blinkit’s net order value. Jefferies and HSBC maintained their buy ratings, pointing to quick commerce reaching EBITDA break-even and faster growth in food delivery, while Nomura reiterated a buy but flagged execution consistency as a key factor to monitor.
Alongside the earnings, Eternal announced a leadership transition, with founder Deepinder Goyal stepping down as managing director and CEO, and Blinkit CEO Albinder Dhindsa set to take over, subject to shareholder approval. Brokerages said the change is unlikely to affect the near-term investment case, noting that operational control had already been largely centred around Blinkit under Dhindsa.
Market participants are now closely tracking Blinkit’s profitability trajectory, steady food delivery growth, and execution amid the management transition.
Click here to add News18 as your preferred news source on Google.
January 22, 2026, 10:09 IST
Read More
