Zomato to Morgan Stanley Stock Price: Double returns expected 3-4 years; read details

By Richa Barua | First Published Dec 10, 2024, 5:29 PM IST

Quick commerce stock Zomato is expected to double investors' money in the coming years. A global brokerage firm's report suggests the company's strong market hold will drive its growth.

The stock market remains volatile. After opening in the green on December 10th, the market declined. Meanwhile, a global brokerage firm is bullish on a quick commerce company's stock. Expecting positive growth in this stock, they predict it could soon double investors' money. Investors in this stock could see good returns in the next three to four years. Let's learn more about this stock...

Strong Returns in Three-Four Years

This stock is of the food delivery company Zomato. Morgan Stanley, a foreign brokerage firm, has reported on Zomato, a leader in its sector. The report states that the stock could double investors' money in three to four years.

Tap to resize

Latest Videos

Also Read: Tata stocks to buy before New Year 2025: Latest share market updates

Zomato Share Price

On Tuesday, December 10, 2024, the Zomato Share Price is ₹295.70. The brokerage has given an upside target of 36% on this stock. A latest report by Morgan Stanley expects tremendous growth in this stock in the coming three to four years. According to the report, Zomato has a very strong hold on its quick commerce platform Blinkit and food delivery business. Being a market leader, it becomes a top pick in this sector.

Tap to resize

Also Read: Tata Motors to Biocon: Stocks to watch on December 10, 2024

Why Zomato Stock Could Rise

According to the report, the quick commerce market in India, meaning 30-minute delivery, could reach about $6.8 billion in 2024. The brokerage estimates that it could reach $42-55 billion by 2030. This will boost services like Zomato's Blinkit, which could capture up to 40% of the market. In addition, Zomato is already a leader in the food delivery sector. Its food delivery business and Blinkit's quick commerce business could reach an adjusted EBITDA margin of over 5% by 2030.

Zomato Share Price Target

Morgan Stanley has set a target price of ₹355 for Zomato's stock, which is about 36% higher than the current price. The report states that Blinkit could be valued at ₹212, which is currently undervalued in the market. However, the company's path is quite challenging. Staying on top in food delivery and quick commerce in a competitive environment is the biggest challenge. However, Zomato's segment is quite strong.

Note- Investing in the stock market is subject to risks. Consult your market expert before investing.

For more reliable and latest news