Zomato Stock Surges 5% in Anticipation of BSE Sensex Inclusion
Zomato, the popular food delivery platform, saw a 5% increase in its shares today as it prepares to join the BSE Sensex. The company will replace JSW Steel on the BSE Sensex starting December 23rd, 2024.
On November 25th, 2024, Zomato’s shares opened at Rs.273.25 on the National Stock Exchange (NSE) and saw a significant 5.20% jump early in the trading day. The stock has been showing some volatility lately, with a 2.08% increase in the previous trading session. Over the last six months, Zomato’s shares have shown strong growth, up by 50%. The year-to-date performance is even more impressive, with a whopping 122.75% increase. With a market capitalization of Rs. 2.42 lakh crore, Zomato holds a solid position in the market. Over the past year, the company’s shares have surged by an impressive 143%, making it one of the top performers in the Indian tech and food delivery sectors.
Apart from its Sensex inclusion, Zomato recently got the green light for an Rs. 8,500 crore Qualified Institutional Placement (QIP) to strengthen its balance sheet and support future growth strategies. This fundraising initiative comes on the heels of recent acquisitions, including the Rs. 2,014 crore purchase of Paytm’s entertainment ticketing business, which impacted the company’s cash reserves. Despite the dip in cash reserves to approximately Rs. 10,800 crore from Rs. 14,400 crore, Zomato remains optimistic about its growth prospects.
In the July-September 2024 quarter, Zomato reported stellar financial performance with a significant increase in revenue from operations to Rs. 2,848 crore. The company’s consolidated revenue also surged by 69% to reach Rs. 4,799 crore, thanks to strong consumer demand and effective business strategies. Zomato’s net profit saw a substantial improvement, jumping to Rs. 176 crore compared to the same period last year. With these positive developments, Zomato is gearing up for a bright future in the market.
