Blinkit More Valuable Than Zomato Food Delivery Biz: Goldman Sachs

[{"selector":"#anim-36e8b7ce-abe6-4e32-8fbc-778a5f79ceff","keyframes":{"opacity":[0,1]},"delay":0,"duration":3500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1b0dfe19-6f48-498b-aee5-7b21ccb70990","keyframes":{"transform":["translate3d(-122.04545%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-f9757287-855f-4d93-97cb-8416e2af4e97","keyframes":{"opacity":[0,1]},"delay":0,"duration":3500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}]

Goldman Sachs maintained its ‘Buy’ rating on foodtech major Zomato in its latest report and hiked the price target (PT) for the stock by over 40% to INR 240 from INR 170 earlier.

[{"selector":"#anim-613d01bc-46c9-4026-a1d6-d82022958a88 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(23.227163367671537%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":4500,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-b348c905-8c58-4a82-97f3-da394d7f494e","keyframes":{"transform":["translate3d(-141.81819%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-6b46f304-f1ff-4a6e-ab53-ab9871dcfd96","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b4c1290b-c86e-401f-8861-431c218ead00","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-a5a5cc3e-fd11-402a-a39e-f820507a6157","keyframes":{"transform":["translate3d(142.27273%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-1a006d63-d871-4d26-be3b-d291e2c9f3ed","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-a19acf5c-2f37-4509-aab0-219edca754ac","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-160b836b-866a-4b55-97e8-1f3a4f574f33","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}]

The updated PT represents an upside of nearly 30% to the stock’s close at INR 184.75 on the BSE on Thursday (April 25).

[{"selector":"#anim-c4a80a8d-1192-4fa0-a0b0-b8c84b248eef [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(36.63341336409969%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":4500,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-f5937aa4-d78f-4cc0-a38a-f1ae9baeceee","keyframes":{"transform":["translate3d(-141.81819%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-16fb76c5-9027-48fd-a992-5e3a715835d9","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-ced3025d-affa-4008-9606-bdb39abedb4e","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-3db3c872-681d-4011-b175-f1983286db57","keyframes":{"transform":["translate3d(142.27273%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-b29696da-3a97-44e4-8f3a-8844aed65128","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-75556c1e-5c6a-45e4-87cd-1784b3e7567c","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-c3456e6a-1ecd-4f66-aa1e-df00c6a2144f","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}]

Goldman Sachs cited the growth in Zomato’s quick commerce business Blinkit for the increase in the PT.

[{"selector":"#anim-9ac363d5-f430-4768-bd53-3169d3abf3c9 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(36.63341336409969%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":4500,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-44d90c0a-79f5-45d1-ad9f-fd679ac3b12f","keyframes":{"transform":["translate3d(-141.81819%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9e642033-b479-4eee-b73f-2b412157d2ef","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-196221e8-7923-4a74-9284-4e18a9bcfe40","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-8002b128-2e83-44e0-8694-718dd6de7151","keyframes":{"transform":["translate3d(142.27273%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-9ed743bb-ebc7-446a-b527-e81ed773a421","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-5a878a66-1f36-4734-a7a5-6196d6c977d3","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-4a428acc-2745-4286-beeb-868cab2005c0","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}]

Goldman Sachs expects Blinkit’s gross order value (GOV) to grow at a CAGR of 53% during FY24 to FY27.

[{"selector":"#anim-65d4c0e0-408a-48be-ba41-60add7ed85c1 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(30.258413325416424%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":4500,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-4b43df78-5cae-44e7-825c-faa9219e75ba","keyframes":{"transform":["translate3d(-141.81819%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-65a901a0-8dcb-48d4-a066-245b79a6ff69","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-3d9f7df8-f309-44fb-88ff-5e69373a1778","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-7cfe5312-0838-4885-85ff-d06f320405a9","keyframes":{"transform":["translate3d(142.27273%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e7b951bb-d439-43ff-9637-73c2db9d69c2","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-211d7567-ead8-462e-aad7-fb304975db42","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-2af687b1-45c9-4ef3-85f5-9212c2f60c0f","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}]

It also expects Blinkit to achieve EBITDA breakeven by Q4 FY24 and generate a higher EBITDA margin than Zomato’s food delivery business by FY30.

[{"selector":"#anim-b529b563-23fc-4ecd-b839-b1cedda0a07c [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(30.258413325416424%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":4500,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] [{"selector":"#anim-e5d86ff9-3552-40e4-97d2-be4c679508db","keyframes":{"transform":["translate3d(-141.81819%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e73bfc5c-1812-40b0-a362-d416261a7d48","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-d4ea261a-cd1c-4c2e-9024-db494e1868bf","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-f7c4585f-c92d-40a3-af14-5ee2cf78bd15","keyframes":{"transform":["translate3d(142.27273%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-98c96b4b-0674-4258-afc2-d55ba779c6c6","keyframes":{"opacity":[0,1]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-2016a6e5-7d2a-4f87-8a34-4b42e98e2003","keyframes":{"transform":["scale(0.15)","scale(1)"]},"delay":0,"duration":3000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"forwards"}] [{"selector":"#anim-d23e4e31-f6db-4b49-af44-0cb6aee10c68","keyframes":{"opacity":[0,1]},"delay":0,"duration":2000,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}]

Stay Updated with Zomato's latest coverage here:

[{"selector":"#anim-3cb9d75a-03de-4f1b-8bc8-c20873b35ab6","keyframes":{"opacity":[0,1]},"delay":0,"duration":3500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-e3d8c6cd-1c8d-4c56-a6a1-f27e8efe0a60","keyframes":{"transform":["translate3d(-121.59092%, 0px, 0)","translate3d(0px, 0px, 0)"]},"delay":0,"duration":3500,"easing":"cubic-bezier(0.2, 0.6, 0.0, 1)","fill":"both"}] [{"selector":"#anim-37dedf0e-c69a-4f67-8b20-2da257be4763","keyframes":{"opacity":[0,1]},"delay":0,"duration":3500,"easing":"cubic-bezier(0.4, 0.4, 0.0, 1)","fill":"both"}] [{"selector":"#anim-199003f8-f938-4297-995b-eb9a60a5fd74 [data-leaf-element=\"true\"]","keyframes":{"transform":["translate3d(-28.483653311953024%, 0, 0)","translate3d(0%, 0, 0)"]},"delay":0,"duration":4000,"easing":"cubic-bezier(.3,0,.55,1)","fill":"both"}] Learn More!