With Zomato’s stock up 124% so far this year, is it time to book a profit on this multi-bagger?
Zomato share price: At Rs 279.25 today, the stock was up 0.63 percent. At current pricing, it has already increased by 124.38% in 2024.
Throughout this year, investors have received multibagger gains from shares of online food aggregator Zomato. At the time of the last check, the stock was up 0.63 percent at Rs 279.25. At current pricing, it has already increased by 124.38% in 2024.
Gunjan Soni, the business’s independent director, resigned, the company told stock exchanges today. “This is to notify the Board that, as a result of my increasing workload, I now submit my resignation as an independent director of the company, effective October 11, 2024, at the conclusion of business hours. As a result, I will also be leaving the corporate social responsibility and risk management committees of the organization,” it said.
It is anticipated that Zomato would release positive second-quarter (Q2 FY25) earnings. “Zomato has recently been among the best-performing equities. Investors that have a long-term perspective can hang onto it. WealthMills Securities Director of Equity Strategy Kranthi Bathini predicted that the business will turn a profit in its next quarter.
“In India, the company controls the meal delivery market. Because of its strong operational KPIs and effective liquidity management, it is well-positioned for continued expansion,” Bigul CEO Atul Parakh stated.
According to some experts’ technical setup, following a sharp run-up, the stock is currently trading near its resistance levels. According to one of them, recording profits at current levels is something to think about.
“Rs 290 will be the resistance and Rs 274 the support. A clear closing over the Rs 290 mark might lead to more gains above Rs 300. For the near future, the anticipated trading range is between Rs 265 and Rs 300, according to Jigar S. Patel, Senior Manager-Technical Research Analyst at Anand Rathi.
“The stock is now trading in the vicinity of its resistance zone. Profits should be booked at present prices by investors. “With a stop loss of Rs 245 and a possible upside target of Rs 280, one can reenter around the Rs 250 level,” stated Ravi Singh, Senior Vice-President (Retail Research) at Religare Broking.
“On daily charts, the price of Zomato’s stock is flat to negative, with significant resistance near Rs 290. AR Ramachandran, a research analyst registered with Sebi, stated that a daily closure below the support level of Rs 275 might result in a short-term downward objective of Rs 240.
The price-to-book (P/B) ratio of the company’s stock is 10.76, while the price-to-equity (P/E) ratio is 156.52. The return on equity (RoE) was 6.87 and the earnings per share (EPS) was 1.77.
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