Zamoto share price

Zomato Share Price

Is It a Good Investment?

Zomato is an Indian online food delivery and restaurant aggregator company. It is one of the most popular food delivery platforms in India, with over 100 million users. The company's shares are listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).

Zomato share price has been on a tear in recent months, up by more than 50% from its all-time low of Rs. 46 in January 2023. There are a number of factors that have contributed to this rise, including:

* The growing popularity of online food ordering and delivery in India.

* The company's strong financial performance. Zomato's revenue grew by 75% in the financial year 2022-23, and its net profit increased by 100%.

* The company's expansion plans. Zomato is expanding its operations into new markets, including the United Arab Emirates, the United Kingdom, and the United States.

Despite the recent rise

Zomato share price is still relatively cheap, trading at a price-to-earnings (P/E) ratio of just 15. This makes it a good value stock for investors who are looking for exposure to the growing online food delivery market in India.

Here are some of the key factors that could support the future growth of Zomato's share price:

* Continued growth in the online food delivery market:

 The online food delivery market in India is expected to grow at a compound annual growth rate (CAGR) of 20% over the next five years. This growth will be driven by the increasing urbanization of India, the rising disposable incomes of Indians, and the growing popularity of smartphones.

* Zomato's strong financial performance:

 Zomato has been consistently profitable in recent quarters. The company's revenue and net profit are expected to continue to grow in the coming quarters.

* Zomato's expansion plans: 

Zomato is expanding its operations into new markets, which will help it to reach a wider audience and grow its revenue.

Overall

Zomato is a good value stock with the potential for significant growth in the future. The company is well-positioned to benefit from the growing online food delivery market in India, and it has a strong track record of financial performance.

However

 there are some risks associated with investing in Zomato. The company is still relatively new, and it faces competition from other online food delivery platforms, such as Swiggy and Uber Eats. Additionally, the company is reliant on third-party restaurants for its food supply, which could be a risk if any of these restaurants were to go out of business.

Zamoto share price

As of August 5, 2023, 10:30 AM IST, the share price of Zomato Limited (ZOMATO) is Rs. 86.22. It has a market capitalization of Rs. 63,867.47 crore.

The share price of Zomato has been on a downward trend in recent months, down by more than 10% from its all-time high of Rs. 96.23 in July 2023. There are a number of factors that have contributed to this decline, including:

The broader sell-off in the Indian stock market, which has affected all stocks, including Zomato.

The company's recent losses. Zomato reported a net loss of Rs. 473 crore in the financial year 2022-23.

The company's high valuation. Zomato is trading at a price-to-earnings (P/E) ratio of 100, which is high compared to other food delivery companies.