When to Buy Zomato Shares: A Guide for Smart Investors

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Thinking about getting into the stock market and eyeing Zomato shares? To really figure out when to buy Zomato shares, you’ll need to look at a mix of things like their business performance, what the market is doing, and what financial experts are saying. It’s not just about today’s price. it’s about understanding the whole picture to make a smart choice. Zomato, a big player in India’s online food delivery and restaurant discovery scene, got listed on the NSE and BSE back in July 2021 with an IPO price of ₹76 per share. Since then, it’s been quite a ride for the stock, showing both exciting growth and some challenging dips.

Before you even think about hitting that “buy” button, it’s crucial to understand what Zomato is all about and where it might be headed. This company isn’t just about food delivery anymore. they’ve expanded into quick commerce with Blinkit and even business-to-business B2B supplies with Hyperpure. These diversified ventures are key to their future growth, but they also bring their own set of challenges, like intense competition and the need for significant investment.

Many investors are constantly asking, “can we buy Zomato shares now” or “can we buy Zomato shares today”? The answer isn’t a simple yes or no. It requires digging into their financials, looking at market sentiment, and considering long-term growth triggers. If you’re new to investing, platforms like Angel One or Groww make it straightforward to open a Demat account and start trading. For those looking for comprehensive tools to manage their investments, exploring options like investment tracking software can be super helpful.

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This guide will break down everything you need to know about Zomato shares, from their current market position and financial health to future outlooks and expert recommendations. We’ll touch on how to buy Zomato shares, understand their performance on the NSE, and ultimately help you decide if Zomato fits into your investment portfolio. Remember, the stock market can be volatile, so being well-informed is your best strategy. For a beginner, it might be a good idea to also look into some stock market investing books to build a solid foundation.

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Understanding Zomato: More Than Just Food Delivery

When you hear “Zomato,” most people probably think of ordering biryani or a pizza, right? But the company has really grown beyond just food delivery. It started in 2008 as FoodieBay, founded by Deepinder Goyal and Pankaj Chaddah, and later rebranded to Zomato in 2010 as it expanded across India and internationally. Today, Zomato is a multinational restaurant aggregator and online food delivery service, operational in over 24 countries, though its primary focus is on India.

Their core business still involves online food ordering and delivery, connecting customers with restaurants through their website and mobile app. But they’ve smartly diversified their offerings, which is crucial for any tech company looking for sustainable growth.

The Blinkit Acquisition and Quick Commerce

One of Zomato’s most significant moves has been its foray into the quick commerce space, primarily through the acquisition of Grofers, which was later rebranded as Blinkit. They initially acquired a 9.3% stake in Grofers in June 2021 and completed the full acquisition in a $568 million deal in 2022.

Blinkit is their quick commerce platform where users can order everyday essentials, delivered super fast, often in just 10 minutes. This segment has seen impressive growth, with quick commerce surging by 155% in Q1 FY25-26. Zomato is actively expanding Blinkit’s presence, focusing on India’s top eight cities where they feel there’s significant untapped potential. This expansion strategy is a big part of their plan to grow market share and profitability, especially in the direct-to-consumer D2C space.

Hyperpure: A B2B Powerhouse

Another key segment for Zomato is Hyperpure, their business-to-business B2B platform. This initiative supplies high-quality ingredients and kitchen products to their partner restaurants. Think of it as a farm-to-fork model, providing next-day delivery on a wide range of items like staples, packaged and frozen products, fresh fruits and vegetables, poultry, and seafood. When to Buy Yellow Watermelon: Your Ultimate Guide to Sweetness!

Hyperpure is a smart move because it helps Zomato build stronger relationships with restaurants and also contributes significantly to their overall profitability by cutting out middlemen and keeping costs low. This segment has also shown strong growth, increasing by 89% in Q1 FY25-26.

Other Ventures

Beyond food delivery, Blinkit, and Hyperpure, Zomato also has other offerings like dining-out services, restaurant discovery, loyalty programs like Zomato Gold, and even District, an entertainment business. These diverse revenue streams are all aimed at solidifying their position in the broader digital commerce sector in India. This diversification can be a good sign for investors, as it reduces reliance on a single business model. For anyone interested in the broader e-commerce market in India, keeping an eye on Indian e-commerce trends can provide valuable context.

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Zomato on the Stock Market: Key Metrics and Performance

So, you’re wondering, “is Zomato listed in stock market?” Yes, absolutely! Zomato Limited is publicly traded on both the National Stock Exchange NSE and the Bombay Stock Exchange BSE in India. Its stock symbol on the NSE is ZOMATO or sometimes ETERNAL, especially for its parent company. It went public on July 23, 2021, with an IPO price band of ₹72–₹76 per share.

Understanding Zomato’s performance involves looking at several financial metrics and market trends. As of early September 2025, the Zomato share price on the NSE was around ₹324.6. It has seen significant volatility, with a 52-week high of ₹331.35 and a low of ₹194.80. When to Buy XRP Next: Your Guide to Strategic Investing

Financial Snapshot and Growth

Zomato has shown robust growth in recent years. For the full year FY2025–2026, its revenue reached ₹21,320 crore, and it reported a net profit of ₹527 crore. In Q1 FY25-26, the company’s revenue rose by 70% from ₹4,206 crore to ₹7,167 crore. During the same period, net profit declined from ₹253 crore to ₹25 crore. This indicates strong revenue growth but also highlights that profitability can be impacted by investments and operational costs, especially in rapidly expanding segments like quick commerce.

The company’s Gross Order Value GOV in the food delivery segment was ₹10,769 crore in the April–June quarter, showing a 16% year-on-year increase. While this is solid, the growth rate has cooled compared to previous quarters which saw over 20%. Revenue from operations increased by 110% to ₹41.9 billion in FY22 from ₹19.9 billion in FY21.

Challenges and Risks

It’s not all sunshine and rainbows. Zomato faces several challenges that can impact its share price:

  • Intense Competition: The food delivery market in India is highly competitive, with Swiggy being its main rival. New players like Amazon Food Delivery and Reliance, and quick commerce players like Zepto, are intensifying the competition. This often leads to price wars and discounting, which can affect profitability.
  • Profitability Concerns: While Zomato has become profitable, maintaining and increasing those profits can be tough due to rising operational spending, personnel expenses, and heavy investments in growth areas like Blinkit. The company’s high valuation ratios, like a P/E ratio of over 1000 and a P/B ratio of 10.2, suggest investors are paying a significant premium for future growth, which means the stock could be considered overvalued if earnings don’t grow fast enough.
  • Regulatory Hurdles: Changes in regulations can also affect the food delivery industry and Zomato’s stock price.
  • Customer Sensitivity to Price: Indian consumers are very price-sensitive and don’t always show strong brand loyalty, which means they might switch platforms if there’s a better deal. Zomato has recently increased its platform fee to ₹12 per order, which could affect customer behavior.

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When to Consider Buying Zomato Shares: A Deeper Look

Deciding “when to buy Zomato” or “best time to buy Zomato shares” requires more than just looking at the current price. It’s about understanding market cycles, company fundamentals, and your own investment goals. When to Buy XRP Again: Your Ultimate Guide for Informed Decisions

Analyzing Zomato’s Growth Triggers

Despite the challenges, Zomato has strong growth triggers that attract investors:

  • Dominant Market Position: Zomato holds a significant market share around 55% in the Indian food delivery vertical. This leadership position gives them a strong advantage.
  • Diversified Business Model: The expansion into quick commerce Blinkit and B2B supplies Hyperpure opens up new avenues for revenue and profitability. Blinkit’s focus on the top eight cities is expected to drive substantial Gross Order Value GOV growth.
  • Increasing Internet Penetration: India’s growing internet penetration, especially in tier 2 and tier 3 cities, along with increasing disposable income, suggests a growing demand for convenience services like food and grocery delivery.
  • Technological Advancement: Zomato leverages machine learning and AI for personalized recommendations, which can enhance user experience and drive orders.
  • Platform Fees: The introduction and steady increase of platform fees now at ₹12 per order are positive for the company’s financials, aiming to improve margins.

What the Experts Say and When to Listen

Investment experts often have differing opinions, which is why it’s wise to consider a range of views. Many analysts have a bullish outlook on Zomato for the long term. Some suggest that if the stock dips to levels around ₹250-255, it could be a good opportunity to average out your buy price or invest further.

For instance, one market expert mentioned that despite a significant rise from ₹50 to over ₹300, a period of consolidation might occur, but they anticipate Zomato could hit new highs within 1 to 2 years. Another brokerage firm, ICICI Securities, has a “buy” call with a target price of ₹300, believing the food delivery market can grow at a CAGR of over 20% until FY33E.

However, some experts also caution about Zomato’s high valuation ratios, like its Price-to-Earnings P/E ratio of 1,038 and Price-to-Sales P/S ratio of 13.04 compared to Swiggy’s 6.02 P/S ratio. These high ratios suggest the stock might be overvalued unless future earnings grow significantly to justify the current price. Some technical analysts suggest avoiding a fresh buy when the stock is highly overextended and trading significantly above key exponential moving averages, recommending waiting for a correction.

A derivative analyst at Choice Broking noted that if the price closes above ₹295, it could target ₹320 and ₹360 in the short term, with immediate support at ₹275, presenting a “buy on dips” opportunity. But they also advise a stop loss at ₹260 for risk management. When to Buy XRP: Your Ultimate Guide to Smart Crypto Investing

Ultimately, for long-term investors, the focus is often on the company’s fundamental growth story and its ability to become a dominant, profitable entity in the digital commerce space. For those interested in understanding market sentiment better, exploring stock market sentiment analysis tools can provide additional insights.

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Looking at Price Targets and Forecasts

Various analysts provide price targets for Zomato, giving us an idea of potential future values. Keep in mind these are forecasts and not guarantees.

  • 2025: Analysts expect Zomato shares to fluctuate between ₹237.80 and ₹357.10, with an average target of ₹304.73.
  • 2026: The minimum price could be ₹350.50, and the maximum might reach ₹490.70, with an average around ₹431.42.
  • 2027: Estimates range from ₹480.90 to ₹650.70, with an average of ₹577.20.
  • 2029: Projections indicate a lowest price target of ₹840.20 and a highest of ₹1,060.50, averaging around ₹961.64.
  • 2030: Walletinvestor.com predicts a long-term increase, with the Zomato stock price prognosis for May 2030 at ₹475.134, suggesting a potential revenue of around +97.97% with a 5-year investment.

These forecasts, while optimistic for the long term, underscore the potential for short-to-medium term fluctuations. It’s like planning a long road trip. you know your destination, but there will be twists and turns along the way. Having a diversified portfolio can help manage some of these risks. For those building a diversified portfolio, consider looking into beginner investing kits that often include guides and tools.

How to Buy Zomato Shares

If you’ve done your homework and decided that investing in Zomato shares aligns with your financial goals and risk appetite, the process is pretty straightforward. Zomato is listed on the National Stock Exchange NSE and Bombay Stock Exchange BSE in India, so you’ll be buying shares in the Indian stock market. When to Buy a Washer and Dryer: Your Ultimate Savings Guide

Step-by-Step Guide to Buying Zomato Shares

Here’s a simple breakdown of how you can purchase Zomato shares:

  1. Open a Demat and Trading Account: This is the first and most crucial step. You can’t directly buy or sell shares without these accounts. A Demat account holds your shares electronically, similar to how a bank account holds your money. A trading account is what you use to place buy and sell orders in the stock market. You can open these accounts with a stockbroker. Many brokers offer online account opening, making the process quick and easy. Popular brokers in India include Angel One, Groww, Zerodha, and Kotak Securities. When choosing a broker, consider their fees, services, and user-friendliness. For tools to help manage your brokerage accounts, consider checking out personal finance software.

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  2. Complete KYC Know Your Customer: To open your accounts, you’ll need to complete a KYC process, which involves providing identity proof like a PAN card and address proof like an Aadhaar card. This is a standard regulatory requirement.

  3. Fund Your Trading Account: Once your Demat and trading accounts are open and verified, you’ll need to deposit money into your trading account. Most brokers allow deposits via bank transfer, credit/debit cards, or even electronic wallets. When to Buy VTSAX: Your Ultimate Guide to Smart Investing

  4. Search for Zomato Shares: Log in to your broker’s trading platform which could be a website or a mobile app. Look for a search bar and type “Zomato” or its stock symbol, which is ZOMATO on the NSE. You might also see it listed under “ETERNAL” as its parent company.

  5. Place Your Order:

    • Choose the Exchange: Zomato is listed on both NSE and BSE. You’ll typically choose NSE for higher liquidity.
    • Specify Quantity: Enter the number of shares you wish to buy.
    • Select Order Type:
      • Market Order: This buys the shares immediately at the current market price.
      • Limit Order: This allows you to set a specific price at which you want to buy the shares. Your order will only execute if the stock reaches that price or lower. This can be a good strategy if you’re waiting for a dip.
    • Submit Your Order: Review all the details and then confirm your purchase.
  6. Monitor Your Investment: After buying, it’s a good idea to keep an eye on Zomato’s share price and any company news. The stock market is dynamic, and prices fluctuate daily. You can use your broker’s platform or dedicated stock market analysis apps to track your investments.

Important Considerations Before Buying

  • Risk Appetite: Remember, investing in stocks carries risks. Zomato’s stock price can be volatile. Only invest money you can afford to lose.
  • Long-Term vs. Short-Term: Are you looking to hold Zomato shares for the long haul, or are you hoping for short-term gains? Your investment horizon will influence your strategy. Experts suggest Zomato has long-term potential but might see short-term corrections.
  • Diversification: Don’t put all your eggs in one basket. Diversifying your portfolio across different stocks and asset classes can help mitigate risk. For beginners, a good diversified portfolio guide can be a useful resource.
  • Research: Always do your own research before investing. While expert opinions are helpful, your understanding of the company and market is paramount.

Factors Influencing Zomato’s Share Price

Zomato’s share price, like any other stock, is influenced by a multitude of factors, both internal to the company and external market forces. Keeping an eye on these can help you make more informed decisions about “when to buy Zomato.”

Company-Specific Factors

  • Financial Performance: This is a big one. Zomato’s revenue growth, profitability or losses, and operational efficiency directly impact investor sentiment. As we’ve seen, while revenue has been strong, consistent profitability can be a challenge due to heavy investments in growth. For keeping track of your own personal finances, a budgeting planner can be surprisingly helpful.
  • Gross Order Value GOV: The total value of food orders placed on its platform is a key indicator of its core food delivery business health.
  • User Base and Engagement: Growth in the number of active users, order frequency, and average order value all point to a healthy platform.
  • Expansion Strategies: How effectively Zomato expands its reach into new cities and grows its quick commerce Blinkit and B2B Hyperpure segments plays a crucial role.
  • Platform Fees and Monetization: Changes in platform fees, commissions from restaurants, and other monetization efforts directly affect revenue and profit margins.
  • Acquisitions and Investments: Strategic acquisitions, like Blinkit, can significantly alter the company’s trajectory and market perception.
  • Cost Optimization: The company’s ability to manage and reduce operational costs, delivery expenses, and marketing spend is vital for improving profitability.

Industry and Market Factors

  • Competition: The highly competitive nature of the food delivery and quick commerce industries, with strong rivals like Swiggy, Amazon, and Reliance, creates pressure on pricing and market share.
  • Consumer Behavior: Shifts in consumer preferences, such as increased demand for online food ordering and quick grocery delivery, can provide tailwinds for Zomato. However, consumer price sensitivity in India is a significant factor.
  • Economic Conditions: Broader economic trends, such as inflation, interest rates, and consumer spending power, can influence discretionary spending on food delivery.
  • Regulatory Environment: Any new regulations or changes in existing policies related to online food delivery or e-commerce can impact Zomato’s operations and profitability.
  • Market Sentiment: Overall investor sentiment towards tech stocks and the broader market can also affect Zomato’s share price, regardless of its individual performance.
  • Technological Advancements: Innovation in delivery logistics, AI, and platform features can give Zomato a competitive edge. Keeping up with tech industry news can give you a heads-up on broader trends affecting companies like Zomato.

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Zomato’s Future Outlook: What to Expect

Looking ahead, Zomato’s future outlook is a mix of promising growth opportunities and persistent challenges. The company is actively working to solidify its position and expand its footprint in the rapidly digital commerce .

Growth Prospects

  • Market Expansion: The online meal delivery business in India is predicted to grow significantly, with revenue potentially reaching $44 billion by the end of 2024 and a market volume of US$92.5 billion by 2029. This provides a massive runway for Zomato.
  • Blinkit’s Potential: The quick commerce segment, led by Blinkit, is expected to be a major growth driver. Zomato plans to bring major cities like Bangalore and Mumbai to the level of Delhi NCR in terms of store footprint and Gross Order Value GOV, which could significantly boost overall GOV. The grocery delivery market in India is also projected to grow by 30.7% in 2025.
  • Hyperpure’s Contribution: The B2B supply segment, Hyperpure, is a strong contributor to revenue and profitability due to its efficient, low-cost model.
  • Leveraging Technology: Zomato’s continued investment in AI and machine learning for personalized recommendations and efficient logistics will be key to retaining users and optimizing operations.
  • Monetization Efforts: The strategic implementation of platform fees and other revenue-generating initiatives is aimed at improving margins and overall profitability.
  • Long-Term Bullish View: Many analysts maintain a long-term bullish outlook for Zomato, expecting continued gains over the next few years.

Potential Challenges Ahead

  • Intensifying Competition: The entry of well-funded players like Reliance and Tata through the Tata Neu app, alongside existing competition from Swiggy, could lead to sustained pressure on market share and profitability. Amazon is also reportedly entering the quick commerce delivery space in India.
  • Profitability vs. Growth: Balancing aggressive expansion and market share acquisition with achieving consistent and substantial profitability will remain a critical challenge. High valuation ratios will demand equally high earnings growth to justify them.
  • Cash Burn: The quick commerce sector often involves significant cash burn due to heavy investments in infrastructure, discounts, and marketing to acquire customers.
  • Economic Headwinds: Any slowdown in consumer spending or adverse economic conditions could impact Zomato’s growth trajectory.

In essence, Zomato has a strong foundation and is operating in a high-growth market. Its diversified strategy, particularly with Blinkit and Hyperpure, positions it well for future expansion. However, investors should be mindful of the intense competitive and the ongoing need for the company to convert its impressive revenue growth into sustainable, increasing profits. For anyone investing for the long term, patience and regular monitoring of the company’s financial health and strategic moves will be essential. Keeping a close watch on market research reports can also offer valuable external perspectives on Zomato’s industry.

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Frequently Asked Questions

Is Zomato listed in the stock market?

Yes, Zomato Limited is listed and publicly traded on both the National Stock Exchange NSE and the Bombay Stock Exchange BSE in India. Its shares became available for trading on July 23, 2021, after its Initial Public Offering IPO. Your Ultimate Guide to Scoring Cheap Thanksgiving Flights in 2025

Can we buy Zomato shares now?

Yes, you can buy Zomato shares now through a stockbroker by opening a Demat and trading account. The process involves registering with a broker, completing KYC, funding your account, and then placing a buy order for Zomato shares on the trading platform.

What is the stock symbol for Zomato on the NSE?

The stock symbol for Zomato on the National Stock Exchange NSE is “ZOMATO”. Sometimes it might also be referred to as “ETERNAL,” which is the parent company of Zomato and Blinkit.

What are the main businesses of Zomato beyond food delivery?

Beyond its core food delivery service, Zomato has significantly diversified its business. Its main additional segments include Blinkit, a quick commerce platform offering fast delivery of everyday essentials, and Hyperpure, a B2B platform that supplies high-quality ingredients and kitchen products to restaurants. They also have dining-out services and loyalty programs.

What are the expert recommendations for Zomato shares?

Expert opinions on Zomato shares are varied but often lean bullish for the long term. Some analysts suggest buying on dips, especially if the stock falls closer to the ₹250-255 range, with potential for new highs in 1-2 years. However, some also caution about its high valuation ratios like a high P/E ratio, indicating it might be overvalued at certain price points and recommend waiting for corrections. It’s crucial for investors to align recommendations with their own risk appetite and investment horizon.

What is the future outlook for Zomato shares?

The future outlook for Zomato shares is generally positive, driven by the expanding online food and grocery delivery markets in India. The growth of Blinkit quick commerce and Hyperpure B2B supplies are expected to be key drivers. However, the company faces intense competition, profitability challenges due to heavy investments, and the need to effectively manage rising operational costs. Long-term growth is anticipated, but short-to-medium term volatility is also expected. When to Buy QQQM: Your Ultimate Guide to Smart Investing in Tech’s Future

What was Zomato’s IPO price and when was it listed?

Zomato’s Initial Public Offering IPO was priced in the range of ₹72–₹76 per share. The shares were officially listed on the BSE and NSE on Friday, July 23, 2021.

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