Motilal Oswal cuts Swiggy target to ₹280, keeps 'buy'
Business
Motilal Oswal has dropped Swiggy's share price target from ₹360 to ₹280 after its latest results, a big cut from the IPO price of ₹390.
Even so, it is still saying "buy," since the new target is 32% higher than Thursday's closing price.
Swiggy needs quick commerce profit plan
Swiggy is not growing as fast as its main competitors. In the first half of this financial year, its Food Delivery GOV grew by 17.5%, while Eternal's Food Delivery GOV grew by 21.7%.
Instamart, Swiggy's quick commerce arm, saw just 37% growth, way behind Blinkit's massive 83%.
Motilal Oswal says Swiggy needs a solid plan for profits in quick commerce if it wants to boost its value again.