Zomato Share Price Target – Zomato is an Indian food delivery company founded in 2008 by IIT graduates. It is the largest online food delivery company in India and its main competitor is Swiggy, a prominent online food delivery company in India. As per money control, Zomato has more than 2.8 lakh food delivery partners and additionally 50k direct employers. 

Currently, the online meal and grocery delivery market is at $34 billion and is expected to reach $71 billion by 2027. 

Zomato Share Price Target 2023 and 2025

There has been a lot of strikes that had happed against Zomato by their delivery partners due to the reduction in incentives and bonus. However, Zomato has been continuously increasing its growth year on year by expanding its business in numerous other ways possible

Zomato Share Price Target 2023

In recent news, Zomato and Zypp are collaborating to deploy 1 lakh electric scooters by 2024 and additionally, Zypee will also provide delivery partners to Zomato for last-mile delivery.

As per our estimates Zomato share price target in 2023 is 69 to 71. Zomato is truly an exceptional company in its scale but the cost of delivering the food is a difficult part that needs to address.

Zomato Share Price Target 2025

Zomato has recorded a net loss of 343 core in its Q3 results. However, the total income of the company has increased to 2121 crores a 68% rise compared to the previous quarter.

The revenue is increasing but the worrying factor is the widening of loss. The share of Zomato in 2024 will be 120 to 165

Zomato Share Price Target 2023 and 2025 list

Year	Price
2023	69 to 71
2025	120 to 165

Financials of Zomato

Zomato is a large-cap company

Ratios	values
MARKET CAP	₹ 55,249.96 Cr
P/E	0
P/B	2.71
BOOK VALUE	23.78
PROMOTER HOLDING	0
EPS	-0.42
SALES GROWTH	110.69%
ROE	-9.53 %
ROCE	-8.75%

Zomato business model

Zomato works in BtoB and BtoC model. Zomato works as a search engine in finding food in nearby areas. A customer can order food through Zomato by selecting the restaurant he wants and selecting the food. Then a delivery partner will assign to him where he will pick up the food and give it to the customer.

Some of Zomato’s services

Restaurant Listings / Advertising

Food Delivery

Subscription Programmes

Live Events

White Label Access

SWOT analysis of Zomato

Strengths:

Wide reach: Zomato operates in over 10,000 cities across 24 countries, making it one of the largest food delivery and restaurant discovery platforms in the world.

Diversified business model: In addition to food delivery, Zomato has expanded into other areas such as online grocery delivery, cloud kitchens, and restaurant management software.

Strong brand: Zomato is a well-known and trusted brand in the food tech industry, with a strong social media presence and innovative marketing campaigns.

Strategic partnerships: Zomato has formed partnerships with restaurants, delivery partners, and other players in the food tech ecosystem to expand its reach and improve its services.

Weaknesses:

Intense competition: Zomato faces competition from other food delivery players such as Swiggy and Uber Eats, as well as from traditional food ordering methods.

Dependence on third-party delivery partners: Zomato relies on third-party delivery partners for its food delivery services, which can lead to quality control issues and other challenges.

Regulatory challenges: Zomato faces regulatory challenges related to the gig economy and food safety, which can impact its operations and reputation.

Opportunities:

Expansion into new markets: Zomato has the opportunity to expand into new markets and capture market share in emerging economies.

Diversification of services: Zomato can continue to diversify its business model and expand into adjacent categories such as online grocery and essentials delivery.

Technological innovation: Zomato can leverage technology and data analytics to improve its services and enhance customer experience.

Sustainability initiatives: Zomato can explore sustainability initiatives such as eco-friendly packaging and reducing single-use plastic to appeal to environmentally conscious consumers.

Threats:

Economic conditions: Economic downturns can impact consumer spending on food delivery and other non-essential services.

Changing consumer preferences: Shifts in consumer preferences towards healthier or more sustainable food options can impact Zomato’s business model.

Government regulations: Regulatory changes or crackdowns on the gig economy or food safety can impact Zomato’s operations and profitability.

Cybersecurity risks: Zomato’s platform and customer data are vulnerable to cybersecurity risks, which can damage the company’s reputation and lead to financial losses.

Interesting things about Zomato

The company was initially called “Foodiebay” and was started as a project at Bain & Company.

Zomato’s IPO in 2021 was oversubscribed 38.25 times, making it one of the most successful IPOs in Indian history.

Zomato offers a feature called “Zomato Gold” that provides subscribers with discounts and other benefits at select restaurants and bars.

In 2020, Zomato acquired Uber Eats India, strengthening its position in the food delivery market.

Zomato peer competition

Indiamart Intermesh is the only company that competes with Zomato in listed companies. Other than listed companies, Swiggy, Uber Eats, and Food Panda are the main competitors

Conclusion

In conclusion, predicting a specific target for Zomato’s share price can be difficult due to various market factors and uncertainties. However, the company has shown impressive growth and success in recent years, expanding its services beyond food delivery to include online grocery and restaurant management software

With a presence in multiple countries and a highly successful IPO in 2021, Zomato is well-positioned to maintain its upward trajectory. Investors should carefully analyze the company’s financial performance, competitive landscape, and market conditions before making informed investment decisions.