I’ve been adding Zomato stock to my portfolio ever since it reported its first-ever quarterly profit in 2023. I continue buying more shares at every dip in its upward trend, bringing my average buying price to around ₹206.
If you follow CEO Deepinder Goyal or other team members on X, their rapid-fire execution and visionary acquisitions should convince you they’re on track to become a true market giant.
Here’s a quick look at why this food delivery powerhouse has impressed me so much and why I believe it’s poised to be a multibagger stock:
Fast, Continuous Execution
Zomato Gold, the Blinkit ambulance, food-order scheduling, and ongoing app improvements show how CEO Deepinder Goyal and his team move at lightning speed.
Swiggy and other competitors seem to lack this kind of out-of-the-box thinking and rapid rollout, which means they’ll likely stay in catch-up mode.
Buying Businesses & Scaling Them (District, Blinkit from Grofers)
- Blinkit Acquisition: Zomato acquired Blinkit for $600 million in 2022, and it’s now worth more than $13 billion—one of the most successful acquisitions ever. Blinkit could soon be Zomato’s primary revenue magnet. Its recent numbers are insane:
- Average order value jumped from INR 582 to INR 625 within a year.
- Each store earns 10 lakhs a day (up from 6 lakhs a year ago).
- The top 50 stores earn a staggering 18 lakhs a day.
- Quick Commerce (QC) is already 40% of their food delivery business.
- District: After buying Paytm’s ticketing biz for 2,100 Cr just under a month ago, Zomato sold 700 Cr worth of Coldplay tickets in 60 minutes and 20,000 Diljit Dosanjh tickets in 30 seconds. Now, it’s listing IND vs ENG cricket match tickets. Deepinder Goyal views District as a huge opportunity because he believes the “going-out” and experience economy is next in line for massive growth. Zomato already have Zomaland, a festival that combines food, music, and entertainment.
Hyperpure (B2B Business)
Over 30% of Zomato’s revenue comes from Hyperpure, which delivers raw grocery items to restaurants.
Commitment to Profitability
Zomato isn’t fooling around with investors’ money. They’re taking real responsibility to make the business profitable, and it’s paying off. This dedication from the CEO and core team is evident.
Market Valuation & Future Growth
- Zomato (Public): USD $20–25 billion market cap.
- Flipkart (Private): ~USD $37.6 billion (July 2021, backed by Walmart).
Blinkit alone could match Flipkart’s valuation, translating to a 1.5x–2x jump from Zomato’s current value. And that’s without factoring in the food business, District, or Hyperpure.
Given Deepinder and team’s startup mindset, they’ll keep venturing into any lucrative opportunity they see.
Are you investing in Zomato, or do you see more promise elsewhere? Let me know in the comments!
Vinay Mundhe 