Eternal Ltd. has achieved a significant milestone as its shares reached a new record high, marking an impressive surge in its market valuation. The company's stock price has demonstrated remarkable growth, positioning it among the top players in the Indian market.

Stock Performance

Eternal's shares have witnessed a stellar performance, climbing 70.00% from their 52-week low and an astounding 325.00% above the initial public offering (IPO) price. This surge has propelled the company's market capitalization to Rs 3.26 lakh crore, outpacing established giants like Titan (Rs 3.11 lakh crore) and Tata Motors (Rs 2.62 lakh crore).

Analyst Outlook

The company's strong performance has garnered positive attention from the analyst community. Out of 33 analysts covering the stock, 29 maintain 'buy' ratings, with price targets ranging from Rs 360.00 to Rs 420.00. However, it's worth noting that the stock currently trades at a high trailing price-to-earnings (PE) ratio of 993.00x, indicating investor optimism about future growth prospects.

Business Segments Performance

Blinkit: A Growth Driver

Eternal's quick commerce business, Blinkit, has emerged as a significant growth driver for the company. The segment has demonstrated impressive performance with its gross order value increasing over 120.00% year-on-year for five consecutive quarters. In the most recent quarter, Blinkit achieved a remarkable 140.00% year-on-year growth.

Food Delivery: Slowing Growth

While Blinkit shows strong momentum, the food delivery segment has experienced a slowdown in growth. Year-on-year growth in this segment has declined from 27.00% to 16.00%, indicating a moderation in expansion.

Financial Highlights

In the first quarter, Eternal reported a treasury income of Rs 235.00 crore, which exceeded its adjusted EBITDA of Rs 172.00 crore. This indicates the company's strong financial position and its ability to generate income from investments.

Future Outlook

The management of Eternal has provided guidance on future growth expectations:

1. Food Delivery: The company anticipates growth in the food delivery segment to remain between 15.00-20.00%.
2. Blinkit Expansion: Plans are in place to expand Blinkit's dark store network to 3,000 stores, indicating a strong focus on growing the quick commerce business.

As Eternal continues to evolve and expand its operations, investors and market watchers will be keenly observing how the company balances growth across its diverse business segments and maintains its market position.

Eternal Ltd , the parent company of popular brands Zomato and Blinkit, has witnessed a significant surge in its market capitalization, reaching Rs 3.26 lakh crore following a robust stock rally. The company's shares closed at Rs 337.90 on the Bombay Stock Exchange (BSE), marking a 2.96% increase and touching a 52-week high of Rs 338.65 during the trading session.

Stock Performance

The stock has demonstrated impressive momentum, gaining 5.11% over four consecutive trading days. Eternal Ltd has delivered a substantial return of 21.54% to its investors, highlighting the strong market confidence in the company's business model and growth prospects.

Market Position

Eternal Ltd has emerged as the top gainer among both Sensex and Nifty companies, solidifying its position in the market. The company now ranks 22nd among the top 100 companies by market capitalization, surpassing several well-established firms across various sectors.

Surpassing Industry Peers

The recent rally has propelled Eternal Ltd's market valuation beyond that of several major companies:

This achievement underscores Eternal Ltd's growing influence in the Indian stock market and its attractiveness to investors. The company's strong performance reflects the positive sentiment surrounding its core businesses, Zomato and Blinkit, which operate in the food delivery and quick commerce sectors.

As Eternal Ltd continues to strengthen its market position, investors and industry observers will be keenly watching the company's future moves in the competitive digital consumer services landscape.