Swiggy analyst says current valuations underpricing Instamart; Check price target

Shares of Swiggy Ltd. are trading with gains of as much as 3% on Monday, December 1, rebounding after four straight sessions of decline.

Brokerage firm Kotak Institutional Equities has a 'Buy' rating on Swiggy with a price target of ₹450 per share.

At the current market price of ₹378, Kotak estimates that the stock is imputing ₹360 per share of value for food delivery and cash or investments, with only ₹18 per share, or about ₹4,500 crore, being attributed to Instamart.

The brokerage said that recent price checks on the Swiggy app indicate the company is gradually weaning customers off discounts, though it remains to be seen whether it can simultaneously scale up orders per store.

Quick commerce competitive intensity remains high, but Swiggy's AOV (average order value) improvement should support a gradual improvement in unit economics.

Of the 27 analysts covering the stock, 22 have a 'Buy' rating, three recommend 'Hold', and two advise 'Sell'.

Swiggy shares are trading 2.19% higher at ₹386.60. The stock remains below its IPO price of ₹390 and is down nearly 30% so far in 2025.