/images/ppid_59c68470-image-176767752348826455.webp)
/images/ppid_59c68470-image-176767514158843495.webp)
/images/ppid_59c68470-image-176767510845524745.webp)
/images/ppid_59c68470-image-176767520911271029.webp)
What is the story about?
Shares of food delivery and quick commerce aggregators Swiggy Ltd. and Eternal Ltd. are trading with losses on Tuesday, January 6.
While shares of Swiggy are down nearly 4%, those of Eternal have extended their losses to 2% as well. This is the third straight day of declines for Swiggy, while for Eternal, the losses extended for the second-day running.
The fall on Tuesday has also taken Swiggy's shares below their QIP price of ₹375, at which the company had raised ₹10,000 crore to boost its war chest. The stock now also trades below its IPO price of ₹390 apiece.
Despite the recent correction in the stock price, global funds and analysts continue to remain optimistic on the stock.
"When I look at the name Swiggy in particular, there's a lot of ground competition, for sure, but that can't last in perpetuity. There's only so much cash these companies can burn. And what I like about Swiggy is that it has shored up its credit lines. It has money can put to work to invest in higher value propositions. You're seeing returns from some of its enhancements that it's made. So, I do think we're going to see a little bit of a turn, and hopefully the GST reforms really start to positively impact consumption as well," Matt Orton, Chief Market Strategist at Raymond James said.
"I think Swiggy looks fairly cheap. It's had a rough go in 2025 and I think it's set up to do well looking into Q1, Q2 and 2026," he added.
Brokerage firm CLSA wrote in its note that it has included Eternal in its India focus portfolio to increase its consumption exposure, along with another underperforming name, which is Avenue Supermart. It has done so by removing Reliance Industries and Nestle India from this portfolio.
33 analysts have coverage on Eternal, of which 29 of them have a "buy" rating, while four have a "sell" recommendation.
28 analysts have coverage on Swiggy, where 23 have a "buy" rating, two say "hold", while three have a "sell" recommendation.
Shares of Eternal are looking to recover from the lows of the day, currently trading 1% lower at ₹278.8. The stock is down nearly 25% from its record high level of ₹368. The stock has entered the month of January after three consecutive months of losses.
On the flip side, shares of Swiggy are down to the day's low, currently trading 4.4% lower at ₹361.95. The stock is down 42% from its post-listing high of ₹617.
While shares of Swiggy are down nearly 4%, those of Eternal have extended their losses to 2% as well. This is the third straight day of declines for Swiggy, while for Eternal, the losses extended for the second-day running.
The fall on Tuesday has also taken Swiggy's shares below their QIP price of ₹375, at which the company had raised ₹10,000 crore to boost its war chest. The stock now also trades below its IPO price of ₹390 apiece.
Despite the recent correction in the stock price, global funds and analysts continue to remain optimistic on the stock.
"When I look at the name Swiggy in particular, there's a lot of ground competition, for sure, but that can't last in perpetuity. There's only so much cash these companies can burn. And what I like about Swiggy is that it has shored up its credit lines. It has money can put to work to invest in higher value propositions. You're seeing returns from some of its enhancements that it's made. So, I do think we're going to see a little bit of a turn, and hopefully the GST reforms really start to positively impact consumption as well," Matt Orton, Chief Market Strategist at Raymond James said.
"I think Swiggy looks fairly cheap. It's had a rough go in 2025 and I think it's set up to do well looking into Q1, Q2 and 2026," he added.
Brokerage firm CLSA wrote in its note that it has included Eternal in its India focus portfolio to increase its consumption exposure, along with another underperforming name, which is Avenue Supermart. It has done so by removing Reliance Industries and Nestle India from this portfolio.
33 analysts have coverage on Eternal, of which 29 of them have a "buy" rating, while four have a "sell" recommendation.
28 analysts have coverage on Swiggy, where 23 have a "buy" rating, two say "hold", while three have a "sell" recommendation.
Shares of Eternal are looking to recover from the lows of the day, currently trading 1% lower at ₹278.8. The stock is down nearly 25% from its record high level of ₹368. The stock has entered the month of January after three consecutive months of losses.
On the flip side, shares of Swiggy are down to the day's low, currently trading 4.4% lower at ₹361.95. The stock is down 42% from its post-listing high of ₹617.
/images/ppid_a911dc6a-image-176767642604039725.webp)
