Eternal Share Price Soars on Blinkit Boom – Analysts Split on Future Outlook

Dump It or Double Down? Eternal’s Blinkit Boom Divides Analysts

Mumbai – July 23, 2025: Eternal Ltd (formerly Zomato) has seen its stock surge, fueled by strong momentum in its quick‑commerce arm, Blinkit. However, analysts remain split, with price targets ranging from ₹150 to ₹400, creating a clear crossroads for investors (Global News).

Analysts on the Bull & Bear Cases

• Jefferies remains upbeat, projecting Blinkit will turn EBITDA-positive within 12–18 months. They are impressed by improving unit economics & customer frequency, issuing a bullish target of ₹400 (Global News).
• Macquarie is bearish, valuing concern around market saturation and margin pressures. Despite acknowledging Blinkit’s “strong GOV growth,” their ₹150 underperform rating reflects wariness (Global News).
• JP Morgan sits in the middle—with a constructive stance—but trimmed its Sum-of-the-Parts (SOTP) valuation to ₹290, citing fierce competition and inflationary pressures. Their Q1 FY26 EBITDA loss estimate stands at ₹1,780 crore (~1.9% of GOV) (Global News).
• Elara Capital backs Blinkit’s market lead (~45%) but warns rising competition—such as Rapido’s low take rates—could erode margins (Global News).
• Dolat Capital adopts a cautious view: though Blinkit’s margin improved to –1.4% of GOV, they call it “optical” due to accounting adjustments. With a 55% PAT cut, they question if growth is more narrative-driven than profitable (Moneycontrol).

Why This Matters

Blinkit’s explosive GOV growth and widening store footprint are undeniable. Yet, scaling sustainable profits remains an open question. The stock’s divergent targets reflect the central debate: growth potential vs profitability risk.

Investor takeaways:

• Optimists may double down, buoyed by Jefferies and Elara’s confidence in margin recovery and market dominance.
• Skeptics may exit or hold, aligning with Macquarie and Dolat’s concerns over execution and valuation.

Final Word

Eternal’s blistering rise on Blinkit’s back has caught market attention. But whether to dump or double down depends on risk appetite: are you betting on quick‑commerce valuation boom, or bracing for the profitability rub?