Jefferies, now one of the most bullish on the Street, elevated its target price from Rs 400 to Rs 480 saying that it expects food delivery revenue to compound at roughly 17% annually through FY28, while quick commerce margins steadily improve as Blinkit unlocks cost efficiencies. “We value Eternal’s food delivery business at 40x Dec-27E adjusted EBITDA, quick commerce at 3x Dec-27E revenues, and Going-Out at 2x GOV to arrive at a price target of Rs480,” the analysts wrote.
Emkay Global raised its target to Rs 430 from Rs 330, citing better-than-expected revenue growth driven by explosive 137% year-over-year growth in quick commerce. Even with the margin disappointment that dragged down overall EBITDA, the brokerage argues that heavy marketing spending and store expansion are necessary weapons in the industry’s current land-grab phase. “Blinkit is executing well on this front, and significantly superior unit economics and balance sheet versus peers allow it to invest in this growth and gain market share,” Emkay said.
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Nomura also tightened its bull stance, raising its target from Rs 320 to Rs 400, arguing that the hyper-growth phase for the company is far from finished.
CLSA maintained its high-conviction outperform rating with a Rs 450 price target, noting that Blinkit reported much stronger-than-expected net order values and higher contribution margins despite accelerating store, user, order, and average order value expansion. The brokerage flagged that Blinkit-adjusted EBITDA disappointed largely due to the pace of customer acquisitions, yet management remains confident the path to 3,000 dark stores is conservative.
Yet not everyone has surrendered to the bull thesis. ICICI Securities downgraded the stock to Buy from Add—a demotion dressed up as a raise—while lifting its target price from Rs 315 to Rs 360. The brokerage expects EBITDA breakeven in Blinkit to slip by two quarters to Q4FY26E, though it views the turnaround in food delivery as an incremental positive after three to four quarters of declining growth.
Nuvama painted a more measured picture, raising its target to Rs 400 from Rs 320 while trimming FY26E and FY27E EBITDA estimates by 57% and 9% respectively due to lower near-term margin expectations. The brokerage blamed quick commerce losses reduction coming in lower than expected, largely due to higher marketing spends, even as management guided for 100% CAGR growth in Blinkit over the next two years.
HSBC, rated Buy with a Rs 390 target, offered yet another take: food delivery recovery remains sluggish despite increased spending, though margins have improved thanks to higher take-rates. Quick commerce growth accelerated further, but at the cost of margin disappointment from heightened marketing and expansion costs.