Wed. Nov 30th, 2022

Fxtriangle | Market analysis | Managed trading

Fxtriangle will make Fx trading look easy.

HSBC Global Research puts food delivery firm Zomato’s valuation at $5 bn

1 min read
Food delivery

HSBC Global Research has valued food delivery firm Zomato at $5 billion, a major increase from its earlier valuation of $3.5 billion.

“We now value Zomato at $5.0 billion ($3.5 billion earlier), as Covid-19 has accelerated its path to profitability owing to lower discounts (and higher average order values),” said HSBC Global Research in a report analysing Info Edge (IE), which is an existing shareholder in Zomato.

Among all the potential positive triggers for the IE’s share, the report said, Zomato is the most critical. It said other companies such as Naukri and Policybazaar are great assets for IE, but Zomato can significantly impact IE’s valuation in the coming years.

HSBC’s report said it valued IE’s stake in Zomato at $1.1 billion. It said in a blue-sky scenario, India food delivery could be valued at $30 billion in the long term, implying IE’s share in Zomato at $3.5 billion. It said this is an increase of $2.4 billion or 45 per cent of IE market cap. In that scenario, Zomato could be valued at $15 billion, according to the report.

The report assumes the food delivery industry presently is valued at over $10 billion. However, this adds only $1.1 billion to the valuation of IE (Rs 750 per share).

Leave a Reply

Forex trading and any instruments related to Foreign Exchange Market are Speculative and carry substantial risk of loss of either partial equity or the entire deposit amount. Leverage adds up to the risk, before considering to invest in this venture, you should first consider your financial position and may seek the help of an independent financial advisor. FXtriangle dis-recommends the usage of loan instruments to trade in this market as it can hamper financial position. Please do not invest the money that you cannot afford to lose. FXtriangle provides all its services throughout the Globe Excluding (Nigeria, British Virgin Island & the Islamic Republic of Iran) and also provides limited service in some jurisdictions where investment in Overseas markets / Fx Exchanges are prohibited by Law If you are not sure to contact us before using any of our services. FXtriangle acts as an Independent Corporate Financial Advisor and connects you to various overseas exchanges and cannot be held liable for any financial damage occurring through their side. All of our partnered institutions are regulated in various jurisdictions.FXtriangle conducts an independent background check before partnering with any institutions to fulfill your investment objectives smoothly. The usage of our Business name, Logo or any trademark in any financial forum, website, review website, complaint arena, Billboards without our written permission will attract lawsuits.