Zomato shares drop below Rs 200 after 12% slide in four consecutive sessions

Zomato shares slipped below the Rs 200 mark on Tuesday for the first time since June 25, 2024, when the stock had reached this level for the first time ever. The stock of the food delivery app fell over 5% today, touching an intraday low of Rs 199.80 on the NSE, recording its fourth consecutive fall.

The stock has been on a free fall, declining by 27% so far this year. From its 52-week high of Rs 304.70 (on December 9, 2024), it has dropped by 34%.

The stock's market capitalization has now fallen below Rs 2 lakh crore, standing at Rs 1.94 lakh crore.


Zomato, which will be part of the Nifty50 effective from March 28, 2025 (i.e., after the close of March 27, 2025), has been included in the 50-stock index along with Jio Financial Services as part of the semi-annual shuffle, replacing Bharat Petroleum Corporation (BPCL) and Britannia Industries.

Zomato's rapid ascent was highlighted last December when it became the first new-age tech stock to be included in the BSE Sensex, replacing JSW Steel in a similar half-yearly rebalancing. Jio Financial, which was demerged from Reliance Industries in 2023, has also gained traction among institutional investors.

Also Read: Zomato, Jio Financial earn Nifty 50 ticket at Britannia, BPCL's expense

Shareholders of the Gurugram-based company Zomato have approved a resolution to change the name of its parent entity to Eternal Ltd, as per an exchange filing. The company’s board had cleared the proposal last month, following which it sought its shareholders' approval.

The stock has been under pressure amid weak market sentiment and disappointments related to its quarterly results.

The food delivery company reported a 57% decline in its December quarter consolidated net profit, which stood at Rs 59 crore compared to Rs 138 crore in the same period last year. The revenue from operations in Q3FY25 was Rs 5,405 crore, up 64% from Rs 3,288 crore in the corresponding quarter of the previous financial year.

On a sequential basis, the profit after tax (PAT) was down by 66% from Rs 176 crore reported in Q2FY25. Meanwhile, the topline was higher by 13% on a sequential basis, compared to Rs 4,799 crore in the July-September quarter.

(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)