Rama Krishna Sangem
Deepinder Goyal, 41, founder and CEO of Zomato, has joined the coveted billionaire club, catapulted by a sharp rally in the firm’s stock over the last few months, Moneycontrol reported. The company’s stock has surged over 300 per cent from its low of Rs 73 in July 2023. Goyal’s net worth is about Rs 8,300 crore now.
On the Bombay Stock Exchange (BSE), Zomato’s stock reached a new peak of Rs 230 on Monday morning, gaining up to 2 per cent in a single day and pushing its market capitalisation beyond Rs 1.8 trillion. This surge has elevated Goyal, aged 41, to the position of India’s wealthiest professional manager, with his net worth now exceeding Rs 8,300 crore, the report claimed.
Goyal holds 36.95 crore shares, representing a 4.24 per cent stake in Zomato. This comes days after food delivery majors Zomato and Swiggy increased their platform fees to Rs 6 in key markets like Bengaluru and Delhi. This marks an increase of 20 per cent from the Rs 5 that the two platforms were charging until now in these markets.
Zomato market-cap touches Rs 2 lakh cr
On Monday, Zomato entered the prestigious league of companies with a market capitalization of Rs 2 trillion. This milestone was achieved after the company’s stock price reached a new peak of Rs 230, increasing by 4 per cent during intraday trading on the BSE.
Zomato’s market cap hit an intraday high of Rs 2.01 trillion on the BSE, highlighting the significant growth of the food delivery and quick commerce company.
Over the past week, Zomato’s stock price has significantly outperformed the market, surging by 12 per cent compared to a 1 per cent rise in the benchmark index.
The stock has rebounded by 58 per cent from its previous month’s low of Rs 146.85, recorded on June 4. So far in 2024, Zomato’s market price has soared by 88 per cent, driven by a robust business outlook. In contrast, the BSE Sensex has gained nearly 12 per cent.
Blinkit behind the success
The stock’s remarkable rise in 2023 is largely attributed to the promising performance of Zomato’s quick commerce division, Blinkit, which is expected to turn profitable sooner than anticipated. The company previously announced that Blinkit might achieve EBITDA break-even by the first quarter of FY25. The profitability of Zomato’s core food delivery business has also bolstered investor confidence.
Blinkit’s rapid growth, outpacing competitors like Swiggy Instamart and Zepto, has further fuelled investor optimism. Reports suggest that Zomato will increase investments in Blinkit, potentially after it reaches EBITDA break-even. This strategy aims to enhance Blinkit’s gross order value (GOV) beyond that of Zomato’s food delivery segment sooner than expected, solidifying its competitive edge.
So, Deepinder Goyal is yet another poster boy of Indian startup story!
