Swiggy Gets a New Bull as Nomura Initiates Coverage — Market Talk
India's Swiggy is set to deliver a CAGR of about 20% for its food delivery business's gross order value over FY 2025-2027, while its quick commerce business is expected to see its GOV rise about 87% in FY 2026, according to Nomura analysts. The bank's Abhishek Bhandari and Karan Nain projects Swiggy's instant delivery service Instamart will turn its contribution margin positive by 2Q FY 2027 due to slowing competition, lower discounting and expanding capacity in online fulfilment centerseven as the company consolidates its position as part of a duopoly with Zomato in the Indian food delivery space. The bank initiates coverage of the stock with a buy rating and sets a target price of INR550.00. The stock was recently at INR448.00.(jason.chau@wsj.com)