Broker’s call: Eternal (Buy) – The HinduBusinessLine

Target: ₹450

CMP: ₹300.95

We recently hosted Mr Akshant Goyal, CFO at Eternal, for a fire-side chat during our flagship annual investor conference. Blinkit (around 50 per cent share of B2C Net order value-NOV) remains the primary growth engine for Eternal, he said, as there is enough scope for shift in consumer purchases from traditional ecommerce and offline commerce to quick commerce across tier 1/2+ cities.

In fact, demand remains strong even in a relatively matured city like Delhi (70 per cent+ YoY). It is likely that Blinkit’s MTU base eventually could be multi-fold that of Zomato as its use-cases are relatively non-discretionary. He believes Zomato (about 40 per cent salience) can deliver NOV CAGR of 20 per cent over the medium term, albeit FY26 growth will be a bit modest at 15 per cent+. He also sees District around 10 per cent of NOV gaining traction as it introduces services for which demand is more latent than obvious.

On profitability in Blinkit, he said that it was just a matter of time, as some markets are already operating at 3 per cent+ Adj. EBITDA margin (as % of NOV) despite high competitive pressures. In fact, he indicated that 5-6 per cent sustainable margin guidance (over the long term) is achievable, as there is significant room for brand and customer monetisation, improvement in through-put per store as well as operating efficiencies. Overall, Mr Goyal emphasised that Eternal will continue to focus

Published on November 24, 2025