Street View: Swiggy's long-term growth target hinges on Instamart scale-up, profitability path
BUZZ-Street View: Swiggy's long-term growth target hinges on Instamart scale-up, profitability path ** India's Swiggy SWIG.NS laid out long-term growth targets on Thursday, aiming to achieve 100 billion rupees ($1.05 billion) in annual core earnings by fiscal 2031
** Shares down 1.8% at 283.55 rupees on Friday, after climbing as much as 5.2% in the previous session
FY31 AMBITIONS PUT EXECUTION IN FOCUS
** Nomura ("Buy," PT: 435 rupees) says Swiggy's goal of building a 100 billion-rupee core earnings business by FY31 hinges on scaling quick commerce and out-of-home businesses while sustaining food-delivery growth
** Emkay Global ("Buy," PT: 350 rupees) says Swiggy's profitability target is about twice its FY31 estimate and will require significant execution, particularly in quick commerce and Toing
** Morgan Stanley ("Equal-weight," PT: 328 rupees) says ambitious FY31 targets will need execution to translate into value creation, adding food delivery remains a steady growth engine while quick commerce is showing improving retention and power-user metrics
** Jefferies ("Buy," PT: 435 rupees) says quick commerce remains Swiggy's biggest growth driver, supported by better retention, faster delivery and private-label offerings
($1 = 95.2225 Indian rupees)
(Reporting by Kashish Tandon in Bengaluru)
((kashish.tandon@thomsonreuters.com; 8800437922))
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