Revenue Growth & Return To Net ProfitZomato's rapid top-line expansion and return to positive net income signal the platform is scaling and beginning to convert scale into profitability. Durable demand, improving take-rates and ad monetization can sustain earnings if operating losses continue to narrow and user economics remain stable.

Conservative Balance Sheet / Low LeverageA low debt-to-equity ratio provides financial flexibility to fund growth, capex and working capital without large refinancing risk. This conservative capital structure supports durable investment in logistics, technology and Blinkit expansion while limiting solvency risk during market cycles.

Diversified Monetization And Platform EcosystemMultiple revenue streams—commissions, advertising, subscriptions and Blinkit sales—reduce concentration risk and allow cross-selling. A broad platform ecosystem improves lifetime value and margin upside as order density and merchant ad spend scale, supporting sustainable revenue diversification.

Bears Say

Operating Profitability Still NegativeDespite positive net income, negative EBIT implies core operations are not yet reliably profitable and may rely on non-operating items or one-offs. Sustainable earnings depend on improving unit economics, lowering delivery/fulfillment costs, and growing higher-margin ad and subscription revenue.

Negative Free Cash Flow & Weak ConversionReversal to negative FCF and weak profit-to-cash conversion constrain the company's ability to self-fund expansion and returns. Persistent cash volatility increases reliance on external financing for Blinkit/logistics investments and raises risk if revenue growth or merchant ad spend slows.

Historically Low Returns On EquitySustained low or negative ROE indicates past investments have yielded poor shareholder returns. If capital allocation does not improve unit economics and operating margins, the company may struggle to convert scale into durable shareholder value despite revenue growth.

ETERNAL FAQ

What was Zomato Ltd.’s price range in the past 12 months?

Zomato Ltd. lowest stock price was ₹189.60 and its highest was ₹368.40 in the past 12 months.

What is Zomato Ltd.’s market cap?

Zomato Ltd.’s market cap is ₹2.68T.

When is Zomato Ltd.’s upcoming earnings report date?

Zomato Ltd.’s upcoming earnings report date is May 20, 2026 which is in 89 days.

How were Zomato Ltd.’s earnings last quarter?

Currently, no data Available

Is Zomato Ltd. overvalued?

According to Wall Street analysts Zomato Ltd.’s price is currently Overvalued. Get more investment ideas with TipRanks Premium

Does Zomato Ltd. pay dividends?

Zomato Ltd. does not currently pay dividends.

What is Zomato Ltd.’s EPS estimate?

Zomato Ltd.’s EPS estimate is 0.18.

How many shares outstanding does Zomato Ltd. have?

Zomato Ltd. has 9,650,351,000 shares outstanding.

What happened to Zomato Ltd.’s price movement after its last earnings report?

Currently, no data Available

Which hedge fund is a major shareholder of Zomato Ltd.?

Currently, no hedge funds are holding shares in IN:ETERNAL

What is the TipRanks Smart Score and how is it calculated?

Smart Score combines eight research factors - such as analyst recommendations, hedge fund trends, and technical indicators - to measure a stock’s outlook. These signals are unified into a single score that reflects bullish or bearish momentum. See detailed methodology

Company Description

Zomato Ltd.

Eternal Limited is an online restaurant guide and food ordering platform. The Company offers platform connects customers, restaurants, and delivery partners to search and discover restaurants, read and write customer generated reviews, order food delivery, book a table, and make payments while dining-out at restaurants.