Eternal Share Price Target 2026: Brokerages such as Goldman Sachs and Morgan Stanley have turned positive on Eternal, the parent company of Zomato, following its strong Q4 performance. Analysts believe the stock has meaningful upside potential over the coming years.
Eternal Q4 Update
Deepinder Goyal-led, Eternal reported a sharp improvement in its fourth-quarter earnings on Tuesday, April 28, posting a multi-fold jump in consolidated net profit to Rs 174 crore.
Revenue from operations surged to Rs 17,292 crore, compared to Rs 5,833 crore in the same quarter last year, reflecting significant business expansion. However, total expenses also rose substantially to Rs 17,406 crore, up from Rs 6,104 crore in the corresponding quarter of the previous financial year, indicating continued investment in growth and operations.
Morgan Stanley maintains ‘Overweight’ rating
The brokerage highlighted strong execution in quick commerce. Blinkit’s operating profit before depreciation (OPD) grew 15 per cent quarter-on-quarter, while management expects over 60 per cent CAGR in NOV over the next three years.
Morgan Stanley also noted that food delivery growth remains steady at over 20 per cent in the medium term, with limited competitive pressure and a favourable risk-reward profile.
Goldman Sachs sees 32% upside
Goldman Sachs maintained a Buy rating on Eternal with a revised target price of Rs 340, implying an upside potential of 31.6 per cent.
The brokerage highlighted sustained momentum in quick commerce. Blinkit’s underlying NOV growth is tracking in the mid-teens quarter-on-quarter, with FY26–FY29 CAGR guidance of over 60 per cent.
Despite intense competition, margins are improving, and food delivery growth is accelerating. Goldman Sachs expects USD 1 billion EBITDA by FY29 to be achievable and believes the stock could deliver around 50 per cent upside over two years if execution remains strong.
Nirmal Bang maintains positive stance
Nirmal Bang maintained a Buy rating on Eternal Ltd with a target price of Rs 334, implying an upside of around 30 per cent from current levels.
The share price of the food delivery and quick commerce firm rose 1 per cent, or Rs 2.79, to settle at Rs 258.28 on Tuesday (April 29) on the National Stock Exchange (NSE).
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money-related decisions.)
