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News India Live, Digital Desk: If you invest in the stock market and are looking for a good stock, then the shares of Food delivery and Quick Commerce’s veteran Swiggy can prove to be a great opportunity for you. On Monday, the company’s shares saw a jump of more than 4% and it reached ₹ 459.10. Dare brokerage firm Nomura (NOMURA) has given a target price giving ‘bye’ ratings on Swigy, which can make investors a big profit.
Why did Nomura trust Swiggy?
The world’s well-known brokerage firm Nomura has advised to buy Swigi shares and has fixed its target price ₹ 550. This means that with the current sense, the shares of Swiggi may see a jump of up to 25%, this trust of Nomura is based on some concrete reasons:
- Food delivery business on the path of profit: Nomura believes that Swigi’s main food delivery business is now moving towards profit. This segment can become a big cash generator for the company, which will further strengthen the company’s economic situation.
- Hope to improve Quick Commerce: Even though there are challenges in the Quick Commerce (Instamart) segment, Nomura hopes that it will also improve in future and it will also come in profit.
- There is no shortage of capital: The brokerage house has also noticed that the company has enough funds to increase its business, so that there is no major risk of raising capital immediately.
Shares climbed 19% in the last one month
Swigy’s shares have been watching fast for some time. The company’s shares have increased by about 19% in the last one month. Not only Nomura, but other brokerage houses like Motilal Oswal have also given a target price of ₹ 560, upgrading the ‘bye’ rating on Swigy.
Market experts estimate that there is a lot of growth in the food delivery sector and Swiggy is a strong player in this race. However, it is always better to do your research before any investment and consult a financial advisor.