Swiggy share price gains nearly 7% in two days; why is stock in demand?

Swiggy shares gained 4 per cent in trade and nearly 7 per cent in two days amid expectations on healthy quick commerce business growth

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Swiggy share price jumped 4.2 per cent in trade on Thursday, June 19, 2025, logging an intraday high at ₹380.8 per share on BSE. The stock gained for the second session and rose nearly 7 per cent. 

 

At 10:26 AM, Swiggy shares were trading 3.57 per cent higher at ₹378.35 per share on the BSE. In comparison, the BSE Sensex was up 0.06 per cent at 81,491. The company's market capitalisation stood at ₹94,347.13 crore. Its 52-week high was at ₹617 per share and 52-week low was at ₹297 per share.   FOLLOW STOCK MARKET UPDATES TODAY LIVE

IIFL Capital initiates 'Buy' on Swiggy sees 46 per cent upside

Domestic brokerage IIFL Capital Services on Wednesday, June 18, 2025, initiated coverage on Swiggy with a 'Buy' call. The brokerage sees a 46 per cent upside in Swiggy from its Wednesday's close at ₹365.3 per share. The brokerage has set the target price at ₹535 per share. 

 

IIFL Capital is confident in Swiggy's quick commerce (QC) business "Swiggy Instamart" and expects it to become an oligopoly with Zomato's Blinkit. 

 

The brokerage expects overall QC to grow at 50 per cent compound annual growth rate (CAGR) over FY25-28 and reach $40 billion by FY30, with Swiggy maintaining its top 3 position. 

 

Further, analysts at IIFL Capital believe the competitive intensity may remain elevated for the next few quarters as incumbent e-tailers try to regain their share.

 

On the financial front, IIFL anticipates Swiggy to deliver 28 per cent revenue CAGR over FY25-28 and 7 per cent Earnings before interest, tax, depreciation and amortisation (Ebitda) margin by FY28.   ALSO READ | Goldman Sachs upgrades Schneider Electric Infra to 'Buy'; sees 21% upside

 

"Swiggy offers a structural growth story, with execution being the key driver," the brokerage note read. 

 

Swiggy's food delivery is forecasted at 18 per cent CAGR and reach 20 per cent adjusted Ebitda margins by FY28. However, Instamart could

grow by more than four times by FY28 and achieve Ebitda breakeven by FY29 only.

 

After losing relative market share to Zomato for three years until FY24, Swiggy’s improved execution will help it start to regain lost share in FY25, believes the brokerage.The food delivery of Swiggy is seen as a structural growth story with gross order value (GOV) growing at 15-20 per cent over the next decade. 

 

Swiggy is expected to deliver 17 per cent/18 per cent GOV/adjusted revenue growth over FY25-28, with market share remaining

broadly stable. 

 

"Swiggy is two years away from reaching steady state optimal Ebitda margins and we forecast it to reach at 5 per cent of GOV and 20 per cent of revenues by FY28," the note read.