Despite good Q2 numbers, cloud over Info Edge's near-term prospects

While billing growth may remain under pressure for recruitment business naukri.com, analysts are sceptical about real estate segment 99acres.com sustaining profits

Companies that have delivered good performance in the September quarter (Q2) of 2019-20 have also been well rewarded by investors. Online classified company Info Edge is one such example — its stock surged over 30 per cent in three months until last Friday, sharply outperforming the BSE Sensex’s 10 per cent gains during the same period. However, feeble macro conditions, which seem to be catching up, may spoil Info Edge’s prospects in the near term, leading to a correction in the stock.

Info Edge's two key business segments i.e. recruitment (naukri.com) and real estate (99acres.com), which accounted for almost 90