Delhivery delivers in Q1: Stock hits 52-wk high, brokerages raise target

Brokerages on Delhivery Q1 results: Logistics player Delhivery shares surged up to 5.32 per cent to hit a fresh 52-week high of ₹452.75 on Monday, August 4, 2025, following the company's better-than-expected performance in the June quarter (Q1FY26). 

 

The Delhivery share was trading 3.38 per cent higher at ₹444.40 around 9:40 AM, considerably outperforming the BSE Sensex, which was up 0.34 per cent.

 

Brokerages remained bullish on Delhivery post Q1FY26 results, with most of them raising earnings estimates and target prices on the back of volume-led growth, improving margins, and positive guidance.  Check List of Q1 results today 

 

Brokerage takeaways

 

Analysts at Nuvama Institutional Equities said Delhivery delivered a strong Q1, with Ebitda and PAT up 53 per cent and 67 per cent Y-o-Y, respectively – exceeding both their and consensus estimates. Express parcel revenue rose 10 per cent Y-o-Y on the back of a 14 per cent volume increase, even as yields dipped slightly due to a change in customer mix. Meanwhile, the Part Truck Load (PTL) segment posted a 17 per cent rise in revenue, and its service Ebitda margin improved 720 basis points (bps) to 10.6 per cent.

 

Citing stronger-than-expected execution and volume retention from the integration of Ecom Express, Nuvama raised its FY26E and FY27E EPS estimates by 52 per cent and 58 per cent, respectively. They assigned a 30x Jun-27E EV/Ebitda multiple and upgraded their target price to ₹525 (from ₹430), maintaining a ‘Buy’ rating.

 

ICICI Securities echoed the sentiment, noting that Delhivery beat expectations on both growth and profitability. Express parcel volumes rose 13.7 per cent Y-o-Y in Q1, up from a modest 2–3 per cent in FY25, which they believe signals a strong recovery in e-commerce activity and further consolidation in the segment. While PTL revenue grew 17 per cent Y-o-Y, in line with seasonal expectations, margins stayed resilient.

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ICICI also pointed out Delhivery's strategic shift away from low-margin segments like Supply Chain Services (SCS) and cross-border logistics. With Ecom Express integration progressing well and management reiterating 20 per cent revenue growth guidance for FY26, they raised the target price to ₹600 (from ₹430) and reaffirmed a ‘Buy’ rating, assigning a 39x forward EV/Ebitda multiple.

 

JM Financial termed Delhivery’s Q1FY26 performance ‘decent,’ despite revenue of ₹2,290 crore coming in 4.9 per cent below their estimates. However, better-than-expected cost control pushed adjusted Ebitda margins to 3.3 per cent – 80 bps higher sequentially and 31 bps above their forecast. The 13.7 per cent Y-o-Y and 17.5 per cent Q-o-Q rise in express parcel shipments was a standout, supported by market share gains and normalisation of Meesho’s volumes.

 

The brokerage also highlighted that one-time integration costs for Ecom Express are likely to be lower than previously expected, with volume retention already at 50-60 per cent–well above the earlier guidance of ~30 per cent. JM Financial retained a ‘BUY’ rating and raised its target price to ₹500 (June 2026), citing strong volume growth visibility and improving margin trajectory.  Track Stock Market LIVE Updates

 

What worked for Delhivery in Q1FY26?

 

Delhivery posted a revenue of ₹2,294 crore in Q1FY26, up 6 per cent Y-o-Y. Ebitda rose 53 per cent Y-o-Y to ₹149 crore, with margins improving to 6.5 per cent from 4.5 per cent. PAT surged 67 per cent Y-o-Y to ₹91 crore.

 

Express parcel volumes rose to 208 million, while the PTL segment handled 458,000 metric tonnes – up 15 per cent Y-o-Y. However, revenue in segments like Supply Chain Services (₹205 crore), Truckload (₹148 crore), and Cross Border Services (₹24 crore) declined Y-o-Y.

 

“We’re pleased with the strong start to the financial year. The improved profitability as a result of operating at a higher scale reaffirms the inherent operating leverage linked efficiencies in our business. We look forward to the upcoming festive sale season with optimism,” said Sahil Barua, MD and chief executive officer (CEO).

 

Looking ahead, Delhivery plans to double its Rapid store count to 40 by FY26-end, with current monthly revenue run-rate at ₹1.2 crore. The Direct business also continues to gain traction in key cities like Ahmedabad, NCR, and Bengaluru.

 

With multiple brokerages raising targets and earnings estimates, and with management commentary indicating optimism for Q2 on the back of Ecom Express integration and the upcoming festive season, the outlook for Delhivery remains robust. Most analysts suggest using any dips as buying opportunities.