Eternal share price jumped over 4% in early trade on Wednesday after the company reported its Q4 results. Eternal shares rallied as much as 4.51% to ₹265.25 apiece on the BSE.
Eternal reported a robust 346% year-on-year (YoY) jump in net profit to ₹174 crore for the fourth quarter of FY26, driven by strong growth in Blinkit’s net order value (NOV) and improving operating leverage.
The parent of food delivery platform Zomato and quick commerce platform Blinkit, reported consolidated operating revenue growth of 196% YoY at ₹17,292 crore during the March quarter.
Blinkit’s NOV surged 95% YoY to ₹14,386 crore, helped by rapid unit expansion, as well as accelerated store rollout. The service swung back to a positive adjusted EBITDA of ₹37 crore from a negative EBITDA of ₹178 crore in the year-ago period.
Eternal’s food delivery business, led by Zomato, reported revenue growth of 33% at ₹2,737 crore. NOV of the food delivery arm increased 19% YoY to ₹9,757 crore.
The company expects growth to continue trending toward its long-term expectation of 20%+ YoY NOV growth, with margins remaining in the 5-6% range for Zomato. Blinkit’s NOV growth CAGR is expected to be north of 60% in the next three years.
Should you buy, sell of hold Eternal shares after Q4 results?
were decent, with EBITDA margin improving by 50 bps sequentially to 2.8%, above consensus estimates. At consolidated level, management guided to achieve $1 billion adjusted EBITDA by FY29E.
Brokerage firm Nuvama Institutional Equities tweaks FY27E and FY28E EBITDA estimates by -10% factoring in higher competition in the Quic Commerce. It expects Zomato’s path to profitability could be quicker than anticipated with improving contribution margins.
Nuvama Equities maintained a ‘Buy’ rating, but cut Eternal share price target to ₹380 apiece from ₹430 earlier.
Motilal Oswal Financial Services noted that Eternal’s food delivery business is stable, and Blinkit offers a generational opportunity to participate in the disruption of industries such as retail, grocery, and ecommerce.
“We largely keep our estimates unchanged. While QC growth is moderating at ~70% in FY27, we see this as a normalization, with improving unit economics and a clearer path to profitability ($1 billion EBITDA by FY29). We factor in gradual margin expansion, led by store maturity and operating leverage. Eternal should report a PAT margin of 2.4%/3.0% in FY27/28E,” Motilal Oswal said.
It reiterated a ‘Buy’ rating on Eternal stock, with a target price of ₹TP of ₹340 per share.
Equirus Securities maintain its ‘Long’ call on Eternal shares, and slashed multiples-driven SOTP-based September 2027 target price to ₹370 from March 2027 target price of ₹390 earlier.
It values the food delivery business at 35x Sep’28 EV/EBITDA, Blinkit at 50x Sep’28 EV/EBITDA, diningout at 1x Sep’28 EV/NOV, and Hyperpure at 0.5x Sep’28 EV/Sales.
Eternal Share Price Performance
Eternal share price has gained 11% in one month, but the stock has fallen 9% on a year-to-date (YTD) basis. The stock has rallied 12% in one year and has surged 34% over the past two years. Eternal share price has delivered multibagger returns of 300% in three years.
At 9:18 AM, Eternal share price was trading 2.52% higher at ₹260.20 apiece on the .
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