Zomato Share Price Zoom 120% YTD: Will It Hold The Upward Momentum In Near Term?

Zomato's stock has provided investors with multibagger gains, with the price of the stock climbing from Rs 124.50 to Rs 273.50 in 2024, giving investors a YTD gain of 119.68%. In early trading on Friday, Zomato shares reached a record high of Rs 286.45 per; however, the stock later dropped more than 3.66% on the NSE. Will the stock price keep rising? These are the opinions of analysts about Zomato's share price target.

Zomato Share Price Target

"ZOMATO exhibited a strong breakout above the Consolidation zone between 280-249, marked by a decisive bullish candle on the weekly chart, reinforcing the continuation of the medium-term uptrend. The stock forms a pattern of higher high-low formations on a weekly chart while maintaining position above a medium-term upward sloping trendline, suggesting a sustained uptrend," the brokerage firm Axis Securities said in a note.
"The stock is holding above the 23% Fibonacci retracement level of the rally from 146 to 279, with support forming around 249, indicating a potential medium-term support zone. The weekly Relative Strength Index (RSI) crossed above its reference line, generating a buy signal. Following the consolidation breakout, the stock is expected to continue medium term uptrend, with targets set at 314-325," the research analysts of the brokerage firm further added.

Zomato Latest News

"Pursuant to Regulation 30 of the Listing Regulations, this is to inform that the Company has received an order for the period April 2020 to March 2021 passed by Assistant Commissioner of Revenue, Government of West Bengal confirming demand of GST of INR 5,59,54,319/- (Indian Rupees Five Crores Fifty Nine Lacs Fifty Four Thousand Three Hundred and Nineteen Only) with interest of INR 3,69,67,792/- (Indian Rupees Three Crores Sixty Nine Lacs Sixty Seven Thousand Seven Hundred and Ninety Two Only) and penalty of INR 55,95,432/- (Indian Rupees Fifty Five Lacs Ninety Five Thousand Four Hundred and Thirty Two Only)," said the company in a stock exchange filing on September 13, 2024.

Zomato informed stock exchanges that it believes that it has a strong case on merits, however, given the amount involved and the cost of litigation, the company shall pay the applicable amounts to the GST authorities.

"The Company in its response to the show cause notice had clarified on the issue along with relevant documents and judicial precedents, which appears to not have been appreciated by the authorities while passing the order. The Company believes that it has a strong case to defend the matter before the relevant appellate authority and does not expect any financial impact on the Company. This is also supported by opinions from our external legal and tax advisors," Zomato said in a regulatory filing on Friday.