India’s e-commerce sector is set to surpass $160 billion by 2025, growing annually at 25–30%. This surge is fueled by rising smartphone use, digital payments, and expanding internet access, especially in Tier 2 and 3 cities. With over 270 million online shoppers, India now boasts the world’s second-largest e-retail market.
The shares of Swiggy Ltd were trading at Rs 343.05 per share, increasing around 2.89 percent as compared to the previous closing price of Rs 333.40 apiece. The company has a market capitalization of Rs 85,457.28 crore.
Brokerage Recommendations
Morgan Stanley, one of the well-known brokerages globally, has given an ‘overweight’ rating on this e-commerce stock with a target price of Rs 405 apiece, indicating a potential upside of 22 percent from a previous closing price of Rs 343.05 per share.
The brokerage has highlighted three important factors. The first being its improving execution in the food delivery business, expanding quick-commerce TAM, and aggressive investment by the company, and that the market is pricing in steep investments, but not reflecting the same in its topline growth assumptions.
Morgan Stanley expects India’s food delivery to remain a duopoly, with Swiggy narrowing its margin gap with Zomato through better execution. If Swiggy maintains market share, its quick-commerce Total Addressable Market (TAM) could grow significantly, reaching an estimated $57 billion by 2030.
Further, Swiggy’s food delivery business is valued at 25x its FY28 adjusted EBITDA, reflecting a 5% discount to Zomato’s. Its quick commerce arm, Instamart, is valued at 27x FY31 adjusted EBITDA, representing a 25% discount to Zomato’s Blinkit, highlighting relatively conservative valuation assumptions by Morgan Stanley.
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Financial & Operational Highlights
Looking forward to the company’s financial performance, revenue increased by 44 percent from Rs 3,046 crore in Q4FY24 to Rs 4,410 crore in Q4FY25. Further, during the same time frame, net loss widened from Rs 555 crore to Rs 1,081 crore.
As of March 31, 2025, Swiggy’s total operating revenue stood at Rs 44,110.15 million. Key contributors were supply chain and distribution ( Rs 20,041.16 million), food delivery ( Rs 16,293.13 million), and quick commerce ( Rs 6,890.54 million), followed by out-of-home consumption ( Rs 670.97 million) and platform innovations ( Rs 214.35 million).
Swiggy is a technology company that allows users to browse, select, order, and pay for food through a single food delivery service app. Users can also order groceries and household items via Swiggy’s Instamart. Orders placed on the app are delivered directly to customers’ doorsteps through a network of delivery partners.
Written by Abhishek Singh
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