HSBC Cuts Delhivery Target to Rs 490 on Cost Pressures, Keeps Hold
HSBC trimmed Delhivery's target price to Rs 490 from Rs 500, retaining a Hold rating on fuel and wage cost pressures despite resilient parcel volumes. FY27-FY29 Ebitda cut 5%-6%. Street stays broadly bullish with 18 Buys of 23 analysts and an average target of Rs 568.29. Meesho logistics outsourcing seen as potential upside catalyst.
HSBC cut Delhivery's target price to Rs 490, retaining Hold, citing fuel and wage cost pressures on margins despite resilient parcel volumes. Potential upside if Meesho outsources more logistics to third-party providers like Delhivery.
Why this matters
After Delhivery's soft IPO opening with 4% subscription in early hours and Rs 2,347 cr raised from anchor investors, HSBC's cautious Hold signals cost concerns tempering an otherwise bullish Street.
Retail-company signals accelerating at +701000% QoQ.