JM Financial sees widening quick commerce gap as Blinkit outpaces Instamart on growth, profitability
JM Financial retains 'Buy' on Eternal (target raised to Rs 440 from Rs 400, ~69.9% upside) and 'Reduce' on Swiggy (target cut to Rs 250 from Rs 280). Blinkit NOV rose 17.7% QoQ to Rs 16,900 crore with adj EBITDA of Rs 125 crore, while Instamart grew just 5.2% QoQ and posted an adj EBITDA loss of ~Rs 760 crore. The brokerage assigns no value to Instamart.
JM Financial sees a widening quick commerce gap, with Blinkit outpacing Instamart on growth and profitability. It retains 'Buy' on Eternal (target Rs 440) and 'Reduce' on Swiggy (target Rs 250), assigning no value to Instamart.
Why this matters
The bullish call lands as Blinkit's CEO has repeatedly warned a quick-commerce bubble may burst amid tightening cash-burn funding, underscoring that scale and profitability now separate winners from laggards.
Retail-company signals are accelerating, up +463800% QoQ.