Eternal Ltd shares fell ~4% to ₹289-298 amid profit drop (63% YoY to ₹65 Cr) despite revenue boom, GST notice, and sector pressures. High volumes signal caution, but technicals hint rebound potential near ₹285 support
Eternal Ltd (ETEA.NS), India's quick commerce giant formerly Zomato, saw shares dip around 3-4% to ₹289-298 in recent trading, extending a pullback from October peaks. The stock underperformed benchmarks like Nifty 50, with intraday lows hitting ₹287.50 amid high volume turnover of ₹322 Cr.
Key Highlights:
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Q2 profit plunged 63% YoY to ₹65 Cr despite 183% revenue surge to ₹13,590 Cr, driven by Blinkit expansion costs.
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Recent GST demand of ₹8.29 Cr plus penalties; firm plans appeal, no major impact expected.
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Technicals show bearish pressure post-Q2, but analysts eye support at ₹280-285 with Morgan Stanley target ₹427.
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Weekly stochastic signals potential rebound, up 4.63% WoW despite 1-month -1.74% dip.
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High valuations (P/E 1,531) reflect growth bets, but profit volatility caps upside.
Sources: Economic Times, Screener.in, Moneycontrol.