Swiggy Sizzles On Stock Radar: Is The Dip A Delicious Buy?

Image Source: Analytics Insight

Swiggy’s Stock Has Dropped Nearly 30% From Its 52-Week High, But Analysts See Signs Of Stabilization. Citi Has Issued A ‘Buy’ Call With A 30% Upside Target, Citing Market Share Strength And Operational Resilience. Investors Are Watching For A Potential Rebound In The Coming Quarters.

Signs of bottoming out after steep fall

Swiggy’s stock has been under pressure in 2025, falling over 36% year-to-date and nearly 30% from its 52-week high. However, recent price action and technical indicators suggest the food delivery giant may be bottoming out. The stock rose 2.65% to ₹342.20 on October 12 after Citi initiated coverage with a bullish outlook.

Citi has set a target price of ₹480, implying a potential upside of 30% from current levels. The brokerage believes Swiggy’s fundamentals remain strong, supported by its dominant market share, improving unit economics, and expanding non-food verticals like Instamart and Genie.

Analysts remain optimistic despite volatility

While the broader tech and consumer sectors have faced valuation corrections, Swiggy’s ability to retain customer loyalty and scale logistics efficiently has kept investor interest alive. Citi’s report highlights Swiggy’s resilience in maintaining delivery volumes and its strategic push into Tier 2 and Tier 3 cities.

Technical indicators also support the recovery narrative. The stock is trading above its 50-day and 200-day simple moving averages, and its RSI and MFI are in mid-range zones, suggesting consolidation rather than further downside.

Key highlights:
- Swiggy stock down 36% YTD; 30% below 52-week high
- Citi initiates ‘Buy’ rating with ₹480 target price
- Recent bounce of 2.65% signals potential bottom formation
- Strong market share and diversified offerings support valuation
- Technicals show price above key moving averages

What investors should watch next

Swiggy’s upcoming quarterly results and festive season performance will be critical in confirming the recovery trend. Investors should monitor delivery volumes, profitability metrics, and expansion updates. Any positive surprise could trigger a re-rating and attract institutional flows.

For long-term investors, the current dip may offer an attractive entry point, especially if Swiggy continues to execute on its growth strategy and maintains operational discipline.

Sources: Financial Express, Swiggy Investor Relations, Trendlyne