Zomato Founder and CEO, Deepinder Goyal, has entered the billionaires club after the shares of his food delivery company soared in the last year. On Monday, the firm’s shared soared to touch a 52-week fresh high of Rs 232 apiece on the BSE.
Since July 2023, the firm’s stock rallied ahead by more than 300 per cent, reported Moneycontrol. With this, the company’s market valuation surpassed Rs 1.8 trillion and made Goyal a billionaire at the age of 41. The CEO’s net worth stands above Rs 8,300 crore. Currently, he owns a 4.24 per cent stake in the firm, equivalent to 36.95 crore shares.
The company has performed impressively in the stock market since 2023. On Monday, the firm’s market capitalisation surpassed Rs 2 trillion.
The company’s robust performance can be attributed to the success of its quick commerce entity, Blinkit. The entity is expected to become profitable soon and Zomato earlier said that Blinkit could possibly achieve a break-even EBITDA by the first quarter of the 2024-25 fiscal year (FY25).
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Blinkit’s growth has also surpassed its peers such as Zepto and Swiggy Instamart. This has helped the firm build a positive sentiment amongst investors. The report cited a recent note by Goldman Sachs and stated that Blinkit now has a higher implied value than the core food delivery business of Zomato.
Sachs expected the gross order value (GOV) of Blinkit to grow at a compound annual growth rate (CAGR) of 53 per cent during the 2023-24 fiscal year to 2026-27 fiscal year (FY27). Further, the entity is expected to surpass the food delivery wing in terms of GOV and EBITDA by 2028-29 fiscal year (FY29). Notably, Blinkit was bought by Zomato in 2022.
As of 12:55 PM on Monday, the company's stock traded at Rs 227.40 apiece on the BSE and the NSE.