Zomato, India’s popular food delivery and restaurant discovery platform, has achieved a groundbreaking milestone by becoming the first Indian startup to enter the Bombay Stock Exchange (BSE) Sensex 30 index.
This change, which came into effect on December 23, 2024, saw Zomato replace JSW Steel in the elite list of India’s top 30 companies.
What Makes This Special?
Zomato’s inclusion in the Sensex 30 highlights the rapid rise of technology-driven companies in India’s stock market.
It’s not just a win for Zomato but a proud moment for all startups aspiring to make it big in the financial world.
Strong Performance Backed the Move
Zomato’s stock has been on a roll this year. In the past six months, it gained 38%, and its value has more than doubled in 2024, with a whopping 124.79% increase.
By December 23, the company’s shares were priced at ₹278.70, giving it a market capitalization of ₹2.68 lakh crore (about $31.9 billion).
Impressive Financial Growth
In the latest quarter, Zomato reported a 68.5% jump in revenue, reaching ₹4,799 crore. Even more impressive, its net profit grew nearly five times to ₹176 crore.
With numbers like these, it’s no wonder the company caught the attention of investors and financial analysts alike.
Impact on the Stock Market
Zomato’s addition to the Sensex is expected to attract significant investment.
Experts predict that the company could see inflows of around $513 million (approximately ₹4,356 crore) as institutional investors update their portfolios to match the new index composition.
A Broader Shift in India’s Financial Scene
This milestone is more than just an achievement for Zomato—it reflects a bigger shift in India’s financial landscape.
Tech startups, once seen as risky ventures, are now being recognized as serious contenders alongside traditional industry giants.
What’s Next for Zomato?
While Zomato’s inclusion in the Sensex 30 caused a slight dip in its stock price on the announcement day, analysts see this as a temporary adjustment.
The long-term outlook for the company remains bright as it continues to innovate and expand in the competitive food delivery market.
Zomato’s journey from a startup to a Sensex-listed company is an inspiring tale for Indian entrepreneurs.
It showcases the potential of startups to not only disrupt industries but also make their mark in the nation’s financial ecosystem.