Swiggy Share Price Target 2026: Domestic brokerage firm JM Financial has reduced its rating on Swiggy shares to Reduce from Add and also cut the target price. JM Financial has set a new target of Rs 270 on Swiggy shares, down from the previous target of Rs 370.
The domestic brokerage firm said that Swiggy Instamart is mired in a growth-versus-profitability deadlock due to a fixation on meeting contribution margin guidance, thereby stunting the scale-up required for long-term viability.
Despite a fortified balance sheet following the recent fundraise, management’s apparent reluctance to compete full-on is racking up market share loss.
The firm has added that it fears this strategy, if not recalibrated, would put the business in an orbit of irrelevance soon, particularly as traditional ecommerce incumbents accelerate their QC expansion.
“Therefore, any near-term narrowing of absolute losses should be seen as a temporary patch-up rather than a sustainable structural gain,” JM Financial said.
Swiggy Share Price Target 2026: Destroying Value For Shareholders
JM Financial Noted that Swiggy has given no clear visibility of a credible turnaround and argued that Instamart, with its current strategy, will only destroy value for Swiggy shareholders, even if its food delivery (FD) segment surprises positively.
“Under these circumstances, the best possible outcome for investors in our view is to hope that a larger player acquires Swiggy,” the brokerage said.
Downgrade Swiggy target price to REDUCE with revised down to INR 270:
The firm has also excluded cash from our valuation, as continued losses will only deplete the balance each passing quarter.
The brokerage firm has, therefore, downgraded the rating and also the Swiggy share price target to REDUCE (from ADD) with the price of Rs 270 from the previous target of Rs 370.
