Global Brokerage Goldman Sachs Analysts Are Upbeat About Blinkit and Shares: An Important Note

Analysts at the international brokerage company Goldman Sachs are upbeat about Blinkit, a Zomato-owned, rapidly growing startup. In a note, the analysts stressed how Blinkit’s valuation has exceeded that of its parent firm, which is a significant accomplishment for the quickly expanding platform.

The well-known meal delivery service Zomato purchased Blinkit in 2022 for an alleged $568 million. Since then, Blinkit’s performance has increased significantly, surpassing the main business of its parent firm. Goldman Sachs analysts pointed out that Blinkit’s estimated value now stands at an astounding $13 billion, representing a startling growth rate of more than six times year over year. At the ‘Startup Mahakumbh’ event in Delhi in March, Goyal hinted that Blinkit would surpass Zomato in terms of scope and size.

The brokerage, cited by TOI in its research, said that Blinkit’s indicated value in Zomato’s sum of the parts (SOTP) has significantly increased from $2 billion in March 2023 to almost $13 billion. Notably, Blinkit’s implied value per share has now surpassed Zomato’s food delivery service, valued at Rs 98, for the first time, with a value of Rs 119.

The CEO of Zomato, Deepinder Goyal, issued a forecast that is in line with the recent optimistic report from Goldman Sachs. Goyal had hinted last month that the magnitude of Blinkit’s rapid commerce platform would exceed that of the parent company’s meal delivery service.
“With a combination of good pricing and delivery times, we believe the quick commerce segment can continue taking share from slotted delivery and reach (about) 70 percent share of India’s online grocery in 2-3 years,” the note said.