Zomato share price hits fresh high. Should you buy at current levels?
Zomato share price today climbed its new peak of ₹152.75 apiece. Zomato shares today opened with an upside gap of ₹2.00 per equity shares and went on to hit its new lifetime high — logging around 4.50 per cent intraday gain. According to market experts, Zomato stock price has been bullish after making fresh breakout at ₹138 and it may continue to scale further northward if the stock closes above ₹150 today. They said that ₹150 would be another breakout on closing basis.
Speaking on the fundamentals fueling Zomato share price rally; Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Market has gone bullish over Zomato stocks as company's food delivery business is expected to witness sharp rise in the wake of unlock theme. Apart from this, Zomato has indicated its plans to enter into the online grocery delivery business by buying 15 per cent stake in Grofers — an online grocery delivery service provider company. Since, Zomato has a strong customer data, it’s an online grocery delivery business is expected to get benefit of this."
Whether one can buy Zomato shares at current levels; Sumeet Bagadia, Executive Director at Choice Broking said, "Zomato stock price has become highly bullish after giving breakout at ₹138 on closing basis. Similarly, it is expected to give a fresh breakout at ₹150 on closing basis. One can buy Zomato shares after this breakout for the immediate target of ₹175 maintaining stop loss at ₹135. On breaking this ₹175 target, Zomato shares may go up to ₹190 top ₹200. so, those who have Zomato stocks in their portfolio, are advised to hold the counter maintaining stop loss at ₹135."
Zomato share price is currently quoting ₹150.65 apiece at NSE (at 12:03 PM).
Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint.