Swiggy Share Price Live Updates: IPO Debut Surges, Stock Holds Positive Amid Market Volatility

Swiggy Share Price Live Updates: Swiggy made its long-anticipated debut on the Indian stock exchanges today, November 13, with shares listing at a premium despite a cautious initial response from the market. Here’s an in-depth look at Swiggy’s IPO performance, market response, financials, and expert insights into what could be expected going forward.

Metric	Details
IPO Issue Price	₹390 per share
Listing Price	₹420 on NSE (7.69% premium), ₹412 on BSE (5.64% premium)
Current Price	₹444.90 (NSE) and ₹445 (BSE) as of last update
Market Capitalization	Over ₹1 lakh crore
Subscription Rate	3.59 times
Total Outstanding ESOPs	231 million shares, valued at ₹9,046.65 crore
Q1 FY2025 Revenue	₹3,310.11 crore
Q1 FY2025 Net Loss	₹611.1 crore
FY2024 Revenue	₹11,634.35 crore
FY2024 Net Loss	₹2,350.24 crore
SEBI Lock-in Exemption	1-month lock-in exemption for employee ESOP sales
Analyst Recommendation	Mixed; short-term profit booking advised; wait for Dec 2024 results for long-term

Swiggy Stock Debut on NSE and BSE

Swiggy shares opened at ₹420 on the National Stock Exchange (NSE), a 7.69% increase from its issue price of ₹390. On the Bombay Stock Exchange (BSE), the stock started trading at ₹412, representing a 5.64% gain over the issue price. By mid-afternoon, shares were trading at ₹444.90 on NSE and ₹445 on BSE, with Swiggy’s market cap exceeding ₹1 lakh crore.

Swiggy Share Price Live Updates: Market Sentiment and Demand

Swiggy’s IPO generated moderate subscription interest, closing with an overall subscription rate of 3.59 times. The demand was primarily driven by institutional investors, with Non-Institutional Investors (NIIs) and retail investors showing lukewarm interest. This is largely attributed to Swiggy’s valuation, which is considered high in comparison to its peers.

Despite a slower initial response, institutional interest on the final day of bidding helped propel Swiggy’s IPO to a successful close. According to JM Financial, India’s food delivery sector is expected to grow at a CAGR of 20%, positioning Swiggy in a promising market for steady growth and profitability.

Swiggy’s Financial Highlights

Swiggy posted revenue of ₹3,310.11 crore in the June 2024 quarter, while reporting a net loss of ₹611.1 crore. For the financial year ending March 31, 2024, Swiggy recorded a revenue of ₹11,634.35 crore and a net loss of ₹2,350.24 crore. Although the company is not yet profitable, these revenue figures indicate strong growth potential in the food delivery and retail sector.

Analyst Insights on Swiggy’s IPO Performance

Analysts had mixed expectations for Swiggy’s stock performance, given the overall subdued demand from NIIs and retail investors. However, the stock’s opening-day performance has surpassed these expectations, primarily due to interest from institutional investors.

Arun Kejriwal of Kejriwal Research and Investment Services suggests that investors consider booking partial profits, as the current stock price has exceeded market expectations. Tarun Singh, Founder of Highbrow Securities, advises potential investors to wait for Swiggy’s December quarter results before making long-term investments, as these will provide a clearer view of the company’s growth trajectory.

Swiggy’s ESOP Plan and SEBI Exemption

Swiggy’s IPO also included a notable provision for employees, as it allowed them to sell shares just one month post-listing. This exemption, granted by the Securities and Exchange Board of India (SEBI), is likely to benefit around 500 Swiggy employees, propelling them into the ‘crorepati’ club.

As of September 2024, Swiggy had 231 million outstanding ESOPs, valued at ₹9,046.65 crore at the upper price band of ₹390 per share. The company’s ESOP plans reflect its commitment to creating wealth-building opportunities for employees.

Swiggy’s Future Prospects

Swiggy has cemented its position in India’s food delivery market, competing directly with Zomato in a near-duopoly structure. With its growing Instamart segment, Swiggy is well-positioned to capture a larger share of the online grocery market. Analysts believe Swiggy’s IPO success and market presence underscore the potential for long-term growth in India’s food and retail delivery sectors.

As the market digests Swiggy’s IPO, experts suggest observing how the stock performs over the next few quarters. Investors keen on holding Swiggy shares for the long term may consider waiting for a more favorable entry point, especially if the December 2024 results validate Swiggy’s growth and market position.

Conclusion

Swiggy’s stock debut has defied market concerns, achieving strong early gains on both NSE and BSE. Backed by a promising market outlook, Swiggy’s growth potential in food delivery and retail is considerable. For investors, especially those with a long-term perspective, Swiggy’s performance over the coming quarters will offer more insights into its value as a sustained investment.

Frequently Asked Questions (FAQ)

1. What was Swiggy’s issue price and listing price?

Swiggy’s IPO was issued at ₹390 per share. It listed on NSE at ₹420 and on BSE at ₹412.

2. How did Swiggy perform financially in recent quarters?

For the June 2024 quarter, Swiggy reported a revenue of ₹3,310.11 crore and a net loss of ₹611.1 crore. In FY2024, the company recorded ₹11,634.35 crore in revenue with a net loss of ₹2,350.24 crore.

3. What are analysts’ views on Swiggy’s stock performance?

Analysts recommend a cautious approach, with some suggesting profit booking in the short term. Long-term investors may want to wait for Swiggy’s December 2024 results to gain a clearer picture of its growth potential.