Stock market analysis and stories by Omkar Chitnis

Articles by Omkar Chitnis

15 Apr 2025

Chart of the week: Capex surge puts order books of railway companies on the fast track

The Indian railway sector is one of the largest railway networks in the world, and has become a focus of government investment. The centre’s push for long-overdue network expansion and modernization has created new growth opportunities for the sector.

In FY26, the Union Budget allocated Rs 2.62 lakh crore to Indian Railways – 22.7% of the total budget, and three times the Rs 0.93 lakh crore allocated in FY16. The goals were expanding freight capacity, modernising infrastructure, and improving safety.

Is this a new golden age for railway stocks? The increased capex, and the government focus on better railway infrastructure has accelerated growth in railway projects, creating a ripple effect on railway-related stocks, which have seen strong order inflows.

The government’s investments in railway and metro projects have driven share price growth in key sectors. Wagon and coach manufacturers such as Titagarh Rail, Texmaco Rail, and Jupiter Wagons won orders for freight wagons, passenger coaches, and metro cars.

Infrastructure providers like IRCON International and RVNL capitalized on electrification and station upgrade orders, while financing companies like IRFC supported the sector by funding railway projects and infrastructure development.

Industry experts expect railways to remain a priority, as the government reduces logistics costs and increases freight share. Ashish Modani, Vice President at ICRA, said, “Roads and railways will be the government’s top priorities due to their critical role in lowering logistics costs. Over the years, the rail share in freight transportation has declined, and there’s a strong push to reverse this trend.”

Despite great returns over 5 years, railway stocks have faced a downturn in 2025, primarily due to weak government spending and negative sentiment in global markets. Concerns over high valuations and delays in order execution have added to the uncertainty.

In this edition of Chart of the Week, we analyze railway stocks and their growing order books over the past five years.

Government spending fuels growth for wagon and coach makers

In FY26, the government allocated Rs 57,693 crore for 200 Vande Bharat sleeper trains, 100 Amrit Bharat trains, 50 Namo Bharat rapid rail trains, and 17,500 non-AC coaches. These initiatives are creating opportunities for companies in the wagon and coach manufacturing sector.

Titagarh Rail Systems, Jupiter Wagons, and Texmaco Rail & Engineering collectively control 70% of the Indian wagon manufacturing market.

Titagarh Rail Systems, a commercial vehicle industry player specializing in railway wagons, coaches, and metro trains, holds a 30% market share in freight wagon production. Its share price is up 2,100% in the past five years, driven by an order book growing at a CAGR of 62.1%. The company more or less relies on one client, the government – it receives nearly 99% of its orders from the Ministry of Defence and the Railways.

Between FY19 and FY24, Titagarh’s revenue grew at a CAGR of 19.5%, reaching Rs 3,893 crore. Over the same period, it shifted from a Rs 28.5 crore loss to a profit of Rs 286 crore.

Jupiter Wagons generates 80% of its revenue from railway wagons. Its share price has risen 600% in the past five years. As of FY25, the order book stands at Rs 6,320 crore, with 50% coming from government orders.

In FY23, the company secured a large order of Rs 58,200 crore from the Ministry of Defence and Railways. Over the last five years, the company’s revenue grew at a CAGR of 76% to Rs 3,641 crore in FY24, and its net profit increased by 30% to Rs 333 crore during the same period.

Texmaco operates in freight wagons, rail, and electrical businesses, with a 20% market share in India’s wagon industry. It generates 84% of its revenue from wagons. Over the last five years, its share price has jumped 540%, and the order book has grown at a CAGR of 25.3% to Rs 7,878 crore in FY24.

The company derives 80% of its revenue from government projects. Revenue grew at a 13.5% CAGR to Rs 3,503 crore, while profit increased at an 8.4% CAGR to Rs 113 crore from FY19 to FY24.

BEML manufactures commercial vehicles for mining and construction, along with rail coaches, metro cars, and components for the railway sector. It generates 37.4% of its revenue from rail and metro projects. Its share price is up 440% in the last five years. Over this period, revenue grew at a CAGR of 3.2%, reaching Rs 4,096 crore, while net profit grew at a CAGR of 34.8% to Rs 281.8 crore from FY19 to FY24.

RVNL and IRCON ride Centre’s railway infra project wave

The government is expanding railway infrastructure to reduce logistics costs, streamline transportation, and support trade and economic development. In the FY26 budget, the government allocated Rs 32,235 crore for new railway lines.

RVNL, a Navratna PSU, specializes in railway infrastructure within the Construction & Engineering industry. RVNL’s shares have gained 1,790% over the last five years. The order book stood at Rs 97,000 crore at the end of the December quarter, 4.8 times its trailing 12-month revenue. The company derives 91.3% of its revenue from railway projects, with the rest from metro and national highway projects.

Its revenue increased from Rs 14,776.26 crore in FY20 to Rs 23,074 crore in FY24, while net profit doubled from Rs 753.32 crore to Rs 1,574 crore over the same period. Government-backed initiatives like railway electrification and the introduction of the Vande Bharat train have driven RVNL’s growth.

IRCON International operates in the construction and engineering industry, focusing on railways, highways, and bridges. Its shares have risen 250% over the past five years. As of Q3FY25, the company’s order book totals Rs 21,939 crore, with 78% of the revenue from railway projects and the rest from highways.

IRFC and RailTel drive railway growth through funding and digitisation

The government is modernizing Indian Railways through investments from financing institutions like IRFC. Indian Railway Finance Corporation (IRFC) is a Navratna PSU and a Non-Banking Financial Company. It serves as the financing arm of Indian Railways for large-scale expansion and upgrades. Since its listing in January 2021, IRFC’s share price has jumped 400% to Rs 124.

IRFC’s asset under management (AUM) has risen 6.5 times, from Rs 70,471 crore in FY20 to Rs 4,64,641 crore in FY24. The NBFC finances around 80% of Indian Railways’ needs.

RailTel offers telecom and digital services to Indian Railways, focusing on projects like train communication systems, real-time monitoring, and station upgrades. Since its listing in 2021, the company's share price has increased by 145%, reaching Rs 292. Its order book grew from Rs 4,400 crore in FY21 to Rs 5,280 crore in FY25, with 28% linked to railway contracts.

The Baseline

09 Apr 2025

Chart of the week: Gear shift in two-wheeler market: Hero loses ground to Honda & TVS

By Omkar Chitnis

India’s two-wheeler market is caught up in a high-speed race, with a diverse lineup of models competing for the spotlight. Two-wheeler volume grew 30%, reaching 18.7 million units in FY25, up from 13.8 million units in FY13.

Over the past decade, Indian two-wheeler manufacturers have launched new models across all segments to stay competitive. Strategic global collaborations have further fueled innovation, enabling Indian players to bring fresh, premium offerings to consumers.

Hero MotoCorp collaborated with Harley-Davidson to develop the X440 series motorcycles, while TVS partnered with BMW Motorrad to launch premium bikes over 300cc. Similarly, Bajaj Auto joined Triumph Motorcycles to introduce mid-capacity bikes. These partnerships and new launches helped the Indian companies tap the growing demand for mid-capacity and premium bikes.

But the road hasn’t been smooth for Hero. Hero’s pole position has been under threat since 2013, while Honda and TVS Motors are expanding their market presence. Changing consumer preferences, innovative product strategies, and a growing focus on premium motorcycles and electric models are reshaping the industry.

Before Hero and Honda parted ways in 2011, Hero Honda dominated the two-wheeler space with a 68.9% market share. The split created an opportunity for other manufacturers to expand and challenge Hero’s leadership. Today, four major players – Hero MotoCorp, Honda, TVS Motor, and Bajaj Auto – control nearly 80% of the market, and the landscape is shifting fast.

Honda is going after Hero for the top spot. Minoru Kato, Executive Officer at Honda Motor Co., said, “We have launched highly competitive products of all kinds. With the advantage of 6,000 dealers and service networks covering all the geographies of India, we have increased unit sales. Now, the number one position is well within our sight.”

In this edition of Chart of the Week, we analyze Hero MotoCorp’s declining market share, the rise of its competitors, shifting consumer preferences, and the growth of the electric two-wheeler segment.

Hero’s market share dips amid limited product portfolio

Hero MotoCorp has remained India and the world’s largest two-wheeler manufacturer for 24 years. However, its market share declined from 48% in CY13 to 28% in FY25. The company sold 58.9 lakh two-wheelers in FY25, recording a 5.5% increase from the previous year. Hero's sales growth has been slow, with a 5-year CAGR of just 2.2%. In contrast, TVS sales have grown at a CAGR of 14.2% over the same period.

Hero generates 93% of its revenue from motorcycles, with 80% from just the Splendor and HF Deluxe models. Scooters contribute just 7% to their total revenue. The company faces intense competition from Honda, TVS, and Suzuki.

Hero is mainly recognized as a commuter brand focused on entry-level motorcycles, making it difficult to establish its credibility in the premium segment, priced above Rs 2 lakh. This positioning has restricted its ability to build a strong brand presence for models above 150cc, as its new models accounted for only 7% of sales in the first nine months of FY25.

TVS Motors has strengthened its market position, increasing its share from 13% in FY13 to 17.4% in FY25. Its scooter market share rose from 32% to 46% during the same period.

TVS maintains a balanced revenue mix, generating 49% of its revenue from motorcycles, 38% from scooters, and the rest from mopeds. In motorcycles, new models have significantly contributed to growth. The Apache series and Raider accounted for 70% of total motorcycle sales, while models launched in 9MFY25 accounted for 20% of the segment’s sales.

TVS gained a foothold in the premium segment early by launching multiple variants in the Apache series in 2016. Hero entered this category in Q3FY25 with six premium models, including the Xpulse 200, Xtreme 160R, and Mavrick 440. Honda holds a 25.3% market share, supported by its presence in both the scooter and motorcycle segments.

Peers challenge Hero’s rural presence

Hero remains a dominant player in rural markets due to its affordable, fuel-efficient motorcycles designed for local needs, with over 55% of its sales coming from rural areas. Its commuter motorcycles, including the Splendor, Passion, and HF Deluxe, continue to lead the segment. In FY24, the Splendor held a 26.5% market share among commuter bikes, while the HF Deluxe maintained an 8.3% share.

TVS and Bajaj have also expanded their presence in rural India. TVS increased its rural market share from 15.5% in FY18 to 45% in FY24, driven by entry-level models like Star City, Jupiter, and Radeon, priced between Rs 75,000 and Rs 1 lakh. Bajaj's rural market share rose from 12.7% to 13.9% as it focused on entry-level motorcycles. The company introduced Discover, Platina, CT series, and CNG-powered Freedom 125 for rural buyers.

Honda, on the other hand, generates 70% of its sales from urban areas. The Activa remains the top-selling urban commuter model, contributing 38.8% of Honda’s sales. In FY24, Honda sold four Activa scooters every minute. But over the past decade, Honda has expanded its rural and semi-urban network from 1,950 outlets in 2013 to 6,000 in 2025. This growth, supported by models like the Shine 100 and SP125, strengthened its presence in urban and rural markets.

Royal Enfield leads the shift to premium bikes

A decade ago, the premium motorcycle segment was relatively overlooked. It is now growing rapidly, with more consumers choosing bikes above 250cc for better performance and advanced features. The shift towards aspirational, higher-capacity motorcycles is driven by rising disposable income, a younger demographic, and evolving consumer preferences.

Royal Enfield continues to dominate the premium motorcycle segment. In the 250–700cc category, it holds an 88.2% market share, led by models like the Classic, Meteor, and Himalayan.

Bajaj Auto is expanding in the 350–500 cc category through partnerships with KTM and Triumph, introducing models like the KTM 390 and the Bajaj Dominar 400. Hero MotoCorp entered the premium segment in Q3FY25 with six models, including the Karizma XMR and Mavrick, along with collaborations with Harley-Davidson.

Honda plans to launch three new premium bikes in India next year under the Rebel series through its BigWing network in the 300cc and 500cc segments to compete with Royal Enfield’s dominance in this market.

TVS has also gained traction in the premium segment. Its partnership with BMW Motorrad has increased its motorcycle volume above 310cc, rising from 1.1% of total sales in FY20 to 11.8% in FY24. In the 150–200cc category, TVS holds a 40% market share, led by the Apache series, Ronin, and Commando.

Government push is reshaping the electric two-wheeler segment

India’s electric two-wheeler market grew 33% YoY in CY24 to 19 lakh units. Despite this growth, EVs account for only 5% of total two-wheeler sales. Government initiatives like the Faster Adoption and Manufacturing of Electric Vehicles (FAME) scheme and lower GST rates continue to support adoption, especially in rural and semi-urban areas.

Ola Electric leads the EV segment with a 30% market share and a 1.9% share of the overall two-wheeler market. However, its market share has dropped from 52% in early 2024 to 30% in FY25. Bajaj Auto’s Chetak electric scooter holds a 20% market share, benefiting from the FAME II subsidy, which has helped lower costs and expand its reach.

TVS Motor is the second-largest electric scooter manufacturer, holding a 21% market share. It sold 2.3 lakh iQube in FY25, a 30% year-on-year growth. The company has benefited from the Production-Linked Incentive (PLI) scheme, which supports the iQube scooter and TVS X production.

Hero MotoCorp entered the EV market in late 2022 and has grown rapidly. Management expects support for its Vida electric scooter under the PLI scheme. Vida’s sales surged 174% year-on-year to 48,673 units in FY25. Additionally, Hero owns a 40% stake in Ather Energy. Its sales rose 20% YoY to 1.3 lakh units in FY25, supported by EMPS 2024 incentives.

In Q3FY25, Honda Motorcycle & Scooter entered the EV segment with its Activa E and QC models. The company plans to introduce 30 electric models globally by 2030, signaling its long-term commitment to the space

The Baseline

03 Apr 2025

Chart of the Week: Drop in multibagger stocks from 157 in FY24 to 18 in FY25

By Omkar Chitnis

As uncertainty jumped across global markets in FY25, Indian stocks turned volatile. In the first half, the Nifty 50 surged 16.98%, and reached a record high of 26,277.3 on 27 September 2024, supported by market momentum and investor enthusiasm. The trend turned in the second half, however, and portfolios turned red as India’s growth disappointed. Foreign investors pulled their money out, as highly valued Indian stocks posted disappointing corporate earnings in Q2 and Q3.

Hard questions about valuation, which always get postponed when markets are on a bull run, cropped up again. This led to an 8.8% decline in the second half of FY25, limiting the index’s overall return to just 5.3% for the overall financial year.

Despite these challenges, the market showed resilience towards the end of FY25. In March 2025, the Nifty 50 rose 6.3%, with early signs of government spending and improving economic indicators. Foreign investors returned as US stocks lost momentum. But Abhishek Jain, Head of Research, Arihant Capital, cautioned, “Investors should moderate their return expectations, as the market is shifting towards a stock-specific phase rather than broad-based rallies.”

In FY25, finding multibagger stocks proved trickier than usual. In FY24, 215 stocks (with market cap of Rs 5,000 crore and above) gave multibagger returns, but in this fiscal year it dropped to just 38. Similarly, among Nifty 500 stocks, 157 gave multibagger returns in FY24, but only 18 managed to do so in FY25.

Jai Balaji Industries, GE Vernova, and Aurionpro Solutions saw the highest returns of 2,031%, 640%, and 650% in FY24 but could not maintain that performance in FY25. Among the top multibaggers in FY24 and FY25, BSE was the only stock to feature in both years, delivering returns of 516% and 122.5%, respectively.

PG Electroplast, Shakti Pumps, V2 Retail, and Shaily Engineering are among the top stocks that outperformed the market trend in FY25. In this edition of Chart of the Week, we analyze the top multibagger stocks in FY25 and why they beat the market index.

Government incentivesgive defense, energy, and electronics industries a boost

The government’s 'Make in India' push gave electronics, defense, and renewable energy industries momentum in FY25. Increased spending and initiatives like the PLI scheme for white goods and electronics also drove growth in these sectors.

PG Electroplast, the largest supplier of plastic-molded components for the consumer electronics industry, saw its share price rise by over 476% in FY25. Increased demand for electronics, production shifts from China, and PLI benefits for white goods contributed to this growth.

Shakti Pumps, a market leader in solar pumps within the industrial machinery industry, saw a 335% stock gain. The company capitalized on its 40% share in solar PV water pumping systems and government schemes, securing orders of Rs 2,070 crore, including from the Maharashtra, Uttar Pradesh, and Rajasthan state governments under PM-KUSUM for FY25. A QIP and a bonus issue contributed to the stock price jump.

Mazagon Dock Shipbuilders, a leading manufacturer of defense warships and submarines within the defense industry, saw its stock price increase by 179% in FY25. Government orders and increased defense investments expanded its order book to Rs 34,787 crore in Q3FY25, supported by major contracts, including those for ONGC and submarine projects.

Some cyclical stocks rise on better operational and financial performance

Cyclical stocks in FY25 fluctuated due to economic slowdowns, commodity price changes, and supply chain disruptions. Sectors such as power, engineering, automotive, metals, and gold saw higher volatility. But companies like Shaily Engineering and GMR Power outperformed the broader market.

Shaily Engineering, a high-precision engineered plastic products exporter, saw its shares rise by 252% in FY25. Growth was supported by a 94% increase in healthcare sales and a 56% YoY rise in EBITDA. The company expects medical devices to contribute 25% of its revenue within three years.

GMR Power, an electric utilities company, saw its shares rise 160% after securing a Rs 7,593 crore smart meter order, reducing debt, and improving thermal plant efficiency. Asset monetization strengthened liquidity and drove a strong financial turnaround, pushing Q3FY25 operating revenue up 46.1% YoY.

PC Jeweller, a Gems & Jewelry company, rose 150%, driven by a Rs 3,760 crore debt settlement and Rs 646 crore fundraise, strengthening its balance sheet. The company turned profitable in FY25, with net profit surging 174.7% YoY and revenue soaring 1471.8% in Q3FY25.

Expansion and investments lift industrial, healthcare, and consumer stocks

Consumer discretionary spending is increasing, particularly among high-income households, despite inflation and higher interest rates. In response, industries are expanding their production capabilities. This shift has resulted in improved financial performance, positively impacting investors in these companies.

JSW Holdings, the holding company of the JSW Group, saw its share gain 217%, rising to Rs 22,985 in FY25. This growth was driven by investments in EV ventures, a $1.5 billion battery plant, non-ferrous metals, steel, and green energy. Strong Q2 and Q3FY25 performance contributed to the share price growth.

Transformers & Rectifiers, a heavy electrical equipment company, saw its shares rise 184% in FY25. This growth was supported by the energy expansion and a 145% YoY rise in work orders to Rs 3,686 crore by Q3FY25.

Wockhardt, a pharmaceutical firm, soared 154% to an eight-year high after reporting positive clinical results for its cancer drug Zaynich in the US and planning an India launch at an 85-90% discount. The company also reduced pledged shares from 69% to 37% and returned to a Rs 14 crore profit in Q3FY25.

Higher customer engagement boosts retail and telecom stocks

Indian companies have been using discounts and promotions to expand their customer base. A growing focus on digital platforms and personalized services is boosting stock performance for some players in retail and telecom.

V2 Retail Ltd, specializing in fashion retail, saw its shares surge by 300% in FY25. This was backed by a 58% rise in operating revenue, Rs 590.9 crore in Q3FY25, and a 117.2% YoY profit rise to Rs 51 crore. Sales per square foot improved to Rs 1,219 from Rs 1,085, reflecting better space utilization.

Bharti Hexacom, a telecom service company, rose 159.3%. The stock’s initial rise was driven by 'Buy' ratings from brokerage firms. Growth was supported by a higher mobile ARPU, which increased to Rs 241 in Q3FY25 from Rs 200 due to tariff hikes. Net profit grew 23% to Rs 261 crore, while operating revenue rose 25%. Mobile service revenue increased to 25.5%, supported by network expansion.

The Baseline

27 Mar 2025, 04:19PM

Chart of the Week: Most new-age IT IPOs drop in valuations post listing

By Omkar Chitnis

In 2024, India became the world’s second-largest equity fundraising market after the US, driven by a surge in IPOs. Many new-age companies are listed at high valuations, attracting significant investments from both domestic and foreign investors. Experts predict that 2025 could be a record-breaking year, with IPOs expected to raise over $20 billion.

India's IPO market grew significantly in 2024, raising a record Rs 1.6 lakh crore. Many companies capitalized on investor enthusiasm and positive market sentiment, leading to inflated valuations.

Aggressive marketing by teams pre-IPO, and high brand recognition for some companies - despite being loss-making – garnered high participation even with steep valuations. These companies saw their valuations fell post-listing as the rules of the public market kicked in: regular financial and sales disclosures, closer business scrutiny, and questions from analysts.

These companies discover that the valuation rules of venture capital and public markets are very different. Steptrade Share Service founder Kresha Gupta states, “Many new-age unicorns are 'loss-making' because their valuations are largely driven by market share and consumer dominance. However, retail investors start evaluating the company on the basis of fundamentals like revenue, profit margins, and debt when they go public.”

While some IPOs, like Zomato and PB Fintech, have successfully crossed the bridge into public markets, others such as Swiggy and Ola Electric, have seen significant declines in market value. In this edition of Chart of the Week, we analyze the valuations of top new-age IT companies before and after their IPOs and explore the factors influencing their current market performance.

Ola and Paytm face valuation decline amid regulatory hurdles

Ola Electric is facing mounting challenges with every news cycle. CEO Bhavish Aggarwal once stated, "Tesla is for the West, Ola for the rest." That quote has not aged well. Once valued at Rs 46,290 crore during its pre-IPO phase, Ola Electric has seen a significant valuation decline since its stock market debut. Since its IPO in August 2024, the company’s stock has fallen by 27.2%.

Ola Electric is grappling with operational inefficiencies, customer-related concerns and a PR debacle. Customer complaints on Ola scooters have ballooned and repair centers have been overwhelmed.

Sales have declined for three consecutive quarters, reducing its market share from 50% in May 2024 to 18% in January 2025. In February 2025, government data showed a market share of 11.4%, while Ola reported 28%, reflecting discrepancies due to sales delays and unregistered scooters, further impacting stock prices.

Falling revenue, delays in product launches and the exit of key executives contributed to the decline in performance, while legal and regulatory challenges have grown.

Paytm, once valued at Rs 1.4 lakh crore during its pre-IPO phase, has seen a sharp decline in valuation since its market debut in November 2021. Initially listed at Rs 1,950 per share, its stock dropped 27.7% on the first day, hitting the lower circuit. Since then, Paytm’s market capitalization has shrunk by nearly two-thirds, falling to Rs 47,000 crore.

The real plunge occurred after the lock-in period ended, with major investors like SoftBank, Alibaba, and Berkshire Hathaway exiting.

In January 2024, the RBI ordered Paytm Payments Bank to cease operations due to regulatory violations, severely impacting its digital payments business. Monthly active users fell from 168 million to 68 million by September 2024. Additionally, rising competition from UPI and private players reduced its market share from 40% in 2018 to 5.5% in 2024, raising concerns about its long-term sustainability.

Swiggy and Nykaa see declining valuations due to margin pressures

Swiggy debuted on the Indian stock market in November 2024 with a pre-IPO valuation of $11.3 billion (~ Rs 96,008 crore), lower than its initial target of $15 billion (~ Rs 1.3 lakh crore). Since then, its stock has declined by 43.2%, erasing nearly Rs 60,000 crore in market capitalization, bringing its current valuation to Rs 78,889 crore.

Swiggy faces rising cash burn, high competition in the quick commerce sector, and a slowdown in its core food delivery business. Operational expenses have surged due to dark store expansion and intense competition - both food delivery and quick commerce being cut-throat markets right now – contributing to increasing net losses.

Similarly, Nykaa, which was valued at Rs 53,204 crore during its pre-IPO stage, saw its market cap rise to Rs 99,481 crore on listing day. However, by March 2025, its valuation dropped to Rs 49,506.4 crore, with the stock falling 57%. Increased competition from Myntra, Ajio, and traditional retailers and higher marketing expenses have negatively impacted its performance.

Financially, Nykaa is struggling with slim margins and inconsistent profitability. To stay competitive, Nykaa is investing heavily in expanding its warehouse network. In the most recent quarter, the company allocated 13% of its capex to expanding its network in the first half of FY26. However, rising costs and intense competition have led to a significant drop in Nykaa's valuation and stock price.

Zomato and Policy Bazaar’s valuations grow, helped by expansion and strong financials

Zomato debuted in 2021 with a Rs 1.1 lakh crore valuation, more than double its pre-IPO valuation of Rs 47,147 crore. Since then, its market capitalization has surged to Rs 2.2 lakh crore. This growth was driven by business expansion, rising demand, and strong investor confidence. Its inclusion in the BSE Sensex and Nifty 50 attracted passive investments, which helped push the company’s valuation higher.

Between 2021 and 2025, Zomato’s market share in food delivery grew from 47% to 58%. The acquisition of Blinkit strengthened its presence in quick commerce, and by March 2024, Blinkit turned adjusted EBITDA positive. Expanding dark stores and rising order volumes improved profitability, leading to increased investor interest. Multiple brokerages remained bullish, raising margin and profitability estimates. These factors helped Zomato’s stock deliver a 183% return since its listing.

PB Fintech, the parent company of Policybazaar and Paisabazaar, was valued at Rs 45,187 crore before its IPO. At the time of its listing in November 2021, the company’s valuation was Rs 42,763 crore. Since then, its valuation has increased by nearly 25%, reaching Rs 77,357 crore. The company expanded into personal finance and lending services through Paisabazaar, diversifying its revenue streams.

In FY24, PB Fintech reported a 37% year-on-year increase in insurance premiums, along with a significant rise in new protection premiums, including health and term insurance. Additionally, PB Fintech improved its operating profit margin from -23% in FY23 to -5% in FY24 by implementing cost-reduction measures and focusing on operational efficiency.

The rise in annual renewal income, achieving an 85% margin, has further boosted profitability. To cut risks in unsecured lending, PB Fintech is prioritizing secured loan products like home loans. The company aims to achieve Rs 1,000 crore in net profit by FY27 and is considering a $100 million investment in new ventures