Although both Zomato and PB Fintech saw some retracement from their peak levels by the session's end, they still closed higher. Zomato finished the day with a 1% gain, setting a new all-time high closing price at INR 193.7. Meanwhile, PB Fintech concluded the trading session with a 1.4% increase, closing at INR 1,304.35, a level not seen since November 24, 2021, shortly after its initial listing.
It's noteworthy that PB Fintech has maintained its upward trajectory for the fifth consecutive session, spurred by a robust rally following investor meetings. The company, which owns the insurtech platform Policybazaar, has been riding on a wave of profitability since Q3 FY24. Since the release of its Q3 financials, PB Fintech's shares have soared by an impressive 43% year-to-date, reflecting growing investor confidence.
In Q3 FY24, PB Fintech reported a profit after tax (PAT) of INR 37.2 Cr, signaling a strong financial performance. Analysts, including Amol Athawale from Kotak Securities, anticipate the stock's bullish momentum to persist, potentially reaching levels between INR 1,300 to INR 1,325 in the near term.
Meanwhile, Zomato's ascent began in the middle of the previous year following its Q1 FY24 profitability report. Analysts have been revising their price targets upward for Zomato, with expectations that it could test the INR 225 mark by June 2024. Recently, brokerage firm Jefferies listed Zomato as one of its "top picks" for the next five years, projecting a substantial upside potential of 2.5X in its share price by March 2029, reaching INR 400.
Zomato's shares have consistently closed at record highs for the fourth consecutive session, reflecting the market's optimism towards the company's growth prospects. In the broader market context, both the Nifty50 and Sensex indices reached new record highs, driven by optimism surrounding the upcoming Q4 earnings season. However, there are lingering concerns in the equity market ahead of the release of US inflation data, scheduled for tomorrow.
Overall, despite some fluctuations, both Zomato and PB Fintech have demonstrated resilience and upward momentum, buoyed by strong financial performance and positive market sentiment towards their respective sectors.