India’s first food unicorn startup- ‘Zomato’ shares hit over 30% from its 52 week high

The shares of Zomato limited hit a 52 week high of ₹169.10 on November 16, 2021, and a 52 week low of ₹114 on July 23, 2021. And now its stock has turned down to 30% from its 52 week high. The market capitalization of Zomato has fallen to ₹92,055.01 crores on the Bombay Stock Exchange(BSE).
Zomato limited shares are under tremendous pressure as it has been declined to 7% within a day low of ₹116.40 on BSE. And the shares of Zomato have been falling from last four trading sessions.
Some sources say that considering all technical factors that are indicating red, there is hardly any strong rebound going to happen in tech stocks.
The food delivery platform Zomato had made a bumper debut and gained the limelight by hitting the rupees 1,00,000 crore market cap.
There is tough competition seen in the food delivery segment especially Swiggy is beating Zomato in many factors such as Zomato’s lags in establishing a dense network of restaurants in the metro as compared to Swiggy.
Earlier in 2021, Zomato completed the acquisition of 7.89% of Bigfoot retail solutions, which is a logistic start-up having the brand name ‘Shiprocket’.
And in the 45th meeting of the GST council held in September last year, Finance Minister Nirmala Sitharaman announced some change in the tax regime for hyper-local food ordering services in which she proposed that companies like Zomato and Swiggy should pay GST on behalf of their partner restaurants including cloud kitchens and central kitchens, whose services are available on their apps. The proposal got accepted and came to the picture on January 1, 2022.