Swiggy Shares Hit Record Low as Instamart Losses Widen

Swiggy shares fell 6.20% to a record low of 198.30 rupees in early trade on Friday. The decline follows reports that the company's quick-commerce arm, Instamart, saw its adjusted core loss widen to 8.95 billion rupees in the second quarter, an increase from the 8.49 billion rupees reported the previous year.

Investors are expressing concern over profitability within the quick-commerce sector. Swiggy and its rival, Eternal, are currently engaged in aggressive expansion of their dark store networks to capture market share.

Brokerage firms Jefferies and Emkay maintained buy ratings for the stock but lowered their price targets. Jefferies reduced its target from 435 rupees to 330 rupees, while Emkay cut its target by 11% to 310 rupees.