Trading Volumes Surge And Recent Block Deals For Eternal Shares
- Eternal Ltd stock has lost 4% in December so far, while for the year it is marginally up by 3.43%.
- As of 1:30 PM, a total of 43.9 million shares had changed hands on both BSE and NSE, double the daily average trading volumes.
- Last week, a large block deal occurred with 5.3 crore shares (about 0.54% of equity) changing hands, marking another major transaction this year.
- In mid-November, two block deals involved nearly 90 lakh shares worth ₹279.25 crore.
- In June, 60.93 lakh shares were traded at an average price of ₹256, totaling ₹156 crore.
- The steady flow of large deals highlights sustained institutional interest, driven by rapid scale-up and growth momentum of Blinkit, Eternal’s quick-commerce business.
Eternal Shares Have Been Under Pressure Since Their Peak
The shares of Eternal Ltd have been experiencing a gradual decline after reaching their highest point of ₹368 in October last year. The decline got worse when the government newly introduced labor codes.
The market is now worried about the profits being pinched and is doing some nervous calculations on the impact of the new rules that entail sharing 1–2 percent of the annual turnover by the aggregators, with a maximum of 5 percent of the gig and platform workers’ total pay being paid as contributions.
Investors are coming to the conclusion that while Zomato and Blinkit are consistently providing meals and groceries right on time, the parent company’s stock has a different delivery schedule, and today it looks like delivering compliance costs rather than profits.
Eternal Ltd: Costs, Customers, And The Gig Economy
| Topic | Details |
|---|---|
| Brokerages Expect Costs to be Passed to Customers | Brokerages expect both companies to gradually pass on most of the additional cost to customers. A ₹2–₹3 increase per order is unlikely to materially affect user behaviour, given recent absorption of similar platform fees. |
| Growth of India’s Gig Economy | India’s gig economy has ballooned over the past decade, driven by the proliferation of online commerce and marketplaces such as Zomato, Swiggy, Uber, Amazon, and Flipkart. |