Why Zomato’s Shares Becoming Undervalued?
Why did the Zomato stock fall? Analysts point to macro-economic factors and global volatility behind the recent sell-off in new age businesses such as Zomato. Its peers in the sectors such as Paytm, Nykaa and Policybazaar have also witnessed major sell-offs over the past few months.
Beauty is actually in the eye of beholder. Likewise, the value of the share is in the eyes of investor. Otherwise, the share actually carries no value.
Zomato is a loss making company. what is the basis for anyone to say that the stock is undervalued now — May be it was overvalued earlier, and now it is slowly inching towards correct value.