Stock update: Eternal shares rise 1.14% amid mixed analyst outlooks 

Eternal’s stock climbed 1.14 per cent to ₹236.90 as of 12.41 PM today, continuing to attract investor attention following contrasting analyst reports released yesterday. The modest gain comes as markets digest the company’s strategic decision to remain domestically owned.

Jefferies maintained its Hold rating on Eternal with a target price of ₹255, citing concerns about limited return on investment upside despite acknowledging potential regulatory advantages. The firm noted that the company’s plans to stay domestically owned could result in an MSCI index weight reduction, while providing Blinkit, Eternal’s quick commerce arm, the option to operate a first-party inventory model.

In contrast, CLSA reiterated its High Conviction Outperform rating with a significantly higher target price of ₹375. The brokerage highlighted that the Indian-owned structure would give Blinkit a competitive advantage against peers and potentially enhance margins, though it might require higher working capital.

While the foreign investment cap may reduce Eternal’s weight in certain indices, CLSA believes this could create opportunities for active buyers in the market. The strategic shift is expected to allow Blinkit to leverage its scale advantage, offering a broader product assortment and potentially better pricing to customers.

Published on April 22, 2025