Zomato as a business is here to stay: Gautam Shah

Sensex, Nifty were down over 0.21% on Wednesday following muted global cues. All eyes will be on the WPI inflation data and car sales figures for the month of June, due today. Infosys, L&T tech will be reporting their Q1 earnings today.

Gautam Shah from Goldilocks Premium Research spoke to Money9 and said that consolidation continues and such phases should be welcome in bull markets.

“From the charts perspective, Nifty being stuck in the tight range only looks good as the overbought zones have cooled off. Beneath the surface, we already have seen a correction below Nifty50 or Nifty 500. We are on the verge of a breakout on the Nifty. Hopefully over the next 4-5 sessions, one may see that. Nifty is preparing for 16,200-16,600”

On the most awaited, Zomato IPO, he said that though as a chartist he is not big on IPOs but did say that our lives have changed completely thanks to the pandemic and Zomato has been right up there cashing in on the situation.

“Zomato is definitely a ‘subscribe’ and as stock should do well even though there have been concerns raised on the losses, but I believe if one looks at the bigger 5-10 year opportunity, Zomato is right up there”