**MARKET BRIEF: Eternal (Zomato) Leadership Shake-up & Q3 Review** **📉 Market Pulse** **Eternal (Zomato)** stock is trading at **₹253.05**, correcting significantly from its October peak of **₹368** (down **~23%**). Despite operational improvements, the scrip remains under pressure due to high valuation multiples (P/E **~1000x**) and leadership volatility. **🚨 The Core Shake-up** Founder **Deepinder Goyal** has resigned as Group CEO (effective Feb 1, 2026) to transition into a Vice Chairman role. * **The Shift:** Goyal is stepping back to pursue "high-risk" personal ventures in longevity and aerospace. * **The Successor:** **Albinder Dhindsa** (Blinkit CEO) takes the reins as Group CEO. * **Impact:** The exit of the visionary founder has triggered "leadership jitters," outweighing the company's strategic continuity assurances. **⚡ Quick Commerce: The Profit Breakthrough** While leadership news dominates headlines, **Blinkit** achieved a historic milestone in Q3 FY26: * **Profitability:** Turned **Adjusted EBITDA positive** (₹4 Cr) for the first time, swinging from a ₹156 Cr loss in Q2. * **Growth:** Net Order Value (NOV) surged **121% YoY**. * **Expansion:** Added **211** new dark stores, bringing the total to **2,027**. * **The War:** Competition is intensifying. Amazon and Flipkart have entered the fray with aggressive discounting (up to **55%**), initiating a fresh price war. **🧠 Expert View: Sandip Sabharwal** Market veteran Sandip Sabharwal maintains a cautious stance, validating the market's nervous reaction. * **The "Distraction" Factor:** Sabharwal attributes the correction primarily to Goyal's potential distraction with outside ventures. * **Valuation Risk:** He views the stock as fundamentally expensive, noting that such leadership transitions often lead to de-rating in the short term, regardless of operational wins. **📊 Financial Scorecard (Q3 FY26)** * **Net Profit:** Surged **73% YoY** to **₹102 Cr**. * **Revenue:** Jumped to **₹16,315 Cr** (largely due to accounting shifts in the inventory model). * **Cash Position:** Remains robust with healthy liquidity ratios. **⚠️ Brief Outlook** The "Goyal Premium" is fading. Investors are now weighing the execution capability of the new leadership against a backdrop of expensive valuations and fierce competition from deep-pocketed rivals. The market awaits evidence that Blinkit's profitability is sustainable amidst the brewing discount war. [Sandip Sabharwal Market Analysis](https://www.youtube.com/watch?v=iX4l9iUUibo) This video features Sandip Sabharwal discussing Eternal (Zomato) earnings and market structure, providing essential context to his critical stance on the stock's valuation and leadership dynamics. http://googleusercontent.com/youtube_content/0