The online food delivery industry in India is growing rapidly, valued at around $45.15 billion in 2024 and projected to reach $102.43 billion by 2030. Not just food, services like quick-commerce (Blinkit, Instamart, Zepto) are also driving this growth. The sector has gained more attention with Swiggy’s IPO in November 2024.
In this blog, we will know why investing in India’s top food delivery companies can be beneficial, and what things you should keep in mind.
India’s Online Food Delivery Sector
Online food delivery in India has now become a fast-growing and technology-driven sector. People in small and big cities prefer to order food from mobile apps, and this trend is now visible in the world of investment as well. Today, this industry is not limited to just apps; it has also included new experiments like cloud kitchens, dark stores and quick-commerce models. Many companies have already listed on the stock market, and some are going to list in the near future, making this sector a new opportunity for investors.
What are Food Delivery stocks?
Food delivery stocks are shares of companies that provide food delivery or related services through digital means. This sector can be divided into two types of companies:
- Online platform companies : These are companies whose entire business model is based on taking digital orders, connecting with restaurants and managing the delivery network. These companies are usually tech-centric and are rapidly scalable.
- Quick service restaurant (QSR) companies : The main business of these companies is to sell food through restaurants, but now they are also developing their delivery service as a parallel business unit. They have strong brand value and customer loyalty, which keeps their revenue stable.
10 Best Food Delivery Stocks Based on Market Capitalisation
| Company | Sector / Category | Current Market Price | Market Capitalisation (in INR crore) | 52-Week High | 52-Week Low |
|---|---|---|---|---|---|
| Eternal Ltd (Zomato) | Food Delivery + Quick Commerce | ₹ 259 | 2,49,751 | ₹ 305 | ₹ 190 |
| Swiggy Ltd | Food Delivery + Instamart | ₹ 385 | 96,055 | ₹ 617 | ₹ 297 |
| Jubilant FoodWorks | QSR (Franchisee) | ₹ 688 | 45,407 | ₹ 797 | ₹ 548 |
| Devyani International | QSR (Franchisee) | ₹ 174 | 20,969 | ₹ 223 | ₹ 130 |
| Westlife Foodworld | QSR (Franchisee) | ₹ 763 | 11,903 | ₹ 960 | ₹ 641 |
| Sapphire Foods India | QSR (Franchisee) | ₹ 333 | 10,694 | ₹ 401 | ₹ 242 |
| Restaurant Brands Asia | QSR (Franchisee) | ₹ 81.7 | 4,756 | ₹ 119 | ₹ 59.4 |
| Barbeque Nation Hospitality | Casual Dining + Delivery | ₹ 313 | 1,223 | ₹ 712 | ₹ 247 |
| Coffee Day Enterprises | Cafe + Online Delivery | ₹ 34.6 | 732 | ₹ 55.8 | ₹ 21.3 |
| Speciality Restaurants | Fine Dining + Delivery | ₹ 127 | 613 | ₹ 199 | ₹ 114 |
Read Also: 7 Top Food Stocks in India
Overview of the Top Food Delivery Stocks
An overview of the top food delivery stocks in India is given below:
1. Eternal Ltd.
Zomato started in 2008 as a restaurant discovery platform, but today it is among the largest online food delivery companies in India. The company has expanded its services over time and added verticals like Blinkit (grocery delivery) and Hyperpure (restaurant supply). Zomato’s operations are spread across 800+ cities in the country, and it processes crores of orders every month. Due to technology-driven delivery model, strong user base and continuous innovation, the company has gained a strong foothold in the industry by 2025. With the increase in disposable incomes, Zomato’s potential to scale is getting even better.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| 24.25 | 372 | 123.02% |
2. Swiggy Ltd.
Swiggy was launched in 2014 and has now become India’s second largest online food delivery and quick commerce company. In November 2024, the company listed itself on the stock market by bringing an IPO. Apart from food delivery, its Instamart platform is rapidly expanding into grocery delivery. Swiggy is offering its services in 500+ cities and is investing heavily in order fulfillment, AI-based routing and cloud kitchen models. Its rapidly growing user base makes it an attractive investment option in 2025.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -8.44% | NA | NA |
Read Also: Swiggy Case Study
3. Jubilant FoodWorks Ltd.
Jubilant FoodWorks Ltd is the exclusive franchise holder of Domino’s Pizza in India and also operates international brands like Dunkin’ Donuts and Popeyes. The company was started in 1995 and has become a leading name in the QSR (Quick Service Restaurant) segment. Jubilant offers food services through 1,800+ outlets across India. The company has also diversified its portfolio and included new brands such as Hong’s Kitchen, thereby expanding its business operations and strengthening it.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| 20.68 | 21.60 | 98.84 |
4. Devyani International Ltd.
Devyani International Ltd is one of the largest QSR companies in the country running franchises of leading brands such as KFC, Pizza Hut and Costa Coffee. It was founded in 1991 and operates under Yum Brands. The company operates over 1,400 outlets in 250+ cities in India and is constantly offering its services across new cities. Devyani has expanded its service to tier-2 and tier-3 cities, thereby strengthening its pan-India presence. Its brand positioning in the QSR segment is quite stable and reliable.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| 5.52 | 6.10 | 23.79 |
5. Westlife Foodworld Ltd.
Westlife Foodworld Ltd operates McDonald’s India (West and South India). The company has been associated with this franchise since 2010 and offers fast-food services through more than 370+ outlets. Westlife has upgraded its retail network with online ordering, delivery and drive-thru models. The strong brand value of McDonald’s and the company’s reliance on technology for increased efficiency makes it a trusted player in the Indian QSR industry. In 2025, the company’s focus is on offering healthier food options, affordable meals, and great user experience.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -11.16 | 46.14 | 132.51 |
6. Sapphire Foods India Ltd.
Sapphire Foods india Ltd operates franchises of KFC and Pizza Hut in the northern and western states of India. It is another key partner company of Yum Brands, which started its operation in 2015. Sapphire is present in large parts of the country with 700+ outlets. The company is constantly adapting its services for on-time delivery of orders and enhanced customer experience. In recent years, its focus has been on expansion of its outlet network and operational efficiency, making it a good option for long-term investment.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| 4.38 | 44.17 | 22.96 |
7. Restaurant Brands Asia Ltd.
Restaurant Brands Asia (RBA) Ltd operates Burger King in India and also has a franchise network in Indonesia. RBA was founded in 2013 and now offers QSR services through 400+ outlets. The company has gained popularity among the youth due to its budget-friendly menu and fast service. RBA is constantly expanding into new cities and is strongly promoting online ordering. Its multi-geographical presence helps it to have stability in the QSR sector.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -28.36 | -26.93 | -27.29 |
8. Barbeque Nation Hospitality Ltd.
Barbeque Nation Hospitality Ltd was started in 2006 and has become a popular name for live grill and buffet dining in India. The company has 150+ outlets and is now moving towards online food delivery and cloud kitchen models. Barbeque Nation has always focused on “value for money” and “dine-in experience”, but in 2025 it has also started giving importance to digital platforms and delivery partnerships. Its multi-category approach sets it apart from other QSR brands.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -46.97 | -71.38 | -36.11 |
9. Coffee Day Enterprises Ltd.
Coffee Day Enterprises Ltd, founded in 2008 and headquartered in Bengaluru, is best known as the owner of India’s largest café chain, Café Coffee Day (CCD). The company operates over 450 outlets across 200+ cities, serving millions of customers annually. Apart from its core café business, it is also involved in coffee exports, vending machines, and allied businesses like hospitality (The Serai resorts) and tech parks. Despite strong brand presence, it has been tackling debt challenges in recent years.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -37.17 | -19.98 | 73.55 |
10. Speciality Restaurants Ltd.
Speciality Restaurants Ltd was founded in 1992 and owns premium dining brands like Mainland China, Oh! Calcutta, Sigree. The company’s specialty is quality dining service with authentic and regional flavors. It is now present across the country through 100+ outlets. Speciality has also recently adopted digital innovations in its menu, tech-enabled ordering and food delivery models. The company primarily focuses on an upscale and loyal customer base, which makes it different from other QSR players.
Know the Returns:
| 1Y Return (%) | 3Y Return (%) | 5Y Return (%) |
|---|---|---|
| -26.48 | 5.43 | 268.33 |
Read Also: List of Best Cosmetics Stocks in India
Key Performance Indicators (KPIs)
The key performance metrics of food delivery companies are mentioned below:
| Company | Operating Margin (%) | Net Profit Margin (%) | ROE (%) | ROCE (%) | Debt to Equity |
|---|---|---|---|---|---|
| Eternal Ltd (Zomato) | 4.20 | 2.60 | 1.73 | 2.63 | 0.00 |
| Swiggy Ltd | -19.71 | -20.45 | -30.49 | -25.83 | 0.00 |
| Jubilant FoodWorks | 10.33 | 2.72 | 10.02 | 13.07 | 0.71 |
| Devyani International | 5.61 | -0.13 | 0.83 | 6.57 | 0.85 |
| Westlife Foodworld | 5.62 | 0.48 | 2.01 | 21.35 | 0.51 |
| Sapphire Foods India | 5.20 | 0.57 | 1.37 | 5.81 | 0.01 |
| Restaurant Brands Asia | -2.81 | -9.12 | -23.79 | -2.67 | 0.33 |
| Barbeque Nation Hospitality | 4.10 | -2.19 | -7.66 | 4.84 | 0.19 |
| Coffee Day Enterprises | 5.16 | -12.74 | -2.24 | 1.66 | 0.53 |
| Speciality Restaurants | 9.82 | 5.03 | 6.64 | 9.39 | 0.00 |
How to Analyze Food Delivery Stocks?
Food delivery companies are growing rapidly, but it is not enough to make a decision just by looking at the name or brand popularity before investing in it. As a smart investor, you should deeply understand the foundation of the company’s business and its growth plan.
- Growth and order trends : It is important to see how fast the company’s average order value, user base and number of monthly orders are growing. For example, both Zomato and Swiggy have seen a rapid growth in demand in FY25.
- Is it making a profit or not : Is the company profitable or not? Zomato has made a profit for the second consecutive quarter, while Swiggy’s grocery delivery segment is now slowly helping reduce its overall losses.
- Technology and Innovation : Companies that are using technology like AI to manage order routing systems or cloud kitchens will be more scalable in the future. Instamart and Blinkit are good examples in this case.
- Business expansion : Many companies are active not just in food delivery but also in grocery, logistics and supply chain. This diversification of revenues makes them more stable.
- Company’s market presence and recognition : Before investing in any stock, it is important to judge the strength of the company’s brand image. In this industry, recognition and customer trust make the biggest difference.
Benefits of Investing in Food Delivery Stocks
Along with rapid expansion, the food delivery industry in India offers several unique benefits for investors. Strong growth, technology-driven models, and brand loyalty make these stocks attractive for long-term portfolios.
- Strong growth potential: The sector is projected to more than double from $45 billion in 2024 to $102 billion by 2030, driven by rising online ordering habits across cities.
- Diversification into quick-commerce and grocery: Companies are expanding into quick-commerce and grocery delivery (e.g., Blinkit, Instamart), creating multiple revenue streams beyond food delivery.
- Technology-driven scalability: Use of AI to manage inventory, cloud kitchens, and efficient logistics make these businesses highly scalable and capable of rapid expansion.
- Strong brand value and customer loyalty: Well-known brands like Zomato, Domino’s, and McDonald’s enjoy strong customer trust, helping maintain steady demand even in competitive markets.
- Early-stage investment opportunity: India’s food delivery market is still in its early growth phase, giving long-term investors the chance to benefit from future expansion.
Read Also: List Of Best Textile Stocks in India
Risks & Challenges in Investing in Food Delivery Stocks
Along with expected growth of the food delivery industry, there are some risks associated with it too. Some of these risks are mentioned below.
- Heavy cash burn and delayed profitability : Companies like Zomato and Swiggy have been burning cash for a long time. Operational expenses are high, and earnings grow slowly. Zomato has turned profitable in FY25, but Swiggy is still reporting losses. Hence, the road to profitability is a long process.
- Tough competition and pricing pressure : There is a constant battle for market share between Zomato, Swiggy and other QSR brands. Companies try to lure customers through discounts, offers and exclusive deals, which puts pressure on margins.
- Regulatory risks and labor costs : Food delivery companies depend on thousands of delivery agents. If there is any change in the government policy related to insurance, PF, minimum wage, etc., then their operating costs can increase significantly.
- Change in customer behavior : Customer preferences change rapidly. If a new app or service gives a better experience, users can shift immediately. Because of this, maintaining brand loyalty is a big challenge.
- Delivery infrastructure and logistics costs : There is always pressure on these companies to deliver more orders in less time. For this, the latest technology, warehouses (dark stores), and a large network of delivery staff are required, which can be very expensive.
- Risk of decline in valuation after IPO : Stocks like Zomato and Swiggy saw a lot of growth in the beginning, but the actual profit and growth may be less than expectations of investors.
Read Also: 10 Best Copper Stocks in India
Conclusion
India’s food delivery and QSR industry is growing rapidly, and many listed companies have become attractive investment options. But it is important to understand the business model, growth potential and risk factors carefully before investing. If you have a long-term view, this sector can be a good addition to the portfolio. Consult a financial advisor before investing in any of these companies.
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Frequently Asked Questions (FAQs)
What are food delivery stocks?
Shares of companies that operate in the online food ordering or QSR model that accept online orders are called food delivery stocks.
Which is better, Zomato or Swiggy?
Both have different strengths; Zomato has recently turned profitable while Swiggy’s quick commerce is growing rapidly.
Are food delivery stocks a risky investment?
Yes, these companies face stiff competition and may take a long time to be consistently profitable.
Is this sector good for long-term investment?
If the company is strong and the business model is sustainable, then it can be a good investment option for the long term.
What is the future growth potential of food delivery companies in India?
With the growing number of internet users, increase in disposable incomes and the habit of online ordering in India, this sector is likely to witness rapid growth in the coming years.
