Eternal’s post-founder test begins as Deepinder Goyal steps back, analysts turn cautious

Eternal’s shares fell 2% after hitting a high of 7% in early trading, driven by good performance in the October-December quarter. ₹Later in the day, Sensex rose 0.8% to 278 per capita.

The parent company of food delivery platform Zomato and flash commerce service Blinkit, which went public in July 2021, announced on Wednesday that Goyal will step down as CEO effective February 1 and take on the role of vice chairman. Albinder Singh Dhindsa will replace Goyal as CEO.

The transition makes Goyal only the second founder and CEO of an internet startup to go public to relinquish his role in overseeing day-to-day business operations. Freshworks founder Girish Mathrubootham stepped down as CEO to become chairman in May 2024 and left the Nasdaq-listed firm in December last year.

“This transition ensures that Eternal remains sharply focused while providing me with the space to explore ideas that do not fit Eternal’s risk profile,” Goyal said in his letter to shareholders. he said. As of end-December, Goyal owned 3.83% of Eternal, with no promoter stake.

More than three dozen tech and consumer-focused startups have gone public in the last three years, including Ola Electric Mobility, Nykaa, Paytm and Swiggy. But many of them did not make money for investors.

Unlike Freshworks, whose shares have fallen over 76.2% since going public, Goyal made money for its investors: Eternal’s shares are up 125%.

BSE-30 or Sensex has returned 55% between July 23, 2021, when Eternal went public, and January 21, 2026.

Why are brokerage firms cautious?

At least two brokerage firms are cautious about the road ahead for the fast trading and food delivery company.

“Leadership transitions are almost always a hotly debated topic,” Bernstein analysts Jignanshu Gor, Parth Shah and Dhruv Luthra wrote in a Jan. 21 note. “This is even more evident when it comes to a visible and vocal startup like Eternal. And even more so when its largest business is in a highly competitive and turbulent industry.”

“In this particular case, it could be argued that current CEO Deepinder Goyal has already been visibly and publicly engaged (and excited) in job pursuits outside Eternal for some time now. So, this title change is not really a new practical reality. It could also be argued that the new Group CEO (Albi) has the credentials to build the most valuable asset from scratch and this transition is a fair reward,” analysts said. he wrote.

However, they said this is expected to be a divisive issue for the stock and is considered a net negative in the short to medium term.

“Any potential share liquidation of the outgoing founder will be monitored and evaluated very closely. Given the successes the company has had so far in both the Food Delivery and Quick Commerce sectors (and has sort of automatically expanded into emerging businesses as well), we expect this transition to at least remove the ‘narrative halo’ surrounding Eternal.”

Analysts at Motilal Oswal wrote in a Jan. 21 note that the CEO transition appears orderly, but the division of responsibility between Eternal’s management and the board remains unclear as of now, adding: “The change brings some uncertainty to the business.”

Goyal, who founded Zomato in 2010 as a restaurant discovery and menu listing platform, has reduced his losses since taking his company public, but has expanded his company into newer areas.

Take this for example: In the April-June quarter of 2021, Zomato’s three business segments (food delivery, transportation of food and goods to restaurants, and dining out) generated revenue ₹844.4 crore revenue. All three were losing money and the company ceased to exist ₹360.7 crore lost.

Over the last four and a half years, Zomato has expanded into flash commerce business and movie and event ticket booking business. Eternal acquired Blinkit in June 2022, eleven months after it went public. Eternal was included in the Sensex in December 2024.

Eternal’s revenue increased 18 times between October and December 2025 ₹While making a profit of 16,315 crore ₹102 crore. Its Blinkit, or flash trading, business accounted for three-quarters of its total business; food distribution accounted for 16% and the remaining segments accounted for 9%.

While the swing trading business emerges as Eternal’s largest segment, at least one brokerage firm believes Eternal’s choice of a new CEO is a good decision.

“Given that Blinkit is Eternal’s largest growth opportunity and key valuation driver, the rise of Albinder Singh Dhindsa bodes well for sustainable application density, capital discipline, and profitability-driven growth while maintaining decentralization and strategic continuity,” Elara Capital’s Karan Taurani wrote in a Jan. 22 note.

The leadership change comes at a time when the flash trading business is under increased scrutiny. Last week, policymakers and industry organizations debated the sustainability of 10-minute delivery models, worker safety and gig workers’ wage structure.