Swiggy shares fell about 5% on Tuesday, sliding to an over six-month low amid heavy selling pressure. The food and grocery delivery company's stock opened at ₹378.40 and dropped to an intraday low of ₹359.45 by mid-day. This marked the third consecutive session of declines for Swiggy, with the stock falling nearly 8% over the past three trading days to their lowest level since June 19, 2025. Trading volumes were about 1.5 times the average, with more than nine million shares changing hands across the NSE and BSE.
Tuesday's fall pushed the stock below its QIP price of ₹375, at which the company had raised ₹10,000 crore, and below its IPO price of ₹390 per share. The stock's recent inclusion in the futures and options segment has also added to near-term volatility. While broader markets remained relatively stable, Swiggy underperformed benchmark indices, indicating stock-specific pressure rather than wider market weakness.
Serum Institute of India managing director Cyrus Soli Poonawalla acquired about 11.23 lakh shares of Swiggy for ₹42.35 crore on Monday, according to NSE bulk deal data. The transaction was executed at an average price of ₹377 per share. Bulk deal disclosures show that the shares were transferred from Serum Institute of India to Poonawalla, indicating that the move was likely an internal transfer rather than a fresh purchase from the open market, and did not reflect incremental buying interest from external investors.
According to an AngelOne report, market participants remain cautious about Swiggy's competitive position across both food delivery and quick commerce. While the company was an early mover in food delivery, intensifying competition has narrowed its advantages, and investors increasingly see its profitability as lagging behind some peers in the sector. The challenges are more pronounced in quick commerce, where order growth has moderated in recent quarters even as costs tied to dark-store expansion remain elevated. Key efficiency metrics, such as orders per dark store, have shown signs of pressure, raising concerns about operating leverage and the scalability of the business model.
The share transfer comes soon after Swiggy completed a ₹10,000 crore qualified institutional placement (QIP) last month. The QIP drew strong participation from domestic mutual funds such as ICICI Prudential Mutual Fund, SBI Mutual Fund and Aditya Birla Sun Life Mutual Fund, as well as foreign institutional investors including Temasek, Norway's sovereign wealth fund, Vanguard, Capital Group, Nomura and Goldman Sachs. Although Swiggy is approaching contribution-level profitability, analysts note that high fixed costs continue to weigh on overall margins, leading to questions about how quickly the company can transition to sustained profitability in a crowded and capital-intensive market.
