Zomato's stock price surged nearly 5% to hit a fresh 52-week high during intraday trading on the BSE on Thursday, February 15. It opened at ₹156.75 compared to the previous close of ₹152.20 and reached a high of ₹159.20, marking a 4.6% increase. Over the past year, Zomato's stock has experienced a remarkable surge of over 200%, significantly outperforming the equity benchmark Sensex, which saw a gain of around 17%. It hit a low of ₹49 on March 28 last year, and at the current market price of ₹159.20, it has surged by 225% from its lowest level. Numerous brokerage firms have expressed optimism about the stock. CLSA, a global brokerage firm, has raised its target price from ₹181 to ₹227 while maintaining a buy recommendation. CLSA views Zomato as an increasingly crucial component of the profit pool, despite its relatively small size. The firm believes that the company's recent Q3 results indicate a path to stable profitability. CLSA expects a 45% upside in the stock price, even in a slower growth scenario for food delivery, assuming no launch of Zomato Everyday. The firm's valuation methodology has shifted to a discounted cash flow (DCF) model and a PE ratio based on FY26 earnings, aligning with consumer and quick-service restaurant (QSR) methodologies. Adjustments have been made to CLSA's estimates for FY24 PAT and FY25-26 estimates to reflect changes in other income, tax, and EBITDA assumptions. The firm notes that benchmarking Zomato's valuation against Indian QSRs and consumer coverage provides better alignment due to similar growth drivers and profit pools, compared to global peers which present a more complex comparison due to different drivers and wider valuation ranges.