Shares of foodtech major Zomato climbed over 4% in early trading hours today (October 8) after brokerage HSBC reaffirmed its ‘buy’ call on the stock, citing the company’s lead over Swiggy in terms of both growth and profitability across food delivery and quick commerce businesses.

Comparing Swiggy and Zomato, MOFSL said Zomato has been gaining market share in food delivery. But, on the basis of gross order value and monthly transacting users (MTU), Swiggy’s cohorts appear more mature and stickier.

Shares of food delivery giant Zomato were soaring by more than 3% in the exchanges on Tuesday as brokerages appeared bullish about the firm’s performance and see it maintaining its lead over competitor Swiggy.