Will tech stocks recover?
I got into stocks like Zomato and Paytm when they IPOd expecting for them to rally up as many people did (I assume).
Even in the long term until they make their model profitable instead of blatantly burning money just to survive, only then their stocks might see the rise.
Paytm is trying to become profitable, they’ve built a lending book of 25k cr+ in last 1 year.
Ultimately, every fintech company end up becoming a lending company, case in point cred.
I don’t see how Zomato ever becomes profitable, Uber just posted a loss this quarter as well. If Uber can’t become profitable, how can we expect Zomato to do better…..
Bitter truth, no. Unless you are willing to wait out 3-4 years. Zomato can still recover to IPO cost, Paytm will never simply because it was overvalued to start with.
Better to digest and move on.
Zomato, unless they expand their business into any other segments i don't see prospect in their business. Cons : services only urban, not a monopoly, poor management.
For that matter personally i dont believe in a business who wants to earn using mere an app taking orders and they won't own a product.
