Shares of online food delivery platform Zomato Ltd are in news today after the firm said it has received an order for demand of GST of Rs 11.27 crore, along with applicable interest and penalty totaling to Rs 23.26 crore, from the Assistant Commissioner of Commercial Taxes (Audit), Karnataka. The company believes that it has a strong case to defend the matter before the appellate authority and does not expect any financial impact of the order.
Zomato stock ended 1.59% higher at Rs 182.35 on Thursday against Rs 179.35 in the previous session on BSE. The stock is trading near the overbought zone as the relative strength index (RSI) of Zomato stock stands at 69.1. A RSI of 70 signals that a stock is overbought. Zomato shares are trading higher than the 10 day, 20 day, 50 day, 100 day and 200 day moving averages.
".... this is to inform that the Company has received an order for FY 2018-19 pursuant to the audit of GST returns and accounts by the Assistant Commissioner of Commercial Taxes (Audit), Karnataka raising demand of GST of INR 11,27,23,564/, along with applicable interest and penalty totaling to INR 23,26,64,271/-," said Zomato Limited in its stock exchange filing.
“We believe that we have a strong case on merits and the Company will be filing an appeal against the order before the appropriate authority, it added.
The demand order has been received in respect of excess availment of input tax credit and interest, penalty thereon
The stock has seen very less volatility in the last one year with a beta of 0.3. The stock has a high price to book ratio of 17.02. It has a PE ratio of 133.10.
The stock has a book value per share of 19.14. In a year, the Zomato stock has risen 263% and climbed 46.47% in 2024.
A total of 28.91 lakh shares of Zomato changed hands amounting to a turnover of Rs 52.15 crore on BSE. The market cap of the firm rose to Rs 1.60 lakh crore on Thursday.