ICICI Securities has reported that the ongoing strike of Blinkit’s delivery executives in Delhi-NCR is likely to have already resulted in approximately 1% revenue loss to Zomato’s quick-commerce arm in Q1 of FY24. Over 50% of the 200 Blinkit dark stores in the region have remained shut since the strike started due to the company’s introduction of a new pay structure for delivery partners. ICICI Securities noted that the change in delivery fee structure indicates Zomato’s efforts towards cost control. The brokerage suggested that the company should resolve the issue at the earliest. Despite near-term growth challenges, ICICI Securities maintained its ‘buy’ rating on Zomato’s stock. It seems that the protesting Blinkit delivery executives have gained political attention as a Bharatiya Janata Party (BJP) spokesperson from Haryana named Yashpal Batra backed their protest and met with Gurugram Labour Commissioner Dinesh Kumar to seek immediate resolution of their issues. The delivery executives also met with Kumar and demanded a minimum pay of INR 25 per order delivered. ICICI Securities has maintained a price target (PT) of INR 65 on Zomato, which implies an upside of 20.7% to the stock’s last close on BSE. On the other hand, Motilal Oswal has initiated its coverage on Zomato with a ‘buy’ rating and a PT of INR 70, implying an upside of 30% to the stock’s Friday’s close.