GenZ Stock Picks: JPMorgan chooses five consumer internet names for up to 62% upside

Detailed summary

For the durable stock picks, JPMorgan sees a 26% upside for shares of Info Edge, with a price target of ₹1,500, while for Swiggy, the price target of ₹310 implies an upside potential of 62% from current levels.

As digital adoption expands across India, new user growth from the GenZ demographic (aged 18–34) is emerging as a critical driver for incremental growth across consumer internet categories over the coming decade, global investment banking firm JPMorgan wrote in its note on Monday, November 10.

While most Indian consumer internet platforms currently report an average user age of 30 to 32 years, JPMorgan notes that the natural transition of Gen Z users into Millennials points to strong, long-term growth durability across the broader sector.

In sorting platforms and categories by their youth appeal, JPMorgan analysts found that edtech and recruitment platforms command the highest youth salience, while specific names like Toing (Swiggy), Nykaa, Meesho, and Groww stand out as demographic leaders within their respective verticals.

Furthermore, the brokerage highlights that seemingly "mature" categories like food delivery and recruitment classifieds actually possess a significantly longer growth runway than perceived due to their high concentration of GenZ users.

Based on its demographic mapping, JPMorgan has identified two distinct sets of Overweight-rated (OW) stock picks to play this youth-driven consumption wave:

JPMorgan selects PhysicsWallah, Meesho, and Groww as its preferred Overweight-rated stocks for direct exposure to high Gen Z user concentration.

For investors seeking long-term durability among established internet laggards, JPMorgan recommends Overweight-rated Info Edge and Swiggy, citing their strong footing in youth-heavy categories.

Within these, JPMorgan sees a 15% upside for shares of PhysicsWallah from current levels, while for Meesho, the stock has already crossed JPMorgan's price target of ₹250 per share. The firm sees a 9% upside for shares of Groww.

For the durable stock picks, JPMorgan sees a 26% upside for shares of Info Edge, with a price target of ₹1,500, while for Swiggy, the price target of ₹310 implies an upside potential of 62% from current levels.

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