‘Gen Z to drive India’s next Internet growth wave’: Why JPMorgan picked PhysicsWallah, Meesho, Groww shares over others

Résumé détaillé

JPMorgan says platforms that attract Gen Z could benefit from a decade of growth in the consumer internet. Food delivery, recruitment and edtech stand out for younger users, while real estate and online travel skew older. Its preferred Gen Z exposure picks are PhysicsWallah, Meesho and Groww.

India’s Gen Z consumers could emerge as a key driver of incremental growth across consumer internet businesses over the next decade, creating fresh opportunities for platforms that have successfully attracted younger users, according to global brokerage JPMorgan.

In its analysis of consumer internet companies, JPMorgan said most Indian internet categories have an average user age of 30–32 years. The transition of Gen Z consumers into the millennial age group also points to the potential for sustained growth across the sector.

The brokerage identified edtech and recruitment platforms as the categories with the highest Gen Z salience. Among individual companies, Toing (Swiggy), Nykaa, Meesho and Groww stand out in their respective segments for their ability to attract younger users.

JPMorgan's top picks for Gen Z exposure are overweight-rated PhysicsWallah, Meesho and Groww. It also sees potential for stronger-than-expected growth in categories often considered mature, particularly food delivery and recruitment classifieds. In this context, the brokerage highlighted overweight-rated Info Edge and Swiggy as its picks for growth durability.

Edtech is the youngest consumer internet segment, given that most test-preparation aspirants in India fall in the 18–34 age group, with a majority below 27, JPMorgan said.

Recruitment platforms are also well-positioned to benefit as this cohort enters the workforce and begins looking for employment opportunities. Going-out platforms, including District (Eternal) and BookMyShow, also enjoy high Gen Z salience.

In contrast, real estate, home services and online travel agency (OTA) platforms have the lowest proportion of Gen Z users. JPMorgan attributed this to higher ticket sizes in real estate and travel, as well as use cases that tend to appeal more to older consumers, including millennials and Gen X.

Food delivery is a relatively young category, with around 65% of its users belonging to Gen Z, according to JPMorgan.

Toing, Swiggy's newer…

Début de l'article, extrait de Mint. Pour lire la suite, ouvrez l'article chez le média.