Kotak sees Just Dial turnaround as ₹6,000 crore cash pile matches market cap
Kotak Institutional Equities has reiterated its Buy call on Just Dial, citing paid-subscriber growth, new products, advertising and B2B merchant onboarding. The brokerage says the company’s ₹6,000 crore cash and investments could fund growth bets or shareholder returns.
What happened
Kotak reiterated Buy on Just Dial, citing a turnaround led by paid-subscriber growth, new products, advertising and B2B merchant onboarding. Its ₹6,000 crore
Key facts
- 10%
- ₹1,175
- 56 million listings
- 0.6 million monetised listings
- 10% B2B merchant share
- 1.6% FY26 collections growth
- 14% Q1 FY27 collections growth
- ₹6,000 crore cash and investments
- over $3 billion in 11 days
Why this matters
Just Dial’s cash pile gives it capacity to pursue product acquisitions, merchant-service partnerships, or capital returns as it scales monetisation in local commerce.
What to watch
- Quarterly collection growth progressing from 1.6% toward double digits.
- Paid-subscriber net additions, churn and renewal-rate improvement.
- Revenue per paid campaign and adoption of new advertising/B2B products.
- Sales-and-marketing expense growth relative to incremental collections.
- Any board action on buyback, special dividend, acquisition or other cash deployment.
- Management guidance for FY27 collections, margins and product-investment intensity.
- Increase merchant-sales hiring and incentives in higher-density local-service categories.
- Bundle advertising, lead-management and B2B merchant tools to raise average revenue per paid subscriber.
- Deploy part of the cash pile toward product development, selective acquisitions or merchant-financing/commerce partnerships.
- Address capital allocation through a buyback, dividend increase or formal cash-deployment framework.
- Emphasise collections, paid-subscriber net additions, renewal rates and merchant onboarding in quarterly disclosures.