1 week ago
Meesho Shares Extend Bull Run, Rise 85% From IPO Price
Meesho’s stock price has gone up for four days in a row.
On August 20, it reached ₹207.
The company’s shares are much more expensive than when they were first sold to the public.
Meesho lost less money in the latest quarter than it did a year earlier.
Its sales and the number of people using its platform both grew.
Customers also placed more orders through the platform.
Some analysts think Meesho can continue growing because its business costs are improving.
However, one analyst’s bear-case estimate suggests the stock could fall to ₹140.
Meesho shares rose 5.4% to ₹207 on August 20, extending gains for a fourth straight session.
The stock has gained 14.3% in August and is trading sharply above its IPO price, with the article citing an 85% rise in the headline and 87.6% at current levels.
Meesho’s June-quarter net loss narrowed to ₹132.8 crore from ₹289.35 crore a year earlier, while revenue rose 48% to ₹3,712.81 crore.
Annual transacting users increased 29% to 274 million, and the platform processed 725 million orders during the quarter.
Motilal Oswal and Choice Broking issued bullish recommendations, with target prices of ₹240 and ₹220, while Motilal Oswal’s bear-case target was ₹140.
- Who
- Meesho, its investors, and brokerage firms including Motilal Oswal and Choice Broking.
- What
- Meesho shares extended a four-session rally, reaching ₹207, while the company reported stronger revenue, user growth, and a narrower net loss.
- Where
- On the stock exchanges; the company’s reported operating figures cover its consolidated business.
- When
- Thursday, August 20; the reported quarter ended in June 2026.
- Why
- The rally followed improved quarterly results and continued analyst optimism about Meesho’s growth, asset-light model, and improving unit economics.
Bullish outlook
Cautious outlook
Future share performance
Bullish outlook
Motilal Oswal rated Meesho ‘Buy’ with a ₹240 target, while Choice Broking upgraded the stock to ‘Buy’ with a ₹220 target. Motilal Oswal’s bull case is ₹335.
Cautious outlook
Motilal Oswal’s bear-case scenario places the stock at ₹140, indicating that the brokerage sees meaningful downside risk under weaker conditions.
Growth expectations
Bullish outlook
Analysts cited Meesho’s asset-light business model, improving unit economics, customer acquisition, and rising platform adoption as reasons for optimism. Motilal Oswal expects marketplace NMV to grow at a 25% CAGR over FY26–31.
Cautious outlook
Meesho expects slower NMV growth in the second quarter of the current fiscal, despite anticipating higher user growth and spending.
Market reaction
Bullish outlook
The stock regained momentum after the initial negative reaction to its June-quarter earnings, supported by analyst optimism and strong operating metrics.
Cautious outlook
The shares experienced sharp volatility after a large portion of pre-IPO shareholders became eligible to sell following the June lock-in expiry, increasing the supply of tradable shares.
Key facts
- Share price
- ₹207, after a 5.4% rise on August 20
- August performance
- Up 14.3% so far
- Revenue
- ₹3,712.81 crore, up 48% year on year
- Net loss
- ₹132.8 crore, compared with ₹289.35 crore a year earlier
- Gross merchandise value
- ₹19,054 crore, up about 26% year on year
- Annual transacting users
- 274 million, up 29% year on year
- Brokerage targets
- Motilal Oswal: ₹240 base case, ₹335 bull case, and ₹140 bear case; Choice Broking: ₹220
Sources
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