Now Reading: Meesho shares hit 3-month high, up 87.6% from IPO price
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Meesho shares hit 3-month high, up 87.6% from IPO price
Meesho shares surged 5.4% on August 20 to Rs 207, a three-month high, extending their winning run for a fourth straight session. The stock is now trading 87.6% above its IPO price…
Meesho shares surged 5.4% on August 20 to Rs 207, a three-month high, extending their winning run for a fourth straight session. The stock is now trading 87.6% above its IPO price of Rs 110.90, with gains in August so far at 14.3%. Trading volumes have risen notably in recent weeks.
The company's net loss narrowed to Rs 132.8 crore in the June 2026 quarter from Rs 289.35 crore a year ago, aided by higher sales and lower order cancellations. Revenue from operations grew 48% to Rs 3,712.81 crore, while gross merchandise value rose 26% to Rs 19,054 crore. Annual transacting users increased 29% to 274 million, and the platform processed 725 million orders during the quarter, up 29% from a year earlier.
Despite an initial negative reaction to June-quarter earnings, analysts remain bullish on Meesho's growth outlook, citing its asset-light business model and improving unit economics. Motilal Oswal initiated coverage with a 'Buy' rating and a target price of Rs 240, while Choice Broking upgraded the stock to 'Buy' with a target of Rs 220. The company expects higher user growth and spending in the second quarter.
Indian Opinion Analysis
The stock's recovery comes after a period of volatility following the expiry of a large pre-IPO lock-in period in June, which increased the floating supply. At Rs 207, Meesho still trades 18.5% below its post-listing peak of Rs 254, suggesting room for further upside if operational momentum sustains. The key number to watch is the Q2 festive season performance, which will test whether the company can maintain its 48% revenue growth rate against a tougher base.
Source: livemint.com
This story was synthesised by AI from the source linked above.
