Meesho Stock Price Analyzed
Meesho’s stock price jumped significantly on Tuesday, reaching ₹193.5, representing a 13% increase. This surge follows a broader 74% rise in the company’s stock price over five trading days since its December 10, 2025, stock market debut. As of 9:40 AM, Meesho was trading 12% higher at ₹191.75, contrasting with a 0.42% decline in the BSE Sensex. A large volume of shares – 57.27 million – were traded on both the NSE and BSE.
Key Points
- Meesho stock rose 13% on Tuesday, hitting ₹193.5.
- Stock price is up 74% since its debut in December 2025.
- Company has 234 million active users generating 10x transactions.
- Zero-commission model benefits sellers and drives low prices.
- Valuation at 5x FY25 revenues is attractive compared to peers.
- Long-term growth potential exists due to large digital consumption.
Meesho’s Rise
Meesho is a platform connecting consumers, sellers, logistics, and content creators. It’s become a major player in India’s e-commerce market, with 234 million users placing around 10 times the number of orders. The company uses a special “zero-commission” approach, meaning it doesn’t charge sellers a fee. Instead, any savings from better logistics are passed directly to the sellers, keeping prices low for customers.
The Business Model
Meesho’s revenue comes primarily from fees related to logistics, advertising, and mall charges. However, this business model has relatively thin profit margins because Meesho mainly passes on its cost-saving efficiencies to sellers. This strategy is key to Meesho’s success in the price-sensitive “value e-commerce” segment, but it also makes it more challenging for Meesho to increase profits.
Analyst Opinions
Analysts believe Meesho’s differentiated approach – particularly its “zero-commission” model and asset-light logistics – gives it good potential for growth. Some analysts at ICICI Securities recommended buying Meesho’s stock for short-term gains, noting its attractive valuation. However, they also cautioned that long-term challenges remain, including the difficulty of achieving consistent profitability and the ongoing complexity of balancing cost optimization with seller benefits.
Growth Opportunities
Meesho is well-positioned to take advantage of India’s growing digital market. Its ability to reach customers in smaller towns and cities (tier 2 and tier 3 markets) is a major strength. With efficient customer acquisition and a strong brand, Meesho has room to grow significantly.
Ultimately, Meesho’s success hinges on its ability to navigate the complex landscape of value e-commerce and achieve sustainable profitability over the long term.
