CLSA has initiated coverage with an ‘Underperform’ rating and a price target of ₹150 per share, implying a downside of nearly 28% from Meesho’s closing price of ₹207.50 on Thursday.
The brokerage describes Meesho as India’s leading value-commerce platform by transactions, built around an asset-light, zero-commission marketplace model that targets price-sensitive consumers, particularly those in smaller cities and rural markets.
Unlike traditional e-commerce platforms that focus on higher average order values (AOVs), Meesho prioritises affordability while working to improve delivery efficiency, CLSA said.
However, the brokerage sees monetisation as a key challenge, particularly among Meesho’s low-income customer base. CLSA believes opportunities across payments, lending and content monetisation remain highly competitive in India, limiting the company’s ability to unlock additional revenue streams.
CLSA’s scenario analysis suggests that Meesho’s current valuation is already pricing in highly optimistic outcomes, leaving limited room for further upside, according to the brokerage.
Separately, Jefferies has added Meesho to its model portfolio, viewing the stock as a play on mass discretionary consumption.
Earlier in June, Macquarie had initiated coverage on Meesho with an ‘Underperform’ rating and a price target of ₹125. The brokerage had said the company is well-positioned to deliver strong order growth and also acknowledged Meesho’s focus on free cash flow generation.However, Macquarie believed declining average order values could weigh on platform economics and limit long-term profitability.
Meesho shares have gained nearly 80% from their issue price of ₹111, although the stock remains below its post-listing high of ₹254.
Shares of Meesho ended 0.31% lower at ₹207.50 on Thursday. The stock has risen more than 14% so far in 2026.
