Meesho Stock Falls 10%: What's Next for Investors?

Meesho shares have taken a significant hit, falling 10% in a single day. This comes after a stellar run for the new-age e-commerce player following its listing in the Indian stock market earlier this month. The question on everyone's mind is: what's next for investors?

Meesho's Recent Performance

Meesho shares had reached a record high of ₹254.65 on Friday but soon witnessed a selling spree. The stock price plunged to ₹202.05 on the BSE, taking the two-day losses to over 14%. Despite this, Meesho shares remain 82% above their IPO price, leaving strong returns for investors on the table.

Expert Insights

Harshal Dasani, Business Head at INVAsset PMS, believes the fall in Meesho reflects investor pushback on growth quality, not just valuation optics. He warns that while headline GMV growth remains strong, profitability metrics are still evolving. In a market that has turned far more selective post-2025, investors are demanding clearer line-of-sight on cash-flow breakeven rather than top-line momentum alone.

Abhinav Tiwari, Research Analyst at Bonanza, had previously said that Meesho is a strong long-term business, but the current price makes the near-term risk-reward unattractive. For investors, especially those considering entry purely on the back of the price revision, caution is warranted.

Key Facts

• Meesho's IPO was subscribed 79.02 times, reflecting exceptional investor enthusiasm.
• The issue, priced at ₹105– ₹111, comprised a fresh issue of ₹4,250 crore and an OFS of 10.55 crore shares worth ₹1,171 crore at the upper band.
• Meesho shares had made a blockbuster debut on Dalal Street on December 10 this month, listing at a 46% premium over the offer price.

Remember, this is perspective, not prediction. Do your own research and consider consulting with certified experts before making any investment decisions, as market conditions can change rapidly and circumstances may vary.