Shares of newly listed Indian e-commerce firm Meesho witnessed a volatile trading session on Thursday as it erased early gains after surging to a fresh high, denting some of the optimism that had built up after a sharp post-IPO rally.
The stock, which had surged to record levels in recent sessions and briefly took the company’s market capitalisation above the ₹1 lakh crore mark, was trading lower midday as investors engaged in profit booking.
After hitting intraday highs (of ₹233.60), the share price retraced sharply to ₹206.60, sliding as much as around 13 per cent from those peaks. At 12.45 pm, it traded at ₹214.29 on the NSE, and the mcap stood at ₹96,635.16 crore.
Meesho’s shares had been among the most watched listings after debuting on the exchanges, drawing attention from institutional and retail investors alike as they climbed sharply in the first week of trading. However, the steep rise in valuation appears to have prompted some investors to lock in gains once the stock reached elevated levels.
Market conditions more broadly may have contributed to the weakness.
Despite the recent pullback from intraday highs, Meesho’s stock remained above its initial IPO price and well up from its listing level. It debuted at
Abhinav Tiwari, Research Analyst at Bonanz, emphasised that the current price makes the near term risk reward unattractive.
While the company’s growth story is convincing, buying at around ₹215 does not fully account for execution risks and the fact that losses are still present. A better entry point may emerge over time, Tiwari said.
The analyst stressed that the company’s fundamentals are improving steadily.
It’s in house logistics arm, Valmo, is helping reduce delivery and fulfillment costs.
In the first half of FY26 alone, Meesho processed 1.08 billion orders. Net merchandise value stood at around ₹30,000 crore, growing 29 per cent y-o-y. Profitability is becoming visible, the analyst added.