Meesho shares could fall another 24% after eight-day losing streak, Macquarie warns

Shares of e-commerce platform Meesho Ltd. opened lower on Friday, June 5, after global brokerage Macquarie initiated coverage on the stock with an 'Underperform' rating and a price target of ₹125 per share.

The target price implies a potential downside of about 24% from Thursday's closing level.

The brokerage's cautious view comes after Meesho shares extended their decline for an eighth consecutive session on Thursday, marking the longest losing streak since the company's listing.

Despite the recent correction, the stock continues to trade more than 50% above its IPO price of ₹111 per share.

Macquarie said Meesho is well-positioned to deliver strong order growth and also acknowledged the company's focus on free cash flow generation. However, the brokerage believes declining average order values could weigh on platform economics and limit long-term profitability.

According to Macquarie, the current valuation assumes that Meesho's growth drivers will remain highly effective over the next five years, while also factoring in significant improvements in platform monetisation.

Analyst sentiment on the stock remains divided. Of the 10 analysts tracking Meesho, five have a 'Buy' rating, three recommend 'Hold', while two maintain a 'Sell' call.

Shares of Meesho ended Thursday's session 5.5% lower at ₹165.40. The stock has declined around 9% so far in 2026.

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