Ambit Capital has initiated coverage on Meesho with a 'Buy' rating and target price of ₹265, representing significant upside potential from the current market price of ₹211. The brokerage cites strong growth potential in India's e-commerce sector, where the platform addresses the gap between traditional e-commerce models and the needs of lower-income consumers. As per The Hindu BusinessLine, Meesho operates at just 7% of retail spend versus 10-35% for peers, positioning it to capture the next wave of e-commerce growth through models that enable online shopping habits among price-sensitive consumers.
