Meesho Shares Tumble

Fresh off a blockbuster IPO debut,

euphoric ride hit the brakes hard. The social commerce pioneer's shares plunged 10% to ₹201.68 on December 22, locking the lower circuit amid profit-taking after a 65% surge from December 15-18. The slide deepened today, shedding another 2.96% to close at ₹195.71, with intraday lows touching ₹185.67 on NSE—marking three straight sessions of losses. What sparked the frenzy? Meesho listed December 10 at a 46% premium to its ₹111 issue price, doubling to highs near ₹233 by December 18 on hype around its 150M+ user base and e-commerce growth. But with FY25 revenue at ₹9,390 crore (up 23% YoY) yet persistent losses, the rally outpaced fundamentals, analysts say. Bonanza's Abhinav Tiwari flags near-term "unattractive risk-reward" at elevated levels, citing execution risks and unprofitable ops despite improving metrics. "Wait for a better entry," he advises, as optimism has "run ahead of fundamentals." INVasset's Harshal Dasani echoes: The spike exceeded brokerage targets, baking in short-term gains. A fresh Equitymaster piece warns of a "deadly trap" for retail punters chasing Meesho's hype versus steady plays like ICICI Pru AMC. It slams the stock as speculation, not investment—lacking profits, low debt, and sane valuations (PE multiples ballooned beyond 30x).