Meesho Slides 6% as Nomura Warns of 23-28% Downside

closed at ₹217.06, down 6.78% from the previous close of ₹232.84, a sharp single-day fall that also pushed the stock below several of its key moving averages, a meaningful shift from the supportive technical setup it had shown just a couple of weeks earlier. The trigger was a fresh brokerage downgrade. Nomura initiated coverage with a "Reduce" rating and a target price of ₹167, implying 23-28% further downside, citing that Meesho trades at a premium to peers like Eternal and Swiggy despite those companies having higher NMV growth and profitable food-delivery businesses. The technical picture has clearly weakened. The stock had been trading above its 20, 50, 100, and 200-day moving averages, but today's fall pushed it below several of these levels, a genuine reversal from "supported" to "under pressure." Volume was heavy through the decline, consistent with institutional selling rather than routine retail-driven noise, and the stock underperformed both its sector and the broader Sensex by a wide margin. This extends a rough stretch. The stock is now down over three consecutive sessions, with today's fall being the sharpest of the run. It remains well above its 52-week low of ₹125.56, and far below its 52-week high of ₹254.40, so despite the sharp drop, this isn't yet a breakdown to fresh lows. The underlying business is still loss-making but improving. The most recent quarterly loss narrowed to ₹133 crore from ₹289 crore a year earlier, though Nomura expects NMV growth to slow further ahead.