Meesho jumps on Jefferies Buy call after block deal

Stock rallies on brokerage initiation and heavy volume

Meesho shares gained sharply in early trade on Wednesday, June 10, after global brokerage Jefferies initiated coverage with a ‘Buy’ rating and set a target price of ₹225. The move came alongside heavy trading volumes and reports of a large block deal, keeping the stock in focus through the morning session.

On the BSE, Meesho was up about 4.6% at one point and hit an intraday high of ₹174.65 per share. The stock later pared gains and at 9:25 AM traded at ₹169.2, still higher by 1.35%. In comparison, the BSE Sensex was up 0.46% at 73,898.29 at that time.

What Jefferies said: Buy rating and ₹225 target

Jefferies initiated coverage on Meesho Ltd with a ‘Buy’ rating and a target price of ₹225 per share. Based on the trading levels cited in the report, the brokerage’s target implies an upside potential of about 33% to 35%, and around 34% as referenced in the coverage note.

Jefferies’ positive stance is anchored in its view of Meesho as a scale-led value commerce platform. The brokerage highlighted affordability, discovery, and logistics efficiency as key elements of the company’s positioning.

Valuation approach: NMV multiple used as anchor

Jefferies said valuing Meesho is difficult due to the company’s limited listed history and the lack of a clear peer set. It also noted that EV/Ebitda appears elevated on a low base.

As a result, Jefferies anchored its valuation on NMV, applying a multiple of 1.6 times Jun-28E. The brokerage said this approach is broadly similar to Blinkit, and it used this framework to arrive at the ₹225 price target.

Day’s trade: open, high, low and the early pullback

Meesho opened at ₹172.35 per share on the BSE. The stock moved up to an intraday high of ₹174.65 and also touched a low of ₹165.05 during the session.

The price action reflected a strong start after the initiation note, followed by some profit-taking as the stock gave up part of its early gains. Even with the pullback, Meesho remained in positive territory in morning trade.

Block deal details: 9.3 crore shares worth ₹1,540 crore

Separately, Meesho shares also reacted to a reported block deal in which about 9.3 crore shares changed hands. The transaction was valued at around ₹1,540 crore, and the shares involved represented about 2% of the company’s equity.

Following the block deal headline, Meesho traded around ₹170 in morning deals, according to the report. Large negotiated trades can temporarily lift volumes and increase near-term volatility, even when the broader market is steady.

Lock-in expiry expands supply: 68% of equity eligible

The block transaction came a day after the expiry of Meesho’s six-month shareholder lock-in period. After the lock-in expiry, a large portion of pre-IPO holdings became eligible for trading.

The report said the lock-in expiry made 68% of equity eligible for trading. Such windows often raise market attention because they can change the near-term supply dynamics in the secondary market.

Listed in December 2025, stock still above IPO price

Meesho was listed on the bourses in December 2025. The report noted the stock was trading around ₹170, up about 53% from its IPO issue price of ₹111.

That context matters because recent volatility has not erased the stock’s post-listing gains. It also explains why lock-in related selling, when it happens, can coincide with investors booking profits after a strong run from the issue price.

Recent performance: short-term pressure, medium-term gains

Despite the day’s spike, Meesho had been under pressure in the near term. The stock has declined 4.85% over the past week, extending losses to 11.15% over two weeks and 16.72% over the last month.

The report attributed the recent weakness to profit-booking and broader market weakness. Even so, it said the medium-term trend remains positive, with the stock still up 18.70% over the past three months, adding ₹26.25 during the period.

Another brokerage view: Macquarie initiated Underperform

Jefferies’ initiation came days after brokerage Macquarie started coverage on Meesho with an Underperform rating. Macquarie set a target price of ₹125, citing valuation concerns.

The back-to-back initiations with different ratings underline how broker opinions can diverge, particularly for companies with limited listed history and evolving financial profiles.

Key figures at a glance

Market impact and what investors are tracking next

The immediate market impact was visible in price and volume, with the Jefferies call and the block deal acting as the main catalysts. The initiation note provided a clear reference point for bullish investors through the ₹225 target, while the lock-in expiry and the block deal brought focus to potential supply shifts.

In the near term, traders are likely to keep tracking follow-on block activity and whether volumes remain elevated after the lock-in window. Investors will also watch how the stock behaves relative to the recent drawdown, given the reported declines over one week, two weeks, and one month even as the three-month return remains positive.

Conclusion

Meesho’s sharp move on June 10 was driven by Jefferies initiating coverage with a ‘Buy’ rating and a ₹225 target price, alongside headlines around a ₹1,540 crore block deal. With a large portion of equity now eligible for trading after the lock-in expiry and mixed brokerage views in the market, the stock is likely to remain in focus in the coming sessions.