Motilal Oswal starts Meesho at Buy, sets Rs 240 target on marketplace growth outlook
Motilal Oswal expects Meesho’s marketplace NMV to grow at a 25% CAGR from FY26 to FY31, aided by advertising monetisation, logistics gains and negative working capital. The brokerage forecasts free-cash-flow generation from FY27 and break-even by end-FY28.
Motilal Oswal initiated Meesho at Buy with a Rs 240 target, forecasting 25% NMV CAGR through FY31. It expects the asset-light marketplace’s negative working capital, advertising monetisation and margin expansion to drive FCF from FY27 and profitability by FY28.
Why this matters
The call follows recent signals on Meesho's Bharat marketplace opportunity and its reseller-led approach to digitising India's unorganised retail market.
Retail-company signals are accelerating, up +572900% QoQ.