The stock market debut of the e-commerce unicorn Meesho has turned into a spectacular event, far exceeding the cautious optimism seen in the grey market just days prior. While early trends suggested a healthy start, the actual listing performance has taken many by surprise, rewarding investors with massive intraday gains.
Meesho Share Price Explodes on Debut
The Meesho share price surged to ₹170.09, recording a massive gain of ₹59.08 or 53.23%, as of 1:09 PM on December 10, 2025. This stellar performance has pushed the company’s total market capitalisation to an impressive ₹52,408 crore. This performance is significantly stronger than what pre-listing indicators had suggested.
In the days leading up to the listing, the grey market premium (GMP) had actually started to cool off. On December 9, the GMP was hovering around ₹33 to ₹34 per share, implying a listing premium of roughly 29.73% over the upper price band of ₹111. This was a dip from December 8, when the GMP stood at ₹40 to ₹41. However, once the stock hit the exchanges, the Meesho share price ignored these conservative estimates and rallied hard, driven by immense buying pressure.
(Source: The Economic Times, Moneycontrol)
What Fueled the Rally
The primary driver behind this surge is the overwhelming demand seen during the subscription period. The ₹5,421.2 crore public offer was subscribed nearly 81.76 times overall.
The breakdown of the subscription numbers explains the strong post-listing momentum:
- QIB Category: Qualified Institutional Buyers were the most aggressive, subscribing to their portion a staggering 120.18 times.
- NII Category: Non-Institutional Investors bid 38.16 times their quota.
- Retail Category: Retail investors also showed strong interest, subscribing 19.08 times.
This heavy institutional participation often signals strong conviction in the stock, which likely helped the Meesho share price sustain its gains after opening.
(Source: The Economic Times)
Analysts Weigh In: Buy, Sell or Hold
Market experts have diverse views on the stock, balancing the short-term listing pop against long-term business hurdles.
The Bull Case Brokerage firm Motilal Oswal sees long-term value in the company. They highlighted Meesho’s unique zero-commission model and its deep penetration into “Bharat” (Tier-2 and Tier-3 cities). They noted that at valuations of 4.5x Price/Sales, the stock looked reasonable compared to the industry average of around 7x.
On the other hand, InCred Equities advised subscribing primarily for listing gains. They pointed out that while the valuation was attractive, the company faces structural challenges in the long run. Achieving sustainable break-even levels could be difficult due to the competitive nature of the sector and the costs associated with their logistics and low-price model.
(Source: The Economic Times, Financial Express)
The Bottomline
With lower e-commerce penetration in India compared to global standards, the opportunity for growth is undeniable. However, Dalal Street will now be watching closely to see if the Meesho share price can sustain these levels once the initial listing euphoria settles. The key challenge for the company will be balancing its aggressive growth with sustained profitability in future quarters.
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