Nomura Assigns ‘Reduce’ Rating To Meesho, Sees 28% Downside

Brokerage firm Nomura has initiated coverage on Meesho shares with a bearish view and expected a downside of more than 28%. Nomura assigned ‘Reduce’ rating to Meesho shares, with a target price of Rs 167 apiece, implying a downside of 28.3% from Thursday’s closing price. The brokerage firm believes Meesho shares trade at a significant premium to other e-commerce platforms. While it likes Meesho’s asset-light business model, Nomura believes its current share price leaves little room for error.