Meesho: Citi recommends ‘Buy’ but Morgan Stanley stays Equal-Weight – Decoding the valuation moat

Meesho has drawn fresh attention from brokerages this month, with Citi initiating coverage on the e-commerce platform with a ‘Buy’ rating and a target price of Rs 210, while Morgan Stanley said the company’s proposed acquisition of Kirana Club could open up a new B2B commerce leg without materially affecting near-term earnings.

Citi’s thesis focused on Meesho’s core consumer marketplace and argued that the platform’s low-cost, zero-commission model, long-tail seller base and reach beyond top cities leave it well placed to keep compounding in value e-commerce.