Last Updated: 4th Dec, 2025
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Why Meesho Stands Out Among New-Age Listings
+ Among all the new age businesses that have listed on the bourses, Meesho appears to be among the best of the lot (relatively speaking – for an old school investor like myself).
+ It is in one of the best spaces of value retailing through ecommerce, growing at 35– 40% cagr.
+ Follows an asset-light, negative working capital model, aggregating sellers on its platform and using bulk logistics partnerships, with direct access to the end customer.
+ Entered content commerce early, a channel contributing 20–40% of sales in China/ Asia, showing Meesho’s agility and innovation.
+ Strong moat built on value retail, deep non-metro penetration (80% of revenue), network effects, and innovation. Amazon and Flipkart are attempting to catch up, but Meesho retains a first-mover advantage.
Understanding Meesho’s Valuation and Risk Profile
~ While valuation is at 5x Market Cap/Revenue, we’ve seen more expensive listings in the past and some even trading at similar or higher multiples today, post corrections. Not sure about near term listing gain, but investors with a higher risk appetite can subscribe with a medium term horizon. Although no guidance on path to profitability, fast growth will continue and bring operational leverage benefit.
Final Verdict: A Rare New-Age Business Showing Strong Fundamentals
Net-net, even for an old school investor like me, Meesho emerges as a rare new-age business where growth, unit economics, and execution are all trending in the right direction.
About the Author
Amar K Ambani is Executive Director at YES SECURITIES
Notation: Read (+) for positives, (–) for negatives, and (~) for neutral/supporting points
