
Nomura has downgraded IndiaMART InterMESH to ‘Reduce,’ slashing its target price from ₹3,150 to ₹1,900. This implies a potential downside of approximately 17.2% from the current market price of ₹2,296.
The brokerage highlighted concerns about an unexpected decline in the company’s paying subscriber base, which stems from weak gross additions over the last five quarters and persistently high customer churn. This combination is expected to weigh heavily on collections growth in the near to medium term.
Nomura believes that collections may remain under pressure unless churn rates decrease, gross additions improve, and net subscriber additions recover. The brokerage emphasizes the need for IndiaMART to address these structural issues to sustain long-term growth.
Disclaimer: This article is for informational purposes only and does not constitute financial advice.