Brokerages set IndiaMART share price target at Rs 2,800; stock jumps 3% post Q3 earnings

Shares of IndiaMART InterMESH climbed on Wednesday following its third-quarter earnings for FY26. The B2B marketplace reported improved collections growth and a jump in net profit, aided by one-off gains.

At last check, shares of IndiaMART InterMESH rose 2.58 per cent to Rs 2,198.75 on the BSE, against its previous close of Rs 2,143.50 apiece.

Consolidated revenue for the quarter grew 13.4 per cent year-on-year (YoY) to Rs 401.6 crore. Consolidated collections grew 17 per cent YoY to Rs 430 crore, beating analyst estimates. IndiaMART reported a massive 56 per cent YoY jump in Net Profit (PAT) to Rs 188.3 crore. 

Brokerage firm JM Financial noted that while Busy Infotech continued to drive growth with billings expanding nearly 60 per cent, the core standalone collections also saw an acceleration to 14 per cent YoY.

The number of paid subscriptions actually fell by approximately 1,000 quarter-on-quarter to 221,000. Analysts attribute this decline largely to the sharp increase in pricing for the new Silver category customers rolled out in September 2025, which has kept churn rates elevated.

JM Financial said that other income jumped significantly to Rs 135 crore in Q3, well ahead of estimates, primarily due to a one-time fair value gain of Rs 82 crore in an investee company (Baldor Technologies). Without this exceptional gain, operating metrics were more subdued, with consolidated EBITDA declining 2.9 per cent YoY to Rs 134.2 crore, and margins contracting by 560 basis points to 33.4 per cent.

JM Financial maintained its ‘Buy’ rating with an unchanged target price of Rs 2,800, implying a 27 per cent upside from current levels.

JM Financial noted that management’s inability to revive subscriptions growth for the 10th straight quarter remains a key hangover.

Choice Institutional Equities also retained its ‘Buy’ rating with the same target price of Rs 2,800.

Choice views the stock’s valuation as supportive and projects a 14.8 per cent revenue CAGR over FY25-28E.