Despite the sharp loss, Motilal Oswal retained its 'Neutral' rating on the stock while raising its target price to Rs 140.
The sharp losses were led by InstaHelp, the company’s latest instant maid services. The company reported an adjusted EBITDA loss of Rs 132 crore for the quarter during Q1. Its EBITDA loss per order improved to Rs 346, from Rs 447 in Q4 FY26, driven by network densification, the company said.
Urban Company said on Friday that it will prioritise market leadership in the instant househelp segment even as margins remain under pressure. The Gurugram-based company, which went public on Dalal Street last August, competes with Lightspeed-backed Snabbit and General Catalyst-backed Pronto in the 10-minute househelp market.
Also read |Urban Company Q1 Results: Firm posts Rs 92 crore loss vs profit year ago; revenue rises 44% YoY
Motilal Oswal maintained its 'Neutral' rating on the shares of Urban Company, but increased its target price to Rs 140 apiece. This implies more than 8% upside potential from the stock’s previous closing price.
Motilal Oswal on Urban Company share price
Urban Company shares made a stellar debut in the market last August, listing with 58% premium over the IPO price at Rs 162.25 apiece. This came after the Rs 1,900 crore IPO was subscribed over 103 times overall, led by strong demand from Qualified Institutional Buyers (QIBs), who bid 147 times, while Non-Institutional Investors subscribed 77 times and retail investors 41 times..
Urban Company share price
The stock closed nearly 1% lower at Rs 129.39 apiece on Friday ahead of the results. The shares of the company have fallen more than 1% in one week and over 2% in a month. The stock is overall down around 2% in 2026 so far. It currently has a market capitalisation of more than Rs 19,894 crore.
Also read |InstaHelp prioritising market leadership despite margin pressure: Urban Company
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