News · BFSI
BSE Ltd stock declined ahead of its Q2 results, with analysts forecasting a 35 per cent year-on-year rise in net profit and net sales for the September quarter.
✦ AI SUMMARY 30-second read
- BSE shares fell 2.33 per cent to a low of Rs 3,580 on NSE ahead of its quarterly results.
- Analyst consensus pegs consolidated net profit at Rs 756 crore and net sales at Rs 1,440 crore for the September quarter.
- Kotak Institutional Equities initiated coverage on BSE with an 'ADD' rating and a fair value of Rs 4,000.
Why it matters: BSE's quarterly performance and analyst outlook signal the direction of India's equity derivatives market and exchange-sector valuations.
This summary was generated by AI. Editors may review and update it.
Shares of BSE Ltd dropped 2.33 per cent to touch a low of Rs 3,580 on the NSE during Wednesday's session, as investors turned cautious ahead of the exchange's September quarter earnings disclosure.
Analyst consensus data points to a 35 per cent year-on-year increase in both net profit and net sales for the quarter. A median of 10 analyst estimates places consolidated net profit at Rs 756 crore, while a median of seven estimates puts net sales at Rs 1,440 crore. Ebitda is projected at Rs 958 crore.
Analyst targets and ratings
The 12-month consensus target price for BSE stock, derived from 19 estimates, stands at Rs 3,772.68, suggesting limited upside from current levels.
Kotak Institutional Equities initiated coverage on BSE with an 'ADD' rating and a fair value of Rs 4,000. The brokerage noted that BSE had executed a strong turnaround in equity derivatives and continued to grow faster from a smaller base, supported by its expanding index-options franchise.
The same brokerage also recommended a 'Buy' on NSE with a target of Rs 2,200, implying a 22 per cent potential upside.
Growth outlook and risks
Kotak Institutional Equities projects approximately 17 per cent revenue CAGR and 20 per cent PAT CAGR for BSE over FY2026-29E, underpinned by volume growth beyond expiry days and healthy expansion in non-transaction revenues.
However, the brokerage flagged a sustained high share of index options in revenues as a potential risk to the earnings trajectory.
