Shares of BSE Ltd gained 3 per cent on Friday’s trade as its net profit doubled to ₹220 crore for the quarter ended December 2024, and revenue jumped 94 per cent to ₹835.4 crore.
The stock closed 2.54 per cent positive on the NSE at ₹5,709 after hitting an intraday high of ₹5,748.70.
Bullish brokerages have increased the target prices, noting that the Q3 core earnings were ahead of estimates. Strong listing activity has boosted the revenue, though offset by the increase in settlement guarantee fund (SGF) contribution, they believe.
Nuvama Institutional Equities has maintained buy call on BSE at an increased target price of ₹7,250 from ₹6,730 earlier. The brokerage has build in stronger volume estimates over FY25-27, and increased estimated contribution to settlement guarantee fund (SGF) over the FY26/27.
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Nuvama mentioned that the exchange has continued to deliver robust growth despite a phased rollout of SEBI’s proposals to curb excessive derivatives trading. “ We believe BSE will continue to improve turnover numbers with increased retail activity given current active customer base of 1.5–2 million versus NSE’s 4.2 million,” it added.
Increased member participation, colocation monetisation, and sustained momentum in premium turnover will be key growth drivers for BSE, according to Motilal Oswal.
The brokerage has cut PAT estimates for FY25 by 11 per cent due to SGF contribution impact, and raised earnings estimates by 3 per cent each for FY26/27 due to maintained momentum in premium turnover. Motilal has reiterated buy rating at a target price of ₹6,900.
Global brokerage Goldman Sachs has maintained neutral call at a target price of ₹5,650.