The robust earnings growth was supported by strong traction in derivatives trading volumes and continued momentum across institutional and retail participation. | Photo Credit: FRANCIS MASCARENHAS
BSE shares hit a 52-week high of ₹3,994 in early trade on the NSE on Friday after the exchange reported a strong set of March quarter earnings, driven by a surge in derivatives revenue and higher trading activity. The stock later closed at ₹3,907.40, down 1.42 per cent.
BSE shares in focus
The stock exchange posted a 61 per cent yoy rise in consolidated net profit for Q4FY26 at ₹795.47 crore, marking what the company described as the strongest financial performance in its 150-year history. The robust earnings growth was supported by strong traction in derivatives trading volumes and continued momentum across institutional and retail participation.
The exchange has also benefited from expansion in its mutual fund distribution platform STAR MF and growth in index-related businesses, alongside investments in technology and data infrastructure aimed at strengthening its competitive positioning.
Brokerages bullish
Brokerage Motilal Oswal said BSE continues to demonstrate broad-based growth across key segments, supported by improving institutional participation, stable retail activity and structural expansion in STAR MF and index businesses. The brokerage added that continued investments in technology, data infrastructure and product diversification are likely to support long-term earnings visibility.
Motilal Oswal raised its earnings estimates for BSE by 17 per cent for FY27E and 20 per cent for FY28E, factoring in higher volume assumptions based on the robust March-April FY26 run rate. However, the brokerage said it has not factored in any potential impact from RBI regulations on proprietary trading.
The brokerage reiterated its neutral rating on the stock with a target price of ₹4,400, valuing the company at 40 times FY28 estimated earnings per share.
Published on May 8, 2026