The revision comes even as BSE’s profit rose to Rs 539 crore, up from Rs 265 crore in the year-ago period. Revenue from operations also posted strong growth at Rs 958 crore, marking a 59% YoY increase. The performance was aided by lower clearing costs and higher other income, with robust traction seen in the derivatives segment.
However, Jefferies flagged concerns that muted activity in the options market and ongoing structural changes could limit upside going forward. The brokerage trimmed BSE’s earnings per share (EPS) estimates by 5-6% to account for lower derivatives activity, even as core fundamentals remain healthy. It maintained a ‘Hold’ rating on the stock.
Jefferies noted that while premium average daily turnover (ADTO) grew 2x YoY and 28% QoQ in Q1FY26, volumes were still softer than earlier expected. BSE’s premium ADTO for FY26 is now forecast at Rs 126 billion, down from the earlier estimate of Rs 145 billion for FY24.
Moreover, concerns about a shift in expiry dates, limited near-term impact from the common contract note, and regulatory uncertainty around changes like fortnightly/monthly expiries are viewed as potential headwinds.
That said, Jefferies acknowledged BSE’s improving cost structure, particularly the drop in net clearing charges, and a pick-up in co-location revenue, which partially offset the impact of lower options turnover.The brokerage also sees valuation support, driven by profit CAGR of 27% between FY25–28, and retained its valuation multiple at 45x Sep-27E P/E.Also read: MSCI August 2025 rejig: Swiggy, Vishal Megamart among 2 others included, 2 thrown out. Check full list here
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