The National Stock Exchange of India (NSE) made its stock market debut with a listing price of Rs 1,800 per share on the BSE, slightly above its IPO price of Rs 1,785. The stock's performance was bolstered by positive coverage from three major brokerage firms on the first day, all issuing bullish calls.
Macquarie initiated coverage with an Outperform rating and set a target price of Rs 1,965, indicating a potential upside of 10% from the upper price band. The brokerage highlighted NSE's dominant market position, comprehensive service offerings, and strong liquidity as key factors supporting its growth.
Emkay also started coverage with a Buy rating and a target price of Rs 2,050 by September 2027, suggesting a 15% upside. The brokerage emphasized India's growing capital market and NSE's leadership across various segments as reasons for its positive outlook.
PL Capital assigned an 'Accumulate' rating with a target price of Rs 1,950, forecasting an upside of over 9%. The firm expects NSE to benefit from a diversified revenue mix and anticipates a recovery in EBITDA margins following the resolution of legal cases.
The IPO was India's second-largest, trailing only Hyundai Motor India's Rs 27,870-crore issue in 2024.
Background
NSE's IPO has been a significant event in India's financial markets, marking the exchange's entry into public trading. The strong interest from brokerage firms underscores the exchange's pivotal role in the country's financial ecosystem.
Looking ahead, investors will be keenly watching NSE's ability to maintain its market dominance and capitalize on new product offerings, which could drive further re-rating and growth in the stock's valuation.
