BSE

🏛 Overview & Recent Developments

🏛 Overview & Recent Developments BSE is India’s oldest stock exchange (established in 1875). The company is almost debt-free and has delivered strong profit growth over recent years. Its stock is currently trading at a high valuation: a high price-to-book multiple (roughly ~19×) and modest dividend yield. Recently, BSE’s stock has corrected significantly—down ~30% from its peaks earlier in the year. Some analysts see key support zones in the ₹1,650–₹2,000 range. One of the big recent catalysts: SEBI proposed rejigging the derivatives expiry schedule (limiting expiry to Tuesday or Thursday). This could help BSE grab more market share in derivatives, especially if it retains “Tuesday” expiry, which gives it a competitive edge over NSE in that regard. BSE has also partnered with CtrlS Datacenters to strengthen its digital infrastructure, enhancing security and resilience for handling large volumes of transactions. Another recent move has been restricting overseas access to its website (and NSE’s), presumably as a security precaution. 📉 Risks & Challenges The valuation is already aggressive; any slowdown in trading volumes or derivatives business could pressure earnings. The recent sharp correction raises questions about whether the downside is over, or if further weakness lies ahead. Structural competition from NSE remains strong, especially in trading and derivatives. Regulatory changes could both help or hurt — policy changes are a key driver here.