NSE lists 2% higher at ₹1,818 as BSE turnover more than doubles

The National Stock Exchange (NSE) opened at ₹1,818 on Thursday, marking a 2% increase from its previous close. Trading in the NSE counter alone generated a remarkable ₹9,483 crore in turnover, accounting for nearly 32% of the BSE's overall turnover of ₹29,672 crore. This represented a more than doubling of BSE’s total turnover from the previous day's ₹11,229 crore.

NSE had raised approximately ₹22,569 crore through its initial public offering (IPO), priced at ₹1,785 per share. Ratiraj Tibrewal, Director at Choice Capital Advisors, noted that large IPOs often see a significant pool of existing shareholders selling once lock-in restrictions expire, which can cap upside in the initial months. He emphasized that the listing's performance on day one was less indicative of NSE's potential and that future earnings would be the key determinant.

The IPO was fully priced at around 47 times earnings, leaving limited room for significant gains. Tibrewal observed that the NSE listing primarily involved the absorption of existing shares rather than raising fresh capital. Investors are also monitoring whether derivatives volumes can sustain momentum following an increase in the Securities Transaction Tax (STT) and whether NSE can retain its dominant position in the index options market, which generates nearly 60% of its revenue.

Several brokerages initiated coverage on NSE with a "Buy" rating. Macquarie, a global brokerage, rated NSE as "The Dominator," citing its leading market share, power, and diverse services. They target a price of ₹1,965 per share and expect revenue and profit after tax (PAT) to grow at around 11% annually between FY26 and FY29. PL Capital initiated coverage with a target price of ₹1,950 per share and anticipates a similar growth rate.

Asian Markets Securities rated NSE as a bellwether of Indian exchanges, highlighting its strong liquidity and diversified revenue stream as key strengths.