Sebi chairperson Tuhin Kanta Pandey said on Saturday said the regulator is at a “very advanced stage” of granting the no-objection certificate (NoC) for NSE’s IPO, according to ANI.
“There has been a pick-up in incremental demand and higher trading volumes in NSE shares over the weekend,” said Sandip Ginodia, director at Altius Investech, which deals in unlisted shares.
NSE shares have been under pressure of late and have mostly stayed below ₹2,000 since September on account of the delay in IPO approval and pressures on profits following Sebi’s clampdown on the equity derivatives market. “NSE shares had rallied to around ₹2,400 last year before correcting to nearly ₹1,800 following the announcement of Q2 results and increasing derivative curbs from the regulator, increasing minimum contract size,” said Hitesh Dharawat, who owns Dharawat Securities.
In the September quarter, NSE’s consolidated profit after tax went down 33% and consolidated revenue from operations decreased by 18% from the same period a year ago. Dharawat said the latest upswing could be short-lived.
“With expectations of dull Q3, we believe the current price levels may not be sustainable,” he said. “The fair value of the shares lies in the ₹1,500-₹1,800 range, due to the recent limited growth in the capital markets segment and heightened hype or frenzy around the stock.” After Sebi banned multiple weekly derivatives contracts from exchanges in November 2024, trading volumes as well as revenues have taken a hit at the exchange level. Ginodia is optimistic about the exchange’s prospects post-listing. “NSE is currently trading at a discount to BSE and will list on the BSE. Given the possibility of a higher free float and potential inclusion in the Sensex from listing, the stock could see strong buying from passive funds post-listing. This makes NSE an attractive investment opportunity,” he said.
