Investors are eyeing stock of BSE Ltd; heres why

Regaining its lost ground, the scrip of BSE Ltd has zoomed by around 25 per cent since the beginning of May 2021.  

BSE Ltd or formerly known as Bombay Stock Exchange, which is listed on NSE, has been the apple of investors' eyes.  

BSE’s recent performance during the pandemic has been quite stunning. It delivered the best quarterly performance over the past four years with revenue growth of 26 per cent QoQ. Growth was mainly driven by market-linked revenue along with increasing core transaction/book building. While currently, the current market share of derivatives seems to be slightly low, the exchange is striving to rebuild the derivatives’ volume, which could lead to a potential revenue driver.  

Additionally, new initiatives such as the insurance platform, power, and spot exchange could further bring about growth. Continued growth in transactions volume, StAR MF, and stable listing revenue is expected to aid BSE’s revenue growth. INX’s contribution to BSE has also been exponential and promising. Overall, given the growth factors, investors seem to be confident about the positive growth trend of BSE.