BSE Share Price: When there is any news regarding NSE IPO, there is a jump in the shares of BSE.,
highlights
- There has been a sudden rise in BSE shares, which has attracted the attention of investors.
- Despite the weak market environment, this stock remains strong. The main reason behind this rise is the increasing discussions regarding the possible IPO of NSE (National Stock Exchange).
- Investors are trying to understand whether this boom can continue further?
SEBI Chairman Tuhin Kant Pandey had last week said that the market regulator is in the advanced stage of issuing No Objection Certificate (NOC) for the Initial Public Offering (IPO) of the National Stock Exchange (NSE) and it may be completed this month.
BSE stock became a storm
The shares of Capital Market Company BSE are once again making a strong rise in the stock market. The stock saw a rise of about 4%. The reason for this is only expectation and sentimental buying. Currently the trailing 12 month P/E of BSE is around 62. This means that if the valuation is less than this then it will be considered cheap, and if it is more than this then it will be considered expensive.
Read full article
BSE shares have shown a rise of about 4% in the last one week. The stock is up 60% in the last one year and 1445% in the last 3 years.
What is the reason for the rise in BSE shares?
ET NOW Swadesh senior associate Abhishek Satyavartam said that the rise seen in BSE shares is mostly due to sentimental buying. Every time there is news about NSE IPO, there is a jump in BSE shares.
NSE has been trying to bring IPO for the last 10 years. The first attempt was made in 2006, then in 2016 and many more attempts were made. Now SEBI Chairman Tuhin Kant Pandey has said that the process of NOC for IPO is in the advanced stage. This has created enthusiasm among investors.
The BSE IPO came at around ₹800 and the stock has grown almost 10 times in the last 9 years. If dividend is also added to this then the returns become even stronger. Therefore, investors are buying shares in the hope that when NSE’s IPO comes, the value of BSE shares may also increase.
However, the thing to keep in mind is that it will take a long time for the IPO to arrive. After getting NOC, IPO preparation (DRHP) may take another 3-4 months. After this there is also a review by SEBI. Overall, it may take about 8-9 months for the IPO to arrive.
If the value of IPO is expensive then it will be positive for BSE shares. But if the IPO comes at a cheaper price then the share may have a negative impact.
What should investors do in BSE shares before NSE IPO?
ET NOW Swadesh expert Laxmikant while giving his view on BSE said that the trend is quite strong and we had also seen the breakout of the falling trend line here a few days ago. Even after seeing such a decline in the market, this stock is showing resistance. Still the stock is trading above its bullish cross over which is 20 and 50 DAM. The movement in RSI is also visible towards upside. In such a situation, it is expected that the strength in the stock may continue.
Market expert said that breakout in the stock can be seen above 2795 to 2800. If 2800 levels are broken then I see BSE going up to 2900 levels. He said that the stock is good for short term and I think those who want to trade should wait for the break through of 2795. If it remains above that then from there again levels of 2950 can be seen in BSE on short term basis.
Speaking exclusively to ET NOW, Securities and Exchange Board of India (SEBI) Chairman Tuhin Kanta Pandey said on Saturday last week that the no-objection certificate (NOC) for the NSE IPO is expected to be received from the capital markets regulator very soon. He said that the listing of NSE IPO will have to go through the regular process of DRHP.
On SEBI NOC for NSE’s public issue, Pandey said, “As far as NOC is concerned, you can expect it very soon. As far as listing is concerned, it will have to go through a process which NSE people will take forward after getting the NOC, which includes the entire process of RHP etc.”
When asked whether the NOC would be received by next month, the SEBI chief replied that yes, I think it will happen. Earlier in the day, speaking at a press conference in Chennai, Pandey had said the approval could come before the end of the month, after which it would be up to the NSE to take the listing process forward.
On the occasion of Muhurat trading of Diwali 2025, NSE Managing Director and Chief Executive Officer (CEO) Ashish Kumar Chauhan had told ET NOW that the exchange is awaiting no-objection certificate (NOC) from market regulator SEBI to proceed with its much-awaited IPO and prepare its draft red-herring prospectus.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice in any way. ET NOW Swadesh recommends its readers and viewers to consult their financial advisors before taking any money-related decisions.
end of article
