Multibagger BSE shares fall 3.5% after Q2 results: Should you buy, hold or sell?

BSE shares in Wednesday's trade will be in focus after the company's Q2 results. At the time of writing the copy, the shares tumbled over 3 per cent to Rs 4,516 apiece on the NSE.

The drag in the stock comes after Jefferies maintained 'underperform' rating on the stock after Jefferies maintained an 'underperform' call with the brokerage target of Rs 3,500, implying a cut of over 25 per cent from the last traded price.

The brokerage said the leading exchange's 2Q earnings expanded 3x YoY to Rs 350 crore (+31 per cent QoQ) led by strong growth in operating revenues (2.4x YoY) on back of derivatives & improved operating margins (+7pp) to 52 per cent. While stronger 2Q top-line was broadly expected, cost control has come in better.

Focus remains on volume impact from implementation of SEBI's new F&O measures from November 20, 2024 onwards The underperform call is given as the brokerage deems the near-term risk-reward  as unfavorable.

BSE Q2 results

The company came up with a strong Q2 show with consolidated PAT increasing around 3 times to Rs 346.8 crore in comparison to Rs 120.5 crore in the previous quarter. The revenue at the company also grew 124 per cent over the previous year's same quarter. 

On the operational front, the company's EBITDA grew by a sharp over 152 per cent to Rs 455.9 crore as against 180.7 crore in the previous's year same quarter.

The EBITDA margin at the company also rose 6.2 per cent to 56.1 per cent as against the earlier 49.9 per cent.

BSE share price performance

In the last one year, the stock has gained 113 per cent and in the last one month the stock has been moving in a range of Rs 4,500-4,800 per share.