Now Reading: BSE jumps 4% on Motilal Oswal upgrade to buy
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BSE jumps 4% on Motilal Oswal upgrade to buy
The Story in Brief
BSE shares rose up to 5% on Monday, 26 October, after Motilal Oswal upgraded the stock to 'buy' from 'neutral' for the first time in nearly 18 months and raised the price target to ₹4,000 from ₹3,480. The brokerage said BSE's notional average daily turnover surged 85% in October month-to-date against the post-CAS reset in August 2026, and cited the partial closing auction session reversal effective 7 December 2026 as a regulatory catalyst. Motilal Oswal noted BSE's cash market share improved from 7% to 9% and its EBITDA margin reached 65% in FY26.
Motilal Oswal raised BSE's FY27 PAT estimates by 10% and FY28 estimates by 12%, with potential for a further 20% increase in FY28 estimates if volume recovery sustains. The brokerage expects NSE's listing and the expiry of its lock-in in March 2027 to provide additional turnover catalysts. Of the 20 analysts covering BSE, 13 recommend 'buy', four say 'hold', and three have 'sell'. The stock traded 3.9% higher at ₹3,355 in Monday's session.
Update, 26 October 2026: Business Standard now also reports the story, confirming BSE shares rose 4% to ₹3,369 in intraday trade and that the stock bounced 12% from its low of ₹3,000 touched on 1 October 2026. Business Standard added that BSE has outperformed the Nifty 50 by rising 28% in calendar year 2026 against a 13% decline in the index, and that the stock hit a 52-week high of ₹4,446.80 on 27 May 2026.
Indian Opinion Analysis
Motilal Oswal's upgrade of BSE to 'buy' and the ₹4,000 price target form the core of all three reports on Monday, 26 October. CNBC-TV18 and Business Standard led with the upgrade and the 85% surge in October notional ADTO relative to August lows, while Business Today front-loaded the regulatory volume reset in August 2026 and the 49% month-on-month ADTO jump to 20 October. CNBC-TV18 and Business Standard both attributed part of the recovery to the partial closing auction session reversal effective 7 December, whereas Business Today framed the same event around the August reset from stricter lending norms and CAS implementation. CNBC-TV18 and Business Standard extensively quoted Motilal Oswal's expectations that the NSE lock-in expiry in March 2027 provides a further catalyst, a point Business Today mentioned but did not elaborate.
Coverage: 3 sources, 3 neutral
Sources (3): cnbctv18.com (neutral report), businesstoday.in (neutral report), business-standard.com (neutral report)
This brief was synthesised by AI from the 3 sources linked above, so one read covers every framing they carry. Methodology and corrections.
