Regulatory
MEDIUMTrigger: SEBI continues rapid pace of market infrastructure reforms, creating both opportunities and compliance costs for exchange operators
Monitor: regulatory
BSE Ltd: Why Is It Outperforming Nifty 500?
ActiveRS +36.2%Strong9w Streak
In , BSE Ltd (Exchanges) is outperforming Nifty 500 with +36.2% relative strength. Fundamentals: Strong. On a 9-week streak.
BSE Ltd Key Facts
- PE Ratio
- 64.0x
- Market Cap
- ₹1,59,148 Cr
- PAT Growth YoY
- +61%
- Revenue Growth YoY
- +85%
- OPM
- 67.0%
- RS vs Nifty 500
- +36.2%
PE: Mid ContractionStrong Opportunity
What's Happening
💎PE falling while earnings hold — value emerging
🌐FII stake increased 3.2% this quarter
🏛️DII accumulation — stake up 8.2%
💰Trading 52% above estimated fair value — significant premium
Key Risks
1. Regulatory
MEDIUM2. Geopolitical
LOW3. Regulatory
MEDIUMKey Numbers
PAT Growth YoY
+61%
Stable
Revenue YoY
+85%
Stable
Operating Margin
67.0%
+1000 bps YoY
PE Ratio
64.0
Current Price
₹3,907
Dividend Yield
0.15%
Fundamental Score
61/100
Strong
3Y PAT CAGR
+80%
Market Cap
1.6L Cr
Valuation
Significantly Overvalued12-Week Performance
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
12 weeks agoThis week
What Are the Key Risks for BSE Ltd?
Earnings deceleration risks from management commentary
Geopolitical
LOWTrigger: Market volume sensitivity to external shocks remains BSE's key macro risk given >75% of revenue is transaction-linked
Monitor: geopolitical
Regulatory
MEDIUMTrigger: BSE operates under SEBI oversight with periodic changes to settlement framework requirements
Monitor: regulatory
What Is BSE Ltd's Management Saying?
Key quotes from recent conference calls
“SEBI announced the introduction of a Closing Auction Session in the equity cash segment, aimed at enhancing transparency and strengthening the robustness of closing price discovery [Risk (regulatory): MEDIUM]”
“Index Derivatives Average Daily Premium Turnover: Reached INR 19,459 crores, more than double the previous year [Risk (geopolitical): LOW]”
“BSE decided to contribute 5% until reaching a threshold of 150%. This quarter, they reached the threshold, so the requirement to contribute has lessened [Risk (regulatory): MEDIUM]”
How Fast Is BSE Ltd Growing?
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +85% | +74% | Stable |
| PAT (Net Profit) | +61% | +80% | Stable |
| OPM | 67.0% | +1000 bps | Volatile |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Apr 30, 2026.
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Frequently Asked Questions: BSE Ltd
Based on publicly available financial data. This is educational research, not investment advice.
What were BSE Ltd's latest quarterly results?
BSE Ltd's latest quarterly results (Mar 2026) show
- PAT Growth YoY: +60.9% (stable)
- Revenue Growth YoY: +84.7%
- Operating Margin: 67.0% (volatile)
Is BSE Ltd's profit growing or declining?
BSE Ltd's profit is growing with an stable trend.
- PAT Growth YoY: +60.9% (latest quarter)
- PAT Growth QoQ: +33.2% (sequential)
- 3-Year PAT CAGR: +80.0%
- Trend: Stable — consistent growth pattern
What is BSE Ltd's revenue growth trend?
BSE Ltd's revenue growth trend is stable.
- Revenue Growth YoY: +84.7%
- Revenue Growth QoQ: +25.7% (sequential)
- 3-Year Revenue CAGR: +73.5%
How is BSE Ltd's operating margin trending?
BSE Ltd's operating margin is volatile.
- Current OPM: 67.0%
- OPM Change YoY: +10.0% basis points
- OPM Change QoQ: +8.0% basis points
What is BSE Ltd's 3-year profit and revenue CAGR?
BSE Ltd's long-term compounding rates
- 3-Year Profit CAGR: +80.0%
- 3-Year Revenue CAGR: +73.5%
Is BSE Ltd's growth accelerating or decelerating?
BSE Ltd's earnings growth is stable with strong momentum on a sequential basis.
- YoY Acceleration: -39.1% bps
- Sequential Acceleration: +26.0% bps
What is BSE Ltd's trailing twelve month (TTM) performance?
BSE Ltd's trailing twelve month (TTM) performance
- TTM PAT: ₹2,000 Cr
- TTM PAT Growth: +88.0% YoY
- TTM Revenue: ₹5,000 Cr
- TTM Revenue Growth: +59.5% YoY
- TTM Operating Margin: 63.9%
Is BSE Ltd overvalued or undervalued?
BSE Ltd appears significantly overvalued based on our fair value analysis.
- Valuation Signal: Significantly Overvalued
- Current PE: 64.0x
- Price-to-Book: 23.8x
What is BSE Ltd's current PE ratio?
BSE Ltd's current PE ratio is 64.0x.
- Current PE: 64.0x
- Market Cap: 1.6 Lakh Cr
- Dividend Yield: 0.15%
How does BSE Ltd's valuation compare to its history?
BSE Ltd's current PE is 64.0x.
- Current PE: 64.0x
- Valuation Assessment: Significantly Overvalued
What is BSE Ltd's price-to-book ratio?
BSE Ltd's price-to-book ratio is 23.8x.
- Price-to-Book (P/B): 23.8x
- Book Value per Share: ₹164
- Current Price: ₹3907
Is BSE Ltd a fundamentally strong company?
BSE Ltd is rated Strong with a fundamental score of 61/100. This score is calculated from objective financial metrics
- Revenue Growth YoY: +84.7% (10% weight)
- PAT Growth YoY: +60.9% (10% weight)
- PAT Growth QoQ: +33.2% (10% weight)
- Margins stable (10% weight)
Is BSE Ltd debt free?
BSE Ltd has a debt-to-equity ratio of N/A.
- Total Debt: ₹0 Cr
What is BSE Ltd's return on equity (ROE) and ROCE?
BSE Ltd's return ratios over recent years
- FY2024: ROCE 23.0%
- FY2025: ROCE 47.0%
- FY2026: ROCE 58.0%
Is BSE Ltd's cash flow positive?
BSE Ltd's operating cash flow is positive (FY2026).
- Cash from Operations (CFO): ₹3,000 Cr
- Free Cash Flow (FCF): ₹364 Cr
- CFO/PAT Ratio: 125% (strong cash conversion)
What is BSE Ltd's dividend yield?
BSE Ltd's current dividend yield is 0.15%.
- Dividend Yield: 0.15%
- Current Price: ₹3907
Who holds BSE Ltd shares — promoters, FII, DII?
BSE Ltd's shareholding pattern (Mar 2026)
- FII (Foreign): 19.4%
- DII (Domestic): 25.1%
- Public: 55.4%
Is promoter holding increasing or decreasing in BSE Ltd?
BSE Ltd's promoter holding is 0.0%.
- Current Promoter Holding: 0.0% (Mar 2026)
How long has BSE Ltd been outperforming Nifty 500?
BSE Ltd has been outperforming Nifty 500 for 9 consecutive weeks, indicating consistent outperformance.
Is BSE Ltd a new momentum entry or an established outperformer?
BSE Ltd is an established outperformer with 9 weeks of consecutive Nifty 500 outperformance.
What are the key risks in BSE Ltd?
BSE Ltd has 3 key risks worth monitoring
- [MEDIUM] Regulatory — SEBI continues rapid pace of market infrastructure reforms, creating both opportunities and compliance costs for exchange operators
- [LOW] Geopolitical — Market volume sensitivity to external shocks remains BSE's key macro risk given >75% of revenue is transaction-linked
- [MEDIUM] Regulatory — BSE operates under SEBI oversight with periodic changes to settlement framework requirements
What did BSE Ltd's management say in the latest earnings call?
In Q3 FY26, BSE Ltd's management highlighted
- "SEBI announced the introduction of a Closing Auction Session in the equity cash segment, aimed at enhancing transparency and strengthening the robustn..."
- "Index Derivatives Average Daily Premium Turnover: Reached INR 19,459 crores, more than double the previous year [Risk (geopolitical): LOW]"
- "BSE decided to contribute 5% until reaching a threshold of 150%. This quarter, they reached the threshold, so the requirement to contribute has lessen..."
Is BSE Ltd worth studying for long term investment?
Based on quantitative research signals, here is why BSE Ltd may be worth studying
- Earnings growing at +60.9% YoY
- Cash flow is positive — CFO ₹3,000 Cr
What is the investment thesis for BSE Ltd?
BSE Ltd investment thesis summary:
Research Signals (Bull Case)
- Revenue growing at +84.7% YoY
Risk Factors (Bear Case)
- Appears significantly overvalued
- Key risk: Regulatory
What is the future outlook for BSE Ltd?
BSE Ltd's forward outlook based on current data signals
- Earnings Trend: stable
- Revenue Trend: stable
- Margin Trend: volatile
- Valuation: Significantly Overvalued
- Key Risk: Regulatory
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.