BSE shares fell as much as 2% to Rs 3,265 on Tuesday, extending their decline for a fifth consecutive trading session after Nuvama cut its rating to Hold from Buy and lowering its target price to Rs 3,240 from Rs 4,090.
The stock has fallen 9.2% over the past five trading sessions, and over 21% in the past three months.
The move came a day after Jefferies downgraded the stock to Underperform from Hold and cut its target price to Rs 2,940 from Rs 3,520, as brokerages flagged risks to trading volumes, earnings and market-share gains.
The two downgrades point to growing pressure on BSE's earnings outlook. Nuvama cut its FY27 and FY28 earnings-per-share estimates by 6.3% and 15%, respectively, while Jefferies lowered its FY27-29 estimates by 5-12%. Nuvama said consensus estimates could also be reset after BSE's second-quarter earnings.
The broker downgrades contrast with the broader analyst consensus tracked by Bloomberg. Of the 18 analysts covering BSE, 10 have a Buy rating, seven have a Hold rating and one has a Sell rating.
The consensus target price stands at Rs 3,964.18, implying about 19% upside from Monday's close.
Essential Business Intelligence, Sharp Market Insights, Practical Personal Finance Advice, Daily Fuel, Gold and Silver Prices and Latest Stories — On NDTV Profit.
