Groww Share Price Extends Rally After Bumper Listing — Should You Buy, Sell Or Hold?
Groww stock had jumped 30.94% to close at Rs 130.94 apiece on Wednesday.
Groww-parent Billionbrains Garage Ventures Ltd. share price extends gains on Thursday as it jumps 5% after strong stock market debut.
The scrip rose as much as 4.65% to Rs 137.44 apiece on Thursday. It pared gains to trade 2.34% higher at Rs 134.40 apiece, as of 10:06 a.m. This compares to a 0.01% advance in the NSE Nifty 50 Index.
The stock had jumped 30.94% to close at Rs 130.94 apiece on Wednesday. It had listed on the NSE at Rs 112 apiece, a premium of 12%. During the last session, the stock appreciated by 34.4% each to Rs 134.40 and Rs 134.34 apiece, on the NSE and BSE, respectively.
At the end of the trading session on Wednesday, the company's market valuation stood at Rs 79,546.79 crore on the NSE.
What Do Brokerages Have To Say?
Why brokerages like it:
Strong market position: Groww now leads the pack with over 1.7 crore active users and a 26% market share among retail investors.
Low costs, big profits: Because most of its customers come through word-of-mouth (not paid ads), it spends less to acquire users — helping it post high margins (around 45–60%) and strong profitability.
Broad reach: Groww’s users come from nearly every Indian pin code, and over 80% live outside the top six cities, showing how far its reach extends.
Expanding product range: The platform is adding new offerings like wealth management (‘W by Groww’), loans against shares, and bonds — aiming to become a one-stop shop for investing.
What to watch out for:
Since 84% of its revenue comes from stock broking, any slowdown in trading activity could hurt earnings.
Like any tech firm, Groww is vulnerable to cybersecurity risks and system outages.
Valuations are not cheap, at about 34 times earnings, the stock isn’t a bargain.
Verdict from brokerages:
Nuvama calls Groww a “leader among retail brokers” and says its tech platform and user experience are key strengths.
Arihant Capital recommends “Subscribe for listing gains”, saying its scalable model, high retention, and low costs make it a long-term winner.
Anand Rathi is also positive but calls it “fully priced”, advising “Subscribe – Long Term”.
