Indiaโs No.1 exchange just reported a reality check.
โน12,188 Cr profit down to โน10,302 Cr.
Revenue slipped from โน17,141 Cr to โน16,601 Cr.
And honestly? This wasnโt surprising for us.
Almost 1 year ago, when everyone was aggressively bullish on NSE, we highlighted one key risk:
SEBIโs tighter grip on F&O activity would eventually impact trading volumes.
Because when 93% of retail traders are losing money, regulatory intervention becomes inevitable.
And when volumes slow down, exchange earnings feel the pressure.
Back in 2019-20, NSE was available at nearly 6 P/E with strong tailwinds:
โ๏ธ Covid-led retail participation
โ๏ธ Massive liquidity
โ๏ธ New demat account boom
Today, the story is different.
Despite slowing growth, many investors are still buying purely in the name of โmonopolyโ.
But smart investing is not about buying great businesses at any price.
It is about buying them at the right valuation.
Can NSE still compound? Possibly.
Can it become a 10x from here in the next 3-5 years? That looks difficult at current valuations.
At Planify, we believe the better opportunity may come closer to IPO phase when valuations cool down further.
Sometimes, the biggest edge in investing is not finding the next stockโฆ
It is knowing when to wait.
Whatโs your view on NSE at current valuations? ๐
#NSE #StockMarket #Investing #IndianStockMarket #Finance #WealthCreation #UnlistedShares #PreIPO #Trading #IPO #SEBI #MarketAnalysis #Planify