BSE Ltd Share Price Today (3 December 2025): After a 61% Profit Jump, Is the Multi‑Bagger Rally Losing Steam or Just Pausing?

BSE Ltd, the operator of Asia’s oldest stock exchange, is taking a breather on 3 December 2025 after an extraordinary multi‑year rally powered by booming derivatives volumes and record earnings.

As of around 12:40 pm IST, BSE Ltd shares were trading near ₹2,789–2,790 on the NSE, down roughly 1.9% from the previous close of ₹2,843.20, in a day’s range of ₹2,775–₹2,849. ^[1]
Even after today’s dip, the stock remains close to its 52‑week high of ₹3,030 and far above its 52‑week low of about ₹1,227, with one‑year gains of roughly 89% and a five‑year return of more than 4,400%. ^[2]

On 3 December, analytics platform MarketsMojo flagged BSE as one of the most actively traded mid‑cap stocks by value, noting high turnover and strong delivery volumes despite the day’s price decline, underlining sustained institutional and retail interest. ^[3]

BSE share price today: a soft day in a still‑explosive trend

Data from INDmoney and Moneycontrol show that as of late morning trade on 3 December 2025: ^[4]

Last traded price: ~₹2,788–2,790
Change on day: about ‑1.9%
Previous close: ₹2,843.20
Day’s low–high: ₹2,775 – ₹2,849
Market capitalisation: around ₹1.15 lakh crore
52‑week range: ₹1,227.33 – ₹3,030

Despite today’s pullback, BSE remains one of Dalal Street’s monster multi‑baggers:

1‑month return: ~+11.6%
3‑month return: ~+28.4%
1‑year return: ~+89%
3‑year return: ~+1,396%
5‑year return: ~+4,492% ^[5]

In other words, anyone who owned BSE through the last three to five years has watched it transform from a sleepy, under‑owned exchange stock into one of India’s most powerful wealth‑creation stories.

The broader market backdrop today is mildly negative: benchmark indices are lower, with the Nifty 50 and BSE Sensex both down around 0.4–0.6%, weighed by weak global cues and continued foreign institutional selling. ^[6]

Q2 FY26 results: 61% profit growth and a tenth straight record revenue quarter

BSE’s most recent quarter, Q2 FY26 (July–September 2025), is the main fundamental engine behind the rally.

Across company disclosures and earnings summaries: ^[7]

Revenue from operations: about ₹1,068 crore, up 44% YoY and roughly 12% QoQ
Total income: around ₹1,139 crore, up ~40% YoY
Consolidated net profit (PAT): about ₹557–558 crore, up 61% YoY and ~5–6% QoQ
Earnings per share (EPS): about ₹13.7 vs ₹8.5 a year ago, up ~61% YoY
Operating EBITDA (including SGF contribution): roughly ₹680 crore, with margins in the mid‑60% range

Management and multiple research notes highlight that this is roughly the tenth consecutive quarter of record revenue for BSE, driven by a mix of derivatives, mutual fund distribution and corporate services.

For the first half of FY26, revenue has crossed ₹2,020–2,030 crore, while profit after tax has jumped nearly 78% YoY to around ₹1,090 crore, underscoring that the growth is not just a one‑off quarter. TS2 Tech+1

Where the growth is coming from: derivatives, SME listings and StAR MF

1. Derivatives: the new core engine

BSE’s transformation from a largely cash‑equity exchange into a derivatives‑led platform is now unmistakable.

According to Angel One, Multibagg.ai and brokerage commentary: ^[8]

Transaction charges in Q2 FY26 were about ₹794 crore, up 57% YoY and 8% QoQ, the single largest contributor to revenue growth.
In equity derivatives, average daily notional turnover climbed to around ₹164 lakh crore, up from roughly ₹128 lakh crore a year earlier.
Index options premium ADTO (average daily premium turnover) is now above ₹15,000 crore.
Derivatives now contribute an estimated mid‑to‑high‑50s percentage of BSE’s revenue, up from the mid‑40s a year earlier.

Several brokerages have argued that BSE’s contract design tweaks—lot sizes, expiries, product structure—plus aggressive fee strategies have allowed it to carve out mid‑20s market share in index options premium, even after regulatory changes to weekly expiries. TS2 Tech+2Multibagg AI+2

2. SME platform: quiet but powerful

BSE’s SME (small and medium enterprises) platform has become a serious differentiator:

By October 2025, it hosted 657 listed SMEs, which have collectively raised over ₹13,083 crore.
October alone saw 27 SME listings, raising about ₹1,056 crore, a record month for the platform. ^[9]

This SME engine has made BSE the go‑to venue for smaller issuers, strengthening its relationships across India’s mid‑market corporate ecosystem.

3. StAR MF: mutual fund distribution at scale

The BSE StAR MF platform continues to post strong numbers:

Q2 FY26 mutual fund platform revenue grew 18% YoY to around ₹69.7 crore.
The platform processed 20.1 crore transactions in the quarter, up 24% YoY, with a record 7.13 crore transactions in October 2025 alone. ^[10]

StAR MF is now a meaningful profit pool and a strategically important asset in India’s mutual fund distribution landscape.

Tech upgrades, co‑location demand and the new SGF policy

Co‑location: throttles, racks and a revenue jump

BSE has been quietly turning its data centre and co‑location infrastructure into a growth lever:

Co‑location revenue rose to about ₹460 million in Q2 FY26 from ₹270 million in Q1 FY26 after a revised throttle‑charge (messages‑per‑second) structure kicked in from July 1. ^[11]
Management and research notes indicate BSE expects to add 70–90 additional co‑location racks by year‑end, taking the total to roughly 500 racks. ^[12]

On 3 December, INDmoney issued an “Announcement Alert” citing the Co‑CEO’s comment that the exchange is seeing higher demand for co‑location racks, reinforcing the impression that technology‑hungry algo and high‑frequency traders want more capacity on BSE’s infrastructure. ^[13]

New Settlement Guarantee Fund (SGF) policy

Risk management is another important part of the current story.

BSE has formalised a new policy to contribute 5% of derivatives transaction revenue each month to its core Settlement Guarantee Fund (SGF) until the corpus reaches 150% of the minimum regulatory requirement. ^[14]

As of October 2025, the core SGF stood at about ₹1,159 crore, with an extra ₹10.6 crore contributed in the quarter under the new policy. ^[15]
Jefferies and other brokerages note that the actual SGF provisioning rate has turned out to be less onerous than feared, slightly improving earnings visibility versus earlier worst‑case assumptions. ^[16]

This approach should help smooth the impact of future SGF‑related charges on quarterly profits while preserving BSE’s risk buffers.

Pre‑open F&O and more institutional participation

Separately, BSE has proposed and obtained approval to allow pre‑open trading in futures and options from 8 December, a move that could improve price discovery and liquidity around the open for derivatives. ^[17]

In an earnings call summary, the company also highlighted its focus on onboarding more institutional participants into equity derivatives to deepen liquidity and diversify its client base, building on the recent jump in flows. ^[18]

Valuation snapshot: high‑growth monopoly, high‑octane pricing

At current levels around ₹2,790, BSE is not a cheap stock on most conventional metrics.

Different data providers show small variations, but they broadly agree on the message: ^[19]

Trailing 12‑month P/E: mostly in the low‑to‑mid‑60s (around 62–66x)
Price‑to‑book (P/B): roughly 20–26x, versus book value per share of about ₹109–140
Return on equity (ROE): ~34–36% on the latest full‑year and trailing figures
Dividend yield:well below 1%, around 0.4–0.8% depending on methodology
Market‑cap‑to‑sales: above 20x on trailing consolidated revenue

Screeners such as Screener.in and INDmoney also show compounded earnings growth of 60–70% over the last three years, and stock price CAGR of more than 100% annually over five years, which helps explain why buyers have been willing to pay such premium multiples. ^[20]

Some valuation models are already flashing red:

Smart‑Investing’s intrinsic value framework (quoted in TechStock² analysis) suggests BSE trades at roughly 4–5 times its estimated fair value, implying potential overvaluation of 300–400% on that methodology. TS2 Tech
Moneycontrol’s MC Insights label BSE as a “High growth trend stock priced at expensive valuations”, even while the technical trend remains “very bullish”. ^[21]

In other words, the market is paying up heavily for growth, network effects and quasi‑monopoly characteristics.

What are analysts saying now? Targets, ratings and consensus

Fresh data from S&P Global, aggregated by INDmoney as of 3 December 2025, shows a nuanced but generally positive Street view: ^[22]

Coverage: 14 analysts
Ratings mix:
- 57.14% – Buy
- 35.71% – Hold
- 7.14% – Sell
Average target price:₹2,678.9
Implied downside vs current price (~₹2,788): about ‑5.8%
Target range:₹903.7 (bear case) to ₹3,200 (bull case)

In short, consensus has shifted from screaming upside to more “fair‑to‑rich” territory: the average target now sits slightly below the live price, but the spread between bullish and bearish cases is wide.

Some notable individual views:

Anand Rathi Wealth’s Diwali 2025 picks had a target of ₹2,800 for BSE when the stock was around ₹2,380 in October—an implied upside of about 18% at the time. Today’s price is already near that target, compressing the room for further gains under that thesis. ^[23]
HDFC Securities / HDFC Sky recently reiterated an ADD rating with a target around ₹2,750, calling out strong derivatives momentum, surging co‑location revenues and the SGF policy as positives, but explicitly flagging valuations as demanding. ^[24]
Jefferies remains constructive on the derivatives franchise and views the actual SGF provisioning rate as better than initially feared, but stresses that sustained high derivatives volumes and fee discipline are crucial for justifying today’s valuation. ^[25]

On 3 December, MarketsMojo’s write‑up on BSE’s trading activity underscores strong liquidity, elevated delivery volumes and high value turnover, but urges investors to weigh short‑term price pressure against longer‑term technical strength. ^[26]

Regulatory overhang: expiry rules, leverage concerns and derivatives dependence

The biggest structural risk that keeps turning up in analyst reports is regulation of derivatives.

Weekly expiry reshuffle

In 2025, the Securities and Exchange Board of India (SEBI) tightened rules around index derivatives expiries:

SEBI decided all equity derivatives expiries must fall on either Tuesday or Thursday, to reduce speculation and simplify risk management. ^[27]
After initial proposals and back‑and‑forth, SEBI approved a swap of weekly expiries: the NSE moved to Tuesday expiries, while BSE shifted its Sensex expiry from Tuesday to Thursday, effective 1 September 2025. ^[28]

When the final approval came through in June, BSE’s share price dropped about 6% in a single session, as investors worried that the expiry shift might hurt its hard‑won derivatives market share. Some brokerages trimmed their target prices, warning that a 10–15% drop in options volumes could shave 5–6% off profitability and knock a few percentage points off market share. ^[29]

So far, though, data for Q2 and October suggest BSE has held or even gained share, easing worst‑case fears. TS2 Tech+1

Potential constraints on options leverage

Earlier in 2025, BSE also suffered a sharp sell‑off after reports that SEBI was evaluating ways to link options exposure more tightly to cash positions, potentially curbing extremely leveraged options strategies that have fueled ultra‑high turnover on Indian exchanges. ^[30]

Nothing fatal has materialised yet for BSE, but the message is clear:
Any future tightening of derivatives leverage or additional risk charges could materially affect growth, turnover and margins.

Given how much of BSE’s earnings now come from derivatives, the stock is structurally exposed to regulatory mood swings.

Is BSE Ltd stock a buy, hold or wait‑and‑watch right now?

From a news and analysis standpoint as of 3 December 2025, here’s how the picture stacks up:

What’s going right

Fundamentals are on fire: Revenue up 44% YoY, profit up 61% YoY, margins in the mid‑60s. ^[31]
Multiple growth engines: Derivatives, SME listings, StAR MF and clearing all contributing meaningfully, not just one lucky segment. ^[32]
Structural tailwinds: Strong IPO pipeline, mutual fund SIP inflows at record highs and rising participation from both DIIs and retail investors. ^[33]
Technology & infrastructure upgrades: Co‑location revenues are surging, racks are being added, and ICCL’s risk systems and throughput have been expanded dramatically, enhancing BSE’s competitive positioning. ^[34]

What investors are wrestling with

Valuation risk: BSE trades at 60‑plus times trailing earnings and roughly 20–25 times book, with dividend yield well below 1%. Even with strong growth, the stock is priced for near‑perfection. ^[35]
Consensus targets now sit close to or slightly below the live price, with an average target around ₹2,679 and implied downside of about 6%. ^[36]
Regulatory uncertainty around derivatives remains a persistent overhang, even if near‑term fears around expiry‑day shifts have eased. ^[37]
Positioning risk: After a 14x move in three years and 40‑plus bagger status over five years, many investors are sitting on large embedded gains. That makes the stock vulnerable to bouts of profit‑taking if macro sentiment or derivatives volumes wobble.

How that translates into a decision framework

This article can’t and shouldn’t tell you to buy or sell—that depends on your risk tolerance, time horizon and portfolio mix. But the current data and Street forecasts as of 3 December 2025 suggest a few broad interpretations:

Momentum‑oriented traders will note that trend and liquidity remain strong; dips have been bought frequently over the last year, and intraday declines like today’s can be part of normal consolidation. ^[38]
Long‑term growth investors may still see BSE as a rare, high‑quality infrastructure play with multiple structural tailwinds—but are effectively being asked to pay future‑style valuations in the present. Any slowdown in derivatives growth or adverse regulatory ruling could compress multiples quickly. ^[39]
Valuation‑sensitive or conservatively positioned investors may prefer to wait for either a meaningful correction or further earnings catch‑up, especially given that consensus targets now cluster around the current price rather than offering a large margin of safety. ^[40]

Whatever your style, the takeaway from 3 December’s news flow is simple:

BSE Ltd is still delivering exceptional operational numbers, but the stock price is now running alongside the frontier of what the market thinks those numbers are worth.

References

BP Stock Today (December 3, 2025): Buybacks, Teesside Exit and 2026 Price Targets Explained

Fuel Truck Hits Emirates A380 at Manchester Airport: Latest Updates, Flight Cancellations and Passenger Rights (3 December 2025)

GSK Stock Outlook December 2025: Q3 Beat, Buybacks and Big FDA Decisions Shape 2026 Forecasts

HSBC Holdings Plc Stock on 3 December 2025: New Chair, Softer BoE Capital Rules and AI Push Shape the 2026 Story