NSE share price: Morgan Stanley, Jefferies, Macquarie, JPMorgan targets post Q2 results

Top brokerages are largely positive on National Stock Exchange Ltd (NSE) post India's largest stock exchange's September quarterly results. Morgan Stanley retained 'Overweight on the stock with an unchanged target of Rs 2,315, implying 28 per cent potential upside. Jefferies recommended 'Buy' with a revised target of Rs 2,125 from Rs 2,085 earlier. Macquarie retained its 'Outperform' and a target of Rs 1,975. Also, 360 One Capital Markets  suggested 'Buy' with a target of Rs 2,100 apiece.

JPMorgan said NSE's consolidated revenue from operations was 4 per cent ahead of its estimate. Strong expense control resulted in operating Ebitda coming in 5.5 per cent ahead of its estimate. Despite lower other income, profit was 3.5 per cent ahead of its estimate. The brokerage retained 'Buy' and a target of Rs 2,130 on NSE.

Centrum Broking, meanwhile, initiated coverage on the stock with a 'Buy' and a target of Rs 2,125, implying 18 per cent upside following NSE's Q2 results.

"Despite an in-line quarter, we expect the operating environment for capital markets participants to improve as the SEBI adopts a more accommodative stance on CAS and implements reforms to strengthen market-linked products. As a critical provider, NSE should continue to benefit," Macquarie said.

NSE on Thursday reported a 23 per cent growth in consolidated profit after tax at Rs 2,578 crore for the September quarter. Its consolidated total income grew 9 per cent YoY to Rs 4,554 crore. Operating Ebitda soared 107 per cent YoY to Rs 3,079 crore, with an Ebitda margin of 76 per cent.

Consolidated revenue from transaction charges increased 9 per cent year-on-year (YoY) to Rs 3,035 crore in Q2FY27, compared with Rs 2,789 crore in Q2FY26, driven by higher volumes in the cash market and equity options segments.

The cash market segment recorded an average daily traded volume (ADTV) of Rs 1,18,377 crore in Q2FY27, up 24 per cent YoY. ADTV in equity options (premium value) increased 3 per cent YoY to Rs 47,977 crore, while ADTV in the equity futures segment stood at Rs 1,24,574 crore.

Revenue from data connectivity charges stood at Rs 267 crore. Revenue from operating investment income increased 9 per cent YoY to Rs 237 crore from Rs 217 crore in Q2FY26. Revenue from data feed and terminal services rose 43 per cent YoY to Rs 165 crore from Rs 115 crore, while revenue from listing services increased 70 per cent YoY to Rs 150 crore from Rs 88 crore.

On a consolidated basis, total expenditure for Q2FY27 declined 51 per cent YoY to Rs 1,161 crore from Rs 2,354 crore in Q2FY26. In the corresponding quarter of the previous fiscal year, NSE had recognised a provision of Rs 1,297 crore towards SEBI settlement fees related to the colocation and dark fibre matters.