FY24's best-performing stock has more legs to run, say analysts

HDFC Securities foresees BSE derivatives market share breaching 30% by FY26; locks in target price of Rs 3,050

Shares of BSE (formerly Bombay Stock Exchange) rallied nearly six times in 2023-24 (FY24), the most among National Stock Exchange (NSE) Nifty 500 components. Analysts at HDFC Securities see that the stock has more legs to run.

Higher participation from algorithmic (algo) traders and foreign portfolio investors (FPIs) is expected to help the stock exchange make further inroads into the derivatives segment. 

HDFC Securities expects BSE’s derivatives market share, which was zero until April 2023, to exceed 30 per cent by 2025-26 (FY26).

The domestic brokerage has set a target of Rs 3,050 with a ‘buy’ recommendation. This implies an