NSE Unlisted Share Price
National Stock Exchange Ltd (NSE) via institution
INE721I01023
Listing Status: DRHP Not Filed
About NSE Unlisted Share Price
Overview of NSE Unlisted Share Price
1992 saw the incorporation of NSE. SEBI registered it as a stock exchange in April 1993. The wholesale debt market and the cash market segment were introduced shortly after, marking the beginning of the exchange's activities.
1993: India recognises NSE as an exchange
1994: Screen based trading introduced by NSE
2000: The NSE introduced index futures, opening up trade in derivatives in India.
2002: The NSE launched ETFs in India.
2008: The NSE introduced currency futures to India.
2011: Started trading on the FTSE Index index futures and options contracts.
2016: Promoted NSE IFSC, the international stock exchange in India’s first IFSC SEZ at gift city Gandhinagar
2021: The number of NSE registered investors exceeds 5 crore individual investors.
Landscape
of exchanges in India
Over the previous 20 years, NSE's market share in cash equities has increased steadily, rising from 63% in FY02 to 81% in FY12 and then to 92% in FY22. Due to an increase in algorithmic (algo) trading with the introduction of co-location facilities in 2009, the company's market share experienced a dramatic surge in the following years.
Revenue Model
Unlike global exchanges, NSE have high dependency on transaction charges: while BSE’s dependence is low due to poor market share. Learn more about NSE business model here.
Transaction
Charges
- Charges according to turnover in different categories
- Connected to the volume of market activity, family investments, and savings
Treasury
income on clearing and settlement funds
- Income from clearing corporation
- Interoperability related income
- Interest income from SGF gets added to the SGF account
- Linked to interest rates and to an extent market activity since that would lead to more margin being deposited by members
Tech and
information solutions
- Colocation, Network, Platform and terminal charges
- primarily consists of charges recovered from members for network connectivity
Services to corporates
- Listing fees
- Book building fees
- Mostly derived from listing income that is not impacted by market activity
- Book Building is linked to primary fund raising
Data dissemination
fees
- Live Data feeds to third party aggregators
- Historical data for back testing
- Impacted primarily due to level of subscriptions and revision in pricing policies
Income from Investments
and deposits
- Income from own cash (not clients money)
- Linked to investment yields
Other Income
- Recurring in Nature
- Mostly derived from rent and training institution, etc
Low participation in capital markets
An increase in corporate activity is anticipated in the market.
NSE experiencing strong client growth
Demat account ownership has surged in India, growing fivefold from 2.2 crore in FY14 to a staggering 11.3 crore currently. Interestingly, while demat accounts have boomed, NSE's active user base has witnessed an even sharper rise, nearly multiplying by 9 times, from 40 lakh in FY14 to 3.4 crore today.
NSE is growing its dominance in the stock exchange market
The National Stock Exchange (NSE) boasts a commanding presence in the Indian market, with 93% of cash segment activity and a near-monopoly (99%) in the F&O (Futures & Options) segment. Learn more about the world's most valuable stock exchanges in 2024.
Insights of NSE Unlisted Share Price
Q1 FY25'S Financial Highlight
Particulars (in Cr.) | Q1 FY25 | Q1 FY24 |
Total Revenue | 4950 | 3357 |
EBITDA | 3106 | 2234 |
PAT | 2567 | 1844 |
- In 1st quarter of FY25 NSE's sales grew by 47% compared to same quarter of the previous year.
- With 91% share, operating revenue holds the major chunk of the total revenue.
- Despite of yearly growth NSE has witnessed ~2.65% degrowth in sales from the last quarter.
- This degrowth could be accounted for NSE's lost market share of ~3% in the Equity Options compared to the last quarter.
- Despite of a decrease in the revenue from last quarter NSE psoted ~3% growth in PAT from the last quarter. EPS also increased to 51.86 from 50.25 of the last quarter.
- The company has submitted its application to SEBI for seeking approval for altering their Memorandum of Association (MOA) for increasing their authorised share capital.
- In the quarter NSE has contributed ₹587.34 Cr towards Core SGF (₹574 Cr in Q4). The total core SGF now stands at ₹9,130.28 Cr.
NSE Q1 FY25 Standalone Segmental Revenue
Revenue Drivers (in Cr.) | Q1 FY25 | Q1 FY24 | Y-o-Y Growth |
Transaction Charges | 3623 | 2525 | 43.49% |
Treasury Income | 340 | 303 | 12.21% |
Data center & Connectivity Charges | 260 | 194 | 34.02% |
Listing Services | 67 | 45 | 48.89% |
Market Share of NSE after Q1 FY25
Financial Insights
Particulars (in Cr.) | FY24 | FY23 | FY22 |
Total Revenue | 16,352.00 | 12,765.00 | 8,874.00 |
EBITDA | 11611 | 9428 | 6,499.26 |
PAT | 8306 | 7356 | 5,198.29 |
EPS | 167.80 | 148.61 | 105.02 |
Dividend | 90 | 80 | 42 |
- NSE's revenue in FY24 grew at a compound annual growth rate (CAGR) of 28%, while its profit after tax (PAT) saw a CAGR of 13%
- NSE is rewarding shareholders with a double dose of good news! They've declared a final dividend of Rs. 90 per share (pre-bonus) along with a generous bonus issue of 4 shares for every 1 share currently held.
Learn more about NSE bonus issue.
Segment wise revenue split
The company saw a 59% jump in revenue and a 41% increase in PAT in FY-23 compared to FY-22.
Particulars | FY-23 | FY-22 |
Trading Services | 10173 | 6965 |
Colocation Charges | 614 | 433 |
Data feed services | 273 | 225 |
Listing services | 180 | 184 |
Index Licensing Services | 150 | 116 |
Strategic Investments | 328 | 256 |
Other Segments | 1047 | 695 |
Total | 12765 | 8874 |
Unpacking the rise in options volume
Equity options trading in India has seen a dramatic increase, with the average daily volume surging 25 times over the past 5 years to a staggering INR 152.4 trillion. This surge can be attributed to a confluence of factors:
Regulatory changes: In 2020, SEBI's Peak Margin Rule restricted the leverage offered by brokers, bringing it down from a maximum of 100 times to just 5 times in 2021. This significantly reduced the appeal of intraday trading and futures contracts, pushing investors towards options.
- Rise in retail participation: The pandemic led to a surge in new demat accounts, and many online influencers have been promoting options trading. This increased investor base has contributed to the higher options volume.
NSE dominates the equity derivatives market, holding a 100% market share. Equity options and futures contributed significantly to FY23 transaction income, accounting for 76% and 12% respectively.
A Comprehensive Analysis of Transaction Fees
Transaction income the dominant revenue driver for NSE
NSE relies heavily on transaction fees (including clearing fees) for its revenue, averaging around 79% over the past three fiscal years (FY21-23). This dependence is higher than BSE's due to lower trading volumes on the latter exchange.
Transaction fees are essentially brokerage charges based on the type of product and trade size. Both NSE and BSE have fee structures that vary by product segment and depend on the traded value. While NSE offers competitive fees for stock trading (cash segment), they charge significantly more for derivatives compared to BSE, likely due to their dominant market position in that area.
While exchanges generally aim for stable fee structures across their products, recent changes show some flexibility. NSE, for example, rolled back a December 2020 transaction fee increase of 6% for equity cash and derivatives after building the required INR 15 billion Investor Protection Fund corpus. Conversely, BSE went the other way, raising its charges in December 2022.
NSE India Conference Call Takeaways FY-24
- Leading Derivatives Exchange: NSE remains the world's largest exchange for derivatives contracts for the fifth consecutive year.
- Strong Cash Market Presence: NSE holds the third position globally in terms of the number of cash segment trades.
- Growth in Gift City: The international exchange at Gift City is experiencing significant growth, reaching INR 3.5 trillion in open interest contracts.
- Dominant Clearing Market Share: NSE maintains a dominant position in clearing, with a 93% share in cash, 96% in derivatives, and 85% in currency segments.
- Investor Rewards: The company plans to issue bonus shares and maintain a strong dividend payout policy.
- Transfer Process Improvement: NSE is working on automating the share transfer process to reduce the current timeframe of 4-5 months.
Read more about NSE India’s 4QFY24 Conference Call.
NSE Gift City Opportunities
GIFT City holds the potential to be a game-changer..
NSE Backed by Marquee Investors
Name of the shareholder | Shareholding percentage |
LIC | 10.72 |
Aranda Investments Ltd | 5 |
Stock Holding Corporation of India Ltd | 4.44 |
SBI Capital Markets Ltd | 4.33 |
Veracity Investments Ltd | 3.93 |
SBI | 3.23 |
Crown Capital Ltd | 3.17 |
PI Opportunities Fund | 3.00 |
TA Asia Pacific Acquisitions Ltd | 2.33 |
MS Strategic Ltd | 2.30 |
Peer Comparison
The unresolved NSE Colocation issue casts a shadow on its IPO plans
A cloud hangs over the National Stock Exchange (NSE) with the colocation scandal. This controversy centers on accusations of unequal access to market data and trading systems for some high-frequency traders (HFTs).
Colocation, where traders house their servers near the exchange, can provide a speed advantage in HFT. The allegations claim that select HFTs received preferential access to NSE's systems, potentially giving them an unfair edge over others. This raises serious concerns about the fairness and integrity of the market.
SEBI, India's market regulator, is investigating these claims, focusing on whether NSE officials granted special treatment to certain brokers, allowing them faster access to market data. The investigation is ongoing, with several developments and legal proceedings taking place. Read more about NSE IPO Insights and Expectations
2022: Court sends Chitra Ramkrishna to judicial custody under the money laundering act.
2023: SC directed the market regulator to refund the NSE Rs 300 crore deposited under disgorgement orders.
NSE IPO Plans
NSE's IPO Journey
- Stalled by Controversy In December 2016, NSE planned a giant IPO (₹10,000 crore) where existing shareholders would sell their shares (OFS). However, the offering was scrapped due to allegations of unfair access to trading algorithms for some brokers.
- In January 2020, NSE expressed renewed interest in an IPO, targeting September with SEBI approval. This optimism was short-lived.
- The exchange's listing has been repeatedly delayed due to corporate governance concerns. These include the involvement of former CEO Chitra Ramakrishna in a 2015 market manipulation scandal and ongoing technological glitches.
Valuations
Particulars | NSE | BSE |
CMP (1st April, 2024) | 4500 | 2700 |
Market Cap | 222750 Crores | 36575 Crores |
EPS (TTM) | 157.68 | 56.35 |
P/E (TTM) | 29 | 48 |
P/S | 17 | 40 |
NSE's current price of ₹4500 suggests a significant discount compared to its competitor, BSE, which trades at almost double the price. Interestingly, the Chicago Mercantile Exchange (CME), a globally recognized derivatives exchange with a similar business model and profitability to NSE, trades in a well-established market like the US at a price-to-sales ratio of 14. This comparison raises the question of whether NSE might be undervalued.
NSE Unlisted Share Price Journey
NSE debuted in the unlisted market at ₹1700 per share in March 2021. After a surge to a high of ₹4500 in November 2021, the stock underwent a correction, dipping to ₹3000 by December 2022. However, it has since rallied, reaching a new all-time high of ₹4850 per share in March 2024. Read our comprehensive guide on buying NSE unlisted shares.
Stake Sell by Fairfax India
Fairfax India sold its stake in NSE across Q4 2023 and Q1 2024, expecting to receive a total of $189 million (₹15.7 billion). This is a significant return on their initial investment of $26.8 million. One sale for $132.3 million (₹11.0 billion) was finalized on January 29, 2024, with the remaining transactions expected to close by the end of Q1 2024. At December 31, 2023 there were 105,398,509 subordinate voting shares and 30,000,000 multiple voting shares outstanding.
Financial Charts of NSE Unlisted Share Price
Balance Sheet of NSE Unlisted Share Price
Profit and Loss of NSE Unlisted Share Price
Ancillary of NSE Unlisted Share Price
Ratio Analysis
Peers
Industry Benchmarking
Segment Revenue
Subsidaries
Security Allotment
Corporate Governance
Team Management Details
FAQs of NSE Unlisted Share Price
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How to buy National Stock Exchange Ltd (NSE) (third party)?
Below are three ways through which you can purchase National Stock Exchange Ltd (NSE) (third party):
- We at Altius Investech have many actively traded scripts and are market makers of unlisted shares. To check out all the unlisted shares traded. (Click on link). To submit a request to buy National Stock Exchange Ltd (NSE) (third party), please click on the trade button at the top of this page
- Additionally, you can download our app from your play store or app store, register on our application, and engage in active trading there.
Download the Altius App here https://onelink.to/hf4m72 - You can also reach out to us at : +91 8240614850 / +91 8240861716
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How to sell National Stock Exchange Ltd (NSE) (third party)?
Below are three ways through which you can sell National Stock Exchange Ltd (NSE) (third party):
- We at Altius Investech have many actively traded scripts and are market makers of unlisted shares. To check out all the unlisted shares traded. (Click on link). To submit a request to sell National Stock Exchange Ltd (NSE) (third party), please click on the trade button at the top of this page
- Additionally, you can download our app from your play store or app store, register on our application, and engage in active trading there.
Download the Altius App here https://onelink.to/hf4m72 - You can also reach out to us at : +91 8240614850 / +91 8240861716
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What is the price of National Stock Exchange Ltd (NSE) (third party)?
We provide a two way quote on all the shares we deal in. Your buy price for National Stock Exchange Ltd (NSE) (third party) is ₹1799 and your sell price for National Stock Exchange Ltd (NSE) (third party) is ₹1400. The price is based on our estimates and market conditions.
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What is the lock-in period of National Stock Exchange Ltd (NSE) (third party)?
The lock-in period for National Stock Exchange Ltd (NSE) (third party) varies depending on the category of investors:
- For retail Investors, HNIs, or Body Corporates, the lock-in period is 6 months from the date of the listing of National Stock Exchange Ltd (NSE) (third party)
- For Venture Capital Funds or Foreign Venture Capital Investors, there is a lock-in period of 6 months from the date of acquisition of National Stock Exchange Ltd (NSE) (third party)
- For AIF-II (Alternative Investment Funds - Category II), there is no lock-in period
August 2021 saw the introduction of this regulation by SEBI. The purpose of the regulation change, which lowered the lock-in period from a year to six months, was to incentivize additional investments in firms getting ready for initial public offerings, or IPOs. Since its introduction, a number of Portfolio Management Services (PMS) have advised their clients to purchase Pre-IPO shares in order to take advantage of the advantages associated with early-stage investments. This reduction in the lock-in period is considered as a significant step forward.
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How is the National Stock Exchange Ltd (NSE) (third party) price calculated?
Fundamental & Comparative valuation models and the forces of demand and supply in the market for unlisted shares dictate the price. These prices are based on our estimates and transaction history of National Stock Exchange Ltd (NSE) (third party). The price is also determined from the most recent funding round for National Stock Exchange Ltd (NSE) (third party). This provides us with a benchmark valuation, offering a clear indication of the company's current market value as perceived by investors and industry experts.
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What are the lot sizes of National Stock Exchange Ltd (NSE) (third party)?
We can generally arrange lot sizes starting with an investment of INR 20,000. To confirm the lot sizes of National Stock Exchange Ltd (NSE) (third party) with us kindly click here.
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What are the financials of National Stock Exchange Ltd (NSE) (third party)?
The financials of National Stock Exchange Ltd (NSE) (third party) which includes the P/L of National Stock Exchange Ltd (NSE) (third party) and the Balance Sheet of National Stock Exchange Ltd (NSE) (third party) is in the financials section (Click on link).
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Where can I find the annual report of National Stock Exchange Ltd (NSE) (third party)?
The annual report of National Stock Exchange Ltd (NSE) (third party) is available in the annual report section (Click on link).
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Is buying National Stock Exchange Ltd (NSE) (third party) legal in India?
Yes, buying and selling unlisted shares in India is indeed 100% legal. This activity is regulated and governed under the guidelines provided by the Securities and Exchange Board of India (SEBI). Investors and traders must adhere to these regulations and guidelines to ensure compliance with legal and financial standards. It's important for participants in the unlisted share market to be aware of and understand these regulations to engage in transactions legally and securely.
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Short-term Capital Gain taxes to be paid on National Stock Exchange Ltd (NSE) (third party)?
When you sell unlisted shares within a period of two years from the date of acquisition, any profit earned from the sale is classified as Short-term Capital Gain (STCG). This gain is then added to your total income for that financial year. The tax on this short-term capital gain is calculated based on your applicable individual income tax slab rates. Therefore, the rate at which you will pay tax on the STCG from unlisted shares depends on your total income, including this gain, and the tax slab it falls under as per the prevailing income tax laws in India. It's important for investors to consider these tax implications when engaging in transactions involving unlisted shares.
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Long-term Capital Gain taxes to be paid on National Stock Exchange Ltd (NSE) (third party) and how are They Taxed?
Long-term Capital Gains (LTCG) on unlisted shares in India refer to the profits earned from the sale of unlisted shares that have been held for more than two years. The key aspects of LTCG on unlisted shares include:
- Tax Rate: LTCG on unlisted shares is taxed at a rate of 20%.
- Indexation Benefit: This is a significant advantage for investors. Indexation allows for adjusting the purchase price of the shares for inflation, which can reduce the taxable gain.
- Importance for Investors: Understanding LTCG is crucial, especially for High Net-worth Individuals (HNIs) and retail investors, as it impacts their investment strategy and tax planning. Knowing these details helps in making informed investment decisions.
- Calculation: LTCG is calculated by subtracting the indexed cost of acquisition (the purchase price adjusted for inflation) from the sale price of the shares. The profit thus calculated is subject to a 20% tax.
- Applicability: LTCG tax is applicable to profits from the sale of unlisted shares held for more than two years.
- Relevance: This tax is particularly relevant to investors in the unlisted share market, including those considering selling their holdings after a period of more than two years.
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Applicability of Taxes on National Stock Exchange Ltd (NSE) (third party) once it is listed?
When shares initially bought in the unlisted market become listed, the taxation rules change significantly if these shares are sold through a stock exchange. Here's what investors need to know:
Transition to Listed Market Tax Rates: Once unlisted shares are listed on the stock exchange and subsequently sold, the tax rates applicable to listed securities come into effect. This shift means that the favourable tax treatments for listed shares, as per the prevailing tax laws, will apply.
Taxation Based on Holding Period: The crucial factor in determining the type of capital gains tax (Long-term or Short-term) is the holding period of the shares. Importantly, this period is calculated from the original purchase date when the shares were unlisted.
Long-term vs. Short-term Capital Gains: If the shares are sold after being held for more than one year from the date of purchase (including the period when they were unlisted), they are subject to Long-term Capital Gains (LTCG) tax.
Conversely, if sold within one-year, Short-term Capital Gains (STCG) tax rates apply.
Significance for Investors: This information is vital for investors in the unlisted market, as it impacts their tax planning and decision-making process. Understanding these nuances ensures that investors can strategically plan the sale of their shares post-listing to optimize tax implications.
Advice for Investors: It's advisable for investors to keep a record of their purchase dates and monitor the listing dates closely. Additionally, staying updated with the latest tax regulations or consulting with a financial advisor is recommended for accurate tax calculations and compliance. -
How does Altius Investech source National Stock Exchange Ltd (NSE) (third party)?
At Altius Investech, our approach to sourcing Boat Unlisted Share (Imagine Marketing) involves a strategic and direct method. Primarily, we acquire these shares from the below key groups:
Employees of the Company: Employee stock option plans (ESOPs) or other compensation packages frequently include shares for firm employees. For a various reasons, such as including portfolio diversification or financial considerations, some of these employees may eventually choose to sell their shares. We engage with these employees, providing them a platform to sell their shares.
Initial Investors: These are the angel or early-stage investors who provided capital to the business in its early stages. These original investors may look to sell all or part of their ownership position in the company as it develops and flourishes. This might be done for various reasons such as in order to maximise their investment, reallocate resources, or make other calculated financial decisions.
Funding rounds and VC funds: Altius Investech sources the shares from private placement rounds in which private companies seek to obtain capital from the market. Through our platform, venture capital funds can liquidate their shares and we receive the inventory from them when they decide to sell a portion of their ownership through block trades.
By establishing connections with these groups, Altius Investech guarantees our clients a steady and dependable supply of Boat Unlisted Share (Imagine Marketing). This process not only makes it easier for employees and initial investors in liquidating their assets, but it also gives our clients access to shares that aren't often found on the open market. Our platform effectively facilitates a win-win situation for both buyers and sellers. -
How to trust Altius Investech before buying National Stock Exchange Ltd (NSE) (third party) from its platform?
Altius Investech stands at being India's fastest growing and leading marketplace for buying and selling unlisted shares. We believe in enabling access to alternative sources of investments at lower entry barriers to private equity investments.
With more than 25 years of experience, Altius Investech has carved a niche in the financial market by serving more than 8000 clients. The incredible journey is further highlighted by the vast number of transactions that Altius Investech has facilitated transactions that have already exceeded 300 crores.
For investors Altius Investech curates investment opportunities in companies at reasonable valuations which are on the verge of an IPO leading to massive value unlocking. Investments are backed by thorough research and sound investment thesis, with a time bound exit plan.
For ESOP Shareholder and existing Investors, we assist them to liquidate their shares even if they are not publicly traded by creating a platform where we find the right buyers and sellers for the best prices.
Altius Investech have been featured in top media news outlets like Economic Times, Financial Express, Money control. Check out about us on these - leading publications (Click on link) Our journey over these years has not just been about numbers; it's been about building trust and reliability.
We at Altius Investech are dedicated to upholding the greatest levels of ethics and transparency, making sure that your investment experience is not only profitable but also safe and reliable.
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