NSEI:BSE

Stock Analysis Report

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Executive Summary

BSE Limited, together with its subsidiaries, provides a platform for trading in equity, debt instruments, derivatives, and mutual funds in India and internationally. More Details


Snowflake Analysis

Flawless balance sheet second-rate dividend payer.


Similar Companies

Share Price & News

How has BSE's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: BSE has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-1.7%

BSE

1.3%

IN Capital Markets

1.2%

IN Market


1 Year Return

-4.9%

BSE

-0.3%

IN Capital Markets

2.6%

IN Market

Return vs Industry: BSE underperformed the Indian Capital Markets industry which returned -2.1% over the past year.

Return vs Market: BSE underperformed the Indian Market which returned 2.4% over the past year.


Shareholder returns

BSEIndustryMarket
7 Day-1.7%1.3%1.2%
30 Day-4.2%3.3%4.8%
90 Day4.6%0.2%7.6%
1 Year-1.7%-4.9%1.2%-0.3%4.3%2.6%
3 Year-40.9%-47.9%-36.2%-38.6%-0.7%-5.5%
5 Yearn/a43.2%32.3%41.4%30.9%

Price Volatility Vs. Market

How volatile is BSE's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is BSE undervalued compared to its fair value and its price relative to the market?

21.54x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate BSE's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate BSE's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: BSE is poor value based on its PE Ratio (21.5x) compared to the IN Capital Markets industry average (17.1x).

PE vs Market: BSE is poor value based on its PE Ratio (21.5x) compared to the Indian market (16.4x).


Price to Earnings Growth Ratio

PEG Ratio: BSE is poor value based on its PEG Ratio (1.7x)


Price to Book Ratio

PB vs Industry: BSE is overvalued based on its PB Ratio (0.8x) compared to the IN Capital Markets industry average (0.5x).


Next Steps

Future Growth

How is BSE forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

12.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: BSE's forecast earnings growth (12.4% per year) is above the savings rate (7.2%).

Earnings vs Market: BSE's earnings (12.4% per year) are forecast to grow slower than the Indian market (25.8% per year).

High Growth Earnings: BSE's earnings are forecast to grow, but not significantly.

Revenue vs Market: BSE's revenue (7.6% per year) is forecast to grow slower than the Indian market (11.5% per year).

High Growth Revenue: BSE's revenue (7.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: BSE's Return on Equity is forecast to be low in 3 years time (5.7%).


Next Steps

Past Performance

How has BSE performed over the past 5 years?

4.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: BSE has a large one-off gain of ₹321.4M impacting its June 30 2020 financial results.

Growing Profit Margin: BSE's current net profit margins (18.8%) are lower than last year (27.8%).


Past Earnings Growth Analysis

Earnings Trend: BSE's earnings have grown by 4.6% per year over the past 5 years.

Accelerating Growth: BSE's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: BSE had negative earnings growth (-38%) over the past year, making it difficult to compare to the Capital Markets industry average (-6.2%).


Return on Equity

High ROE: BSE's Return on Equity (3.9%) is considered low.


Next Steps

Financial Health

How is BSE's financial position?


Financial Position Analysis

Short Term Liabilities: BSE's short term assets (₹29.2B) exceed its short term liabilities (₹15.9B).

Long Term Liabilities: BSE's short term assets (₹29.2B) exceed its long term liabilities (₹112.8M).


Debt to Equity History and Analysis

Debt Level: BSE is debt free.

Reducing Debt: BSE has no debt compared to 5 years ago when its debt to equity ratio was 0.1%.

Debt Coverage: BSE has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: BSE has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is BSE current dividend yield, its reliability and sustainability?

3.30%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: BSE's dividend (3.3%) is higher than the bottom 25% of dividend payers in the Indian market (0.56%).

High Dividend: BSE's dividend (3.3%) is in the top 25% of dividend payers in the Indian market (2.28%)


Stability and Growth of Payments

Stable Dividend: BSE has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: BSE's dividend payments have increased, but the company has only paid a dividend for 4 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonable payout ratio (71%), BSE's dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

8.3yrs

Average management tenure


CEO

Ashish Kumar Chauhan (52 yo)

7.92yrs

Tenure

₹76,462,712

Compensation

Mr. Ashish Kumar Manilal Chauhan has been the Managing Director and Chief Executive Officer of BSE Limited since November 2, 2012. Mr. Chauhan served as Deputy Chief Executive Officer of BSE Limited from 2 ...


CEO Compensation Analysis

Compensation vs Market: Ashish Kumar's total compensation ($USD1.04M) is above average for companies of similar size in the Indian market ($USD357.22K).

Compensation vs Earnings: Ashish Kumar's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Ashish Kumar Chauhan
MD, CEO7.92yrs₹76.46mno data
Nayan Mehta
Chief Financial Officer8.75yrs₹16.08mno data
Kersi Tavadia
Chief Information Officerno data₹14.37mno data
Prajakta Powle
Company Secretary & Compliance Officer4.08yrs₹3.28mno data
Neeraj Kulshrestha
Chief Regulatory Officer2.75yrs₹13.60mno data
Girish Joshi
Chief of Trading Operations & Listing Salesno data₹8.92mno data
Sameer Patil
Chief Business Officerno data₹11.54mno data
Yogesh Joshi
Head of Investor Relationsno datano datano data
Mahendra Tawde
Senior General Manager & GM of Human Resources11.92yrsno datano data
Khushro Bulsara
Chief General Managerno datano datano data
Gopalkrishnan Iyer
Chief General Managerno datano datano data
Ajaykumar Thakur
General Manager & Head of BSE SME24.75yrsno datano data

8.3yrs

Average Tenure

53yo

Average Age

Experienced Management: BSE's management team is seasoned and experienced (8.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Ashish Kumar Chauhan
MD, CEO7.92yrs₹76.46mno data
Uttam Bagri
Member of Advisory Committeeno data₹60.00kno data
Shilpa Kumar
Member of Advisory Committeeno datano datano data
Damodar Aggarwal
Member of Advisory Committeeno datano datano data
Kamlesh Rao
Member of Advisory Committeeno datano datano data
Dhirendra Swarup
Chairman of Advisory Committeeno data₹1.33mno data
David Wright
Independent Public Interest Director2.58yrs₹1.22mno data
Sumit Bose
Independent Public Interest Director4.42yrsno datano data
Vikramajit Sen
Independent Chairman of the Board1.42yrs₹1.66mno data
Kamlesh Shah
Member of Advisory Committeeno datano datano data
Neeraj Choksi
Member of Advisory Committeeno datano datano data
Subhash Mundra
Independent Public Interest Director2.75yrs₹1.34mno data

2.8yrs

Average Tenure

58yo

Average Age

Experienced Board: BSE's board of directors are not considered experienced ( 2.8 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

BSE Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: BSE Limited
  • Ticker: BSE
  • Exchange: NSEI
  • Founded: 1875
  • Industry: Financial Exchanges and Data
  • Sector: Diversified Financials
  • Market Cap: ₹23.224b
  • Shares outstanding: 45.02m
  • Website: https://www.bseindia.com

Number of Employees


Location

  • BSE Limited
  • Phiroze Jeejeebhoy Towers
  • 25th Floor
  • Mumbai
  • Maharashtra
  • 400001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
BSENSEI (National Stock Exchange of India)YesEquity SharesININRFeb 2017

Biography

BSE Limited, together with its subsidiaries, provides a platform for trading in equity, debt instruments, derivatives, and mutual funds in India and internationally. The company also offers securities, dat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/23 12:50
End of Day Share Price2020/10/22 00:00
Earnings2020/06/30
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.