BSE could see a recovery in derivatives volumes after a sharp disruption caused by the introduction of the Closing Auction Session (CAS), believes HDFC Securities, which said that the regulatory impact appears to be largely behind the exchange.
The brokerage maintained an ADD rating on BSE and cut its target price marginally to Rs 3,850 from Rs 3,900. It also lowered its FY27 and FY28 earnings estimates by 4% and 2.3%, respectively, to account for weaker derivatives activity following the CAS rollout.
