National Stock Exchange of India Limited (NSE) is the leading stock exchange in India and the world's largest derivatives exchange by trading volume. Incorporated in 1992 and recognized as a stock exchange in 1993, NSE revolutionized Indian capital markets by introducing fully automated, screen-based electronic trading systems. The exchange operates a vertically integrated market infrastructure business model, generating revenue from transaction charges, listing fees, co-location facilities, market data feeds, index licensing, clearing and settlement services (via its wholly-owned subsidiary, NSE Clearing Limited), and financial technology solutions. Its core value proposition centers on delivering deep liquidity, high execution speeds, reliable clearing mechanisms, and robust risk management across asset classes.
Clientele & Geographic Reach
The company caters to a diverse domestic and global client base encompassing retail investors, High-Net-Worth Individuals (HNIs), domestic institutional investors (DIIs), mutual funds, alternative investment funds (AIFs), insurance companies, and foreign portfolio investors (FPIs). As of June 30, 2026, NSE's platform supported over 261 million registered investor accounts across all Indian states and Union Territories, covering over 99% of Indian pin codes. While domestic cash and derivatives markets form its core revenue base, NSE extends its international reach through NSE IX (NSE International Exchange) in GIFT City, Gujarat, offering dollar-denominated trading and cross-border liquidity connections via the NSE IX-SGX Connect.
Infrastructure & Technology
As a pure-play financial market infrastructure institution (MII), NSE's core assets consist of primary, secondary, and disaster recovery data centers located in Mumbai and GIFT City. These host high-frequency electronic trading engines and co-location rack suites. The systems are architected for massive transaction throughput, processing tens of billions of order messages daily with sub-millisecond latency while maintaining an operational platform uptime exceeding 99.99%.
Technology R&D is anchored by in-house engineering and subsidiary units, including NSE IT and NSE Data & Analytics. The organization continuously invests in high-throughput matching algorithms, cybersecurity, real-time risk-management engines, and cloud-native database architectures. In addition to cash equity and equity derivatives (Nifty 50, Bank Nifty), NSE provides trading platforms for currency derivatives, commodity derivatives, interest rate futures, corporate bonds, sovereign gold bonds, and social stock exchanges, backed by an advanced clearing guarantee fund (Core SGF) exceeding ₹10,000 Cr.
As per financial performance, National Stock Exchange of India Limited has posted total income / net profits of Rs 16,352.06 Cr / Rs 8,305.66 Cr (FY24), Rs 19,176.83 Cr / Rs 12,187.94 Cr (FY25) and Rs 18,713.37 Cr / Rs 10,302.06 Cr (FY26). So as per previous financials data, the company has shown strong top-line and net profit compound growth with an operating EBITDA margin exceeding 75%, while maintaining a zero-debt balance sheet status. Company has an average EPS of Rs 42.82 and average RoNW of 37.92% for the last three fiscals. Based on the pre-issue book value, the issue is priced at a Pre-Issue P/BV of 13.76 as per NAV of Rs 129.75 as on 31.03.26. Factoring in the fresh issue proceeds, the Post-Issue P/BV stands at 13.76. If we attribute the latest earnings of FY24, FY25, and FY26 to the expanded equity base post-issue, then the asking price is at a Post-Issue P/E of around 53.19, 36.25, and 42.89 respectively. As per RHP, a comparison between listed peers shows that BSE Limited trades at a Post-Issue P/E of 54.28x with a RoNW of 45.00%, placing the company's valuation at a noticeable discount despite NSE holding a dominant 93%+ market share in cash and >99% in equity derivatives.
On BRLM's front, Kotak Mahindra Capital Company Limited, JM Financial Limited, Morgan Stanley India Company Private Limited, Citigroup Global Markets India Private Limited, Axis Capital Limited, and ICICI Securities Limited are associated with this IPO, and MUFG Intime India Private Limited has handled 86 IPOs in the last three fiscal years. (as on 11.09.26)
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