DINESH

National Securities Depository (NSDL)

Latest CMP 812
Today's Change ▼ -0.06%
52-Week High / Low 1,340 | 791
Price Date: 14-Aug-2026
Recommendation Strong Buy
Target Price 1,269
Expected Upside 25.0%
Forecast Horizon 2 Years
Historical CAGR Not Available
1,000 Invested
Today's Value
Investment Period < 5 Years

Stock Snapshot

Post Results Return
-1.9%
Neutral Market Reaction
1-Year Target Price
1,049
2-Year Target Price
1,269
52-Week High / Low
1,340 / 791
20-Day Return
-2.0%
Market Cap (Cr.)
16,248
Current PE
41.0
P/BV Ratio
6.9
Dividend Yield
0.1%
Industry PE
27.7

Price Performance

Basis of our Recommendation

NSDL's recent operational momentum, particularly in account acquisition and banking services, underscores its competitive positioning within the capital markets sector. Management's focus on expanding its depository network and leveraging technology initiatives like SWAGAT-FI is expected to drive revenue growth, despite ongoing margin pressures from rising operational costs and regulatory fee reductions. Vista's financial outlook anticipates accelerating revenue growth, supported by NSDL's strategic pivot towards recurring revenue streams, which enhances stability. However, the company faces headwinds from increased employee expenses and the volatility of transaction-based revenues. The capital markets industry is currently in a favorable growth phase, bolstered by regulatory reforms and improving pricing power, which should benefit NSDL's long-term growth trajectory. Over the next 12-24 months, key opportunities include deepening market penetration and capitalizing on an expected uptick in IPO activity, while watchpoints include managing rising operational costs and potential regulatory changes affecting pricing structures

👍 Why We Like This Stock

  • Strong growth in banking services, contributing significantly to revenue mix
  • Strategic initiatives like SWAGAT-FI are enhancing market share and account acquisition
  • Recurring revenue model provides stability amid volatile transaction-based revenues

Things To Watch Out For

  • Rising operational expenses and employee costs are pressuring margins
  • Volatility in non-recurring revenue streams poses risks to revenue stability
  • Potential regulatory changes could impact pricing structures and profitability

Key Parameters

Balance Sheet Strength
Conservatively Financed
Market Share
Stable
Industry Outlook
Improving
Analyst View
Hold
Dividend History
Consistent
FII Holdings
Reducing

Financial Snapshot

Actuals Forecast
FY24 FY25 FY26 FY27 FY28
Revenue (Cr.) 1,022 1,268 1,420 2,246 2,681
Profit Before Tax (Cr.) 338 433 506 619 794
PBT Margin 33.1% 34.1% 3563.4% 27.6% 29.6%
Net Profit (Cr.) 261 333 401 490 628
Earnings Per Share 13.1 16.7 20.0 24.5 31.4

Analyst Recommendations

Broker Recommendation Target Price Date
Axis Securities ► Hold 1,000 16-Apr-2026
ICICI Securities ► Hold 840 06-Aug-2026
Motilal Oswal ► Neutral 930 03-Aug-2026
Consensus Recommendation ► Hold
Consensus Target 885
Coverage 3 Analysts
Analysts' Viewpoint
NSDL is capitalizing on its strong market position by expanding its depository participant network and fintech partnerships, which has led to increased market share in demat accounts. The company's banking services segment has shown significant growth, contributing to a diversified revenue mix. However, high operating expenses, driven by recent technology and cybersecurity hires, and regulatory pricing pressures on KYC services are compressing margins. Future growth catalysts include expected operating leverage benefits from technology investments and a potential uptick in IPO activity.

Company Overview

Show Company Profile

Nuveen New York Quality Municipal Income Fund is a closed ended fixed income mutual fund launched by Nuveen Investments, Inc. The fund is co-managed by Nuveen Fund Advisors LLC and Nuveen Asset Management, LLC. It invests in the fixed income markets of New York. The fund invests in municipal bonds, with a rating of Baa or higher. It employs fundamental analysis, with bottom-up stock picking approach, to create its portfolio. The fund benchmarks the performance of its portfolio against the Standard & Poor's New York Municipal Bond Index and Standard & Poor's National Municipal Bond Index. The fund was formerly known as Nuveen New York Dividend Advantage Municipal Fund. Nuveen New York Quality Municipal Income Fund was formed on May 26, 1999 and is domiciled in the United States.