Morgan Stanley has maintained its underweight call on Multi Commodity Exchange of India (MCX) with a target price of ₹5,860 per share, suggesting caution despite recent trading activity strength. The brokerage said Q2 profit after tax was in line with estimates, while core EBITDA also matched expectations despite 2% lower costs.
Morgan Stanley noted that the exchange faced a technical issue on October 28 but has since identified the root cause and implemented corrective measures to prevent recurrence. The report highlighted that average daily turnover (ADTR) in October spiked sharply to ₹9.5 crore but moderated to ₹8 crore over the past 10 days. It added that if the higher ADTR levels sustain, they could pose an upside risk to current EPS forecasts.
At the time of the report, MCX shares were trading at ₹9,233 on the exchange.
Disclaimer: The views and target price mentioned are those of the brokerage firm (Morgan Stanley). This article is based solely on the provided inputs and is intended for informational purposes only. No investment advice.
