NSE share price: Post-listing on Thursday last week, the NSE shares have been reeling under the selling pressure. The NSE share price made its debut on the BSE at ₹1800, delivering a premium of ₹15 to its share allottees. However, the NSE stock saw buying interest post-listing, leading to a sharp appreciation in its share price. However, after hitting an intraday high of ₹1,878 apiece on the NSE share listing date, the NSE shares came under the profit-booking pressure. Since then, the stock has remained an ideal ‘sell-on-rise’ stock on Dalal Street for the last four straight sessions. After listing, NSE was India’s 10th most valuable stock by market capitalisation, but it is now out of the top 10. It is currently ranked 12th on the list of India’s most valuable listed companies.
NSE slips out of top 10 most valuable company list
According to the information available on the BSE website, NSE is ranked 12th. Sun Pharmaceutical Industries and Hindustan Unilever Ltd are ranked just above NSE at the 11th and 10th spots, respectively. On the share listing date, NSE moved Hindustan Unilever Ltd up from the 10th spot, but continued wealth erosion prevented the newly listed stock from consolidating in the list of the top 10 most valuable Indian-listed companies.
NSE share price chart history
Post-listing at ₹1800 per share on the BSE last Thursday, the NSE share price steadily made new lows in subsequent sessions and decisively broke below its upper price band of ₹1785 on Monday. In early-morning deals on Tuesday, NSE shares tried to move above the IPO price, but profit-booking at higher levels prevented the stock from sustaining gains.
According to stock market experts, NSE shares may continue to face selling pressure due to weak trends in the Indian stock market. They said the outlook for the Indian stock market is weak, leading to a sell-off of NSE shares at higher levels. They said that NSE’s fundamentals are quite strong and advised NSE shareholders to hold the scrip, maintaining the stop-loss below ₹1760, its immediate support level. On a break below this support, the NSE share price may test the ₹1700 level.
NSE share price | support, resistance
Speaking on the technicals of NSE shares, Anuj Gupta, a SEBI-registered market expert, said, “The NSE share price has made an immediate support at ₹1760, whereas it is facing an immediate hurdle at ₹1795. A bullish or a bearish trend can be assumed on the breakage of either side of this range.”
The SEBI-registered expert said that the NSE share price may test the ₹1880 level once it closes above the ₹1795 resistance. Similarly, if the NSE share price slips below ₹1760, the NSE shares may test the lower price band of ₹1700 per share.
NSE share price outlook
Calling NSE a portfolio stock, Seema Srivastava, Senior Research Analyst at SMC Global Securities, said, “NSE is a proxy play to the Indian economy and the capital markets. As the outlook for both variables is positive, there is no harm in holding the NSE shares for the long term. One must keep in mind that NSE is not a trading stock; it’s a portfolio stock.”
NSE shares | Should you buy?
As NSE is a strong company from a fundamental perspective, is this fall in the NSE stocks an opportunity for bottom fishing?
Replying to this query, Seema Srivastava of SMC Global Securities said, “One can start accumulating NSE shares in a staggered manner. If someone is planning to add NSE shares to their stock portfolio, they should first allocate 40% of their surplus to NSE shares and wait to see the future course of action. They can buy some more shares, say, allocate 30% of the surplus amount to NSE shares at or above ₹1750, whichever comes first. Rest 30% can be allocated on the next breakout or breakdown in the NSE shares.”
This means one can allocate the surplus to NSE shares in a 40:30:30 ratio, since the stock is in a downtrend.
Suggesting fresh investors to maintain strict stop-loss, while adding NSE shares in one’s portfolio, Anuj Gupta said, “Fresh investors can either buy above ₹1800 or below ₹1750. If they buy below ₹1750, they should maintain a stop-loss below ₹1700. Similarly, if they buy above ₹1800, they are advised to maintain a stop-loss below ₹1760.”
Disclaimer: This story is for educational and informational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified financial experts before making any investment decisions.
