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NSE IPO Opens: Lower P/E Than BSE but Earnings Tied to Trade Volumes

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The National Stock Exchange (NSE) has launched its initial public offering, giving investors a chance to buy into India's dominant stock exchange. NSE is well-placed to benefit from growing retail participation in Indian capital markets. However, the exchange's earnings remain heavily dependent on transaction volumes, posing a risk to revenue stability. NSE's post-issue price-earnings multiple stands at 42.9, which is lower than rival BSE's P/E of 53, despite NSE holding a stronger market position.

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