Buy Multi Commodity Exchange; target of Rs 1700: ICICI Direct

ICICI Direct's research report on Multi Commodity Exchange

MCX is the leader in commodity derivatives exchanges in India with ~96.8% market share in terms of commodity futures turnover. It has ~100% market share in precious metals, base metals and energy • Presence in various commodities offers healthy diversification.

Outlook

Being a market leader in commodities exchange and a beneficiary of increase in option volume, we maintain our BUY rating on the stock. We value MCX at ~33x core FY24E EPS and net cash and maintain our target price at Rs 1700.