BSE shares need to rally over 40% to earn Nifty50 seat: Nuvama

Amid speculation that BSE could be included in the Nifty50 in the upcoming reshuffle due in September, domestic brokerage firm Nuvama on Thursday said it is a "zero probability" event.

However, that could change if NSE Indices revises its index construction methodology or if BSE shares witness a sharp rally of at least 40% soon and sustain it through the end of July.

“Based on our thorough review of the current index methodology, we rule out any possibility of BSE making it to the Nifty50 — at least in the September 2025 review,” Nuvama Alternative & Quantitative Research said in a note.


“We’ve gone through the methodology document in detail, and our understanding suggests that BSE fails to meet several key eligibility criteria. In fact, we believe there’s almost no chance of BSE even making it to the Nifty Next 50 in the September 2025 review.”

Under the current methodology, the cut-off date for the review is July 31, while the official announcement will be made in late August, with changes taking effect by the end of September.

Earlier reports indicated that BSE is likely to meet all eligibility norms — including listing and trading requirements — despite being listed only on the National Stock Exchange (NSE). Inclusion in the Nifty50 is typically based on criteria such as average free-float market capitalisation and liquidity thresholds.

Meanwhile, the brokerage added that crisis-ridden IndusInd Bank and two-wheeler major Hero MotoCorp may be excluded from the Nifty50 to make way for IndiGo and Max Healthcare.

“IndiGo has already seen substantial positive price action, reflecting market expectations. On the other hand, Max Healthcare appears under-owned on this theme and could see more buying interest. We estimate that Max Health’s inclusion would imply passive buying of over $400 million (approximately 12 days of average daily volume),” the brokerage said

Also Read | BSE, IndiGo likely to replace IndusInd Bank, Hero MotoCorp making way in Nifty50 index