Zomato, Paytm, Jio Financial among 55 stocks in focus as BSE revises circuit limits

Shares of Zomato, Paytm, Jio Financial, and 52 other companies will be in focus on Friday after the leading exchange, BSE, revised the circuit limits. Other major names include LIC, Adani Total, Angel One, DMart, Cyient, PB Fintech, Union Bank of India, IRB Infrastructure, Oil India, Indian Bank, and JSW Energy.

The price band limits have been adjusted to 10% for 46 stocks, including prominent names like Zomato, YES Bank, Varun Beverages, Tata Elxsi, Paytm, Oil India, Nykaa, and NCC. Additionally, four stocks will now have a 5% circuit limit, while five others will see their limits revised to 2%.

So far, BSE has had a daily price band mechanism — a maximum permissible limit within which the share price can move in a day. Listed securities are assigned a daily price band of either 20%, 10%, 5%, or 2%, based on pre-decided joint criteria.


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The new long-duration price band framework, which is in addition to the daily price band mechanism, will apply to stocks "exclusively" listed and traded on BSE equity trading platforms, including SME and SME ITP platforms.

Under the new framework, a security with a daily price band of 20% can move upward or downward by up to 60% a week. In a month, it can move by up to 100%. It can move up to 200% or 400% on a quarterly and yearly basis, respectively.

Similarly, a security with a daily price band of 10% can move 30% on a weekly basis, 60% on a monthly basis, 100% on a quarterly basis, and 200% annually. A stock assigned a daily price band of 5% would be allowed a 20% (weekly), 30% (monthly), 60% (quarterly), and 100% (annually) movement.

Those with a 2% band will have a 10% movement for the week, 20% for the month, 30% on a quarterly basis, and 50% annually.

The BSE, from time to time, revises its circuit limits for stocks as part of its risk management framework to curb excessive volatility.

Circuit limits, also known as price bands, are the maximum percentage a stock's price can move (up or down) during a single trading session. These limits are typically adjusted based on factors such as historical volatility, trading activity, and recent price movements of the stock.

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