JM Financial says India's Groww too expensive for broking business, initiates with 'sell'

JM Financial Services initiates coverage on Groww BILO.NS with "sell" rating and PT of 144 rupees

Says the stock is "too expensive for a broking business"; BILO up 72.5% from its issue price of 100 rupees since listing last month

BILO rises as much as 7.2% to 172.5 rupees on Monday, extending gains from Friday after Jefferies said its growth mirrors that of Robinhood

JM Financial says Groww's broking orders fell 29% over two quarters in FY25 following regulatory curb on derivatives trade

Calls it a huge tail risk for BILO's business model, which has also been an issue for its peer Angel One ANGO.NS