MCX share price extends rally to hit record high; UBS lifts target on near-term growth drivers, sees 25% more upside

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MCX share price continued its upward trend for the fourth consecutive session on Thursday and hit a 52-week high led by strong buying interest in the stock. MCX shares have rallied over 7% in the past one week. On Thursday, MCX shares gained as much as 2.43% to a record high of ₹2,447.40 apiece on the BSE.

However, there is more steam left and MCX shares may see 25% more upside over the next 12 months as the company has its near-term growth drivers in place, according to brokerage firm UBS. The brokerage maintained its ‘Buy’ rating on MCX shares and raised the target price to ₹3,000 from ₹2,100 earlier, implying an upside of over 25% from Wednesday’s closing price. Also Read: Sun Pharma share price rises as Q2 results surpass street estimates; here's why brokerages are bullish on the stock In October, the largest commodity bourse in the country MCX went live with its new commodity derivatives platform (CDP) after it received approval from Sebi's Technical Advisory Panel.

UBS noted that MCX’s operations have been smooth after the transition to a new platform. Volume at the exchange returned to normal levels with futures average daily value (ADV) at ₹220 billion and options ADV at ₹830 billion during 27-30 October. The brokerage pointed out several near- to medium-term drivers of volume growth for MCX.