Groww share price surges 13% as Jefferies initiates 'Buy' for 25% upside

Groww's parent Billionbrains Garage Ventures share price jumped to a three-week high on Friday. The stock price surged as Jefferies started coverage with a 'Buy' rating

Groww share price today: Groww’s parent Billionbrains Garage Ventures share price surged nearly 13 percent and extended gains to a second session on Friday. The stock price advanced 12.85 per cent to ₹162.63 apiece, the highest level since November 28.

 

Billionbrains Garage Ventures share price was trading 10.19 per cent higher at ₹158.98 apiece as of 12:05 p.m., compared to the 0.47 per cent advance in the Nifty 50 index.

 

So far on Friday, Groww 6.02 million shares changed hands on BSE compared to the two-week average volume of 3.26 million shares. The market-cap of Billionbrains Garage Ventures stood at ₹98,005.85 crore as of 12:09 p.m. 

 

Why did Groww share price rise today?

 

Groww share price surged on Friday as a global brokerage initiated coverage on the newly-listed stock with a positive view on its business outlook. Jefferies began coverage on Groww with a ‘Buy’ rating and a target price of ₹180, which indicated that the stock has an upside potential of 25 per cent, according to media reports

 

Jefferies expressed optimism about the growth potential of Groww’s parent Billionbrains Garage Ventures. Impressed by its massive growth in a short period of time, the brokerage compared Groww with Robinhood, an American trading application which makes trading easy and accessible, media reports said.  Groww will likely record earnings per share (EPS) of 35 per cent from the financial year 2026 to the financial year 2028 as it has multiple growth levers, according to Jefferies. IT will be a function of 19 per cent growth in broking business because of client business and market-share gain, five times growth in new initiatives like margin trading facility and wealth management, and 700-basis-point margin expansion.  

Groww reported higher margin expansion compared to Robinhood and Angel one. Its Earnings Before Interest, Taxes, Depreciation, and Amortization (Ebitda) rose to 59 per cent in the financial year 2025 from 23 per cent in 2023, Jefferies said. However, in the current financial year a cool off in the margin expansion is expected because of the lower broking revenue.

 

The global brokerage values the stock a premium to its peers like Angel One, considering former’s higher growth, better margins, and less exposure to in the futures and options (F&O) segment.

 

Billionbrains Garage Ventures operated Groww has posted a massive growth since its launch in 2018 as it has developed a user-friendly interface and focused on reaching the youth.  

 

Groww is now a full-stack digital investment platform which provides services across stocks, mutual funds, derivatives, and loans. The company serves 98 per cent of Indian pin codes, operates 37 million demat accounts, and oversees ₹2.6 lakh crore in asset under management (AUM) through subsidiaries in broking, lending, and asset management spaces. 

 

Billionbrains Garage Ventures listed on the stock exchanges on November 12. The stock debuted at ₹114 apiece, which was 14 per cent premium over its issue price of ₹100 per share. 

 

Groww’s initial public offer saw a huge demand from investors. On the final day of the subscription, the IPO was subscribed 17.60 times. 

 

ALSO READ: Groww surges after Q2 PAT climbs 12% YoY to Rs 471 cr

 

Billionbrains Garage Ventures reported that its consolidated net profit advanced 12.18 per cent to ₹471.33 on the year during the second quarter of the current financial year. Meanwhile, its revenue declined 9.8% on the year to ₹1,018.74 crore during the same period.