NSDL hits new low, down 8% vs IPO; CDSL up 748%; analysts decode divergence

NSDL hit a new lifetime low on Friday; the stock shed 7% in FY27 and was down 48% from its peak. CDSL gained 13% so far this fiscal but has declined 38% from its December 2024 summit.

Disclaimer: Views and outlook in this report belong to the brokerages and analysts cited. They do not reflect the views of Business Standard. Readers are advised to exercise discretion. Shares of CDSL (Central Depository Services Limited) and NSDL (National Securities Depository Limited) have witnessed a divergent trend in the equity market thus far in the financial year 2026-27. CDSL stock has rallied 13 per cent so far in FY27, while NSDL declined 7 per cent. In comparison, the BSE Sensex and the NSE Nifty were up 0.6 per cent and 0.8 per cent, respectively, in the same period. CDSL and NSDL are the central securities depositories regulated by the market regulator Securities and Exchange Board of India (Sebi) in India. CDSL is listed on the National Stock Exchange (NSE), and NSDL trades on the BSE. On Friday, NSDL hit a fresh lifetime low at ₹734.50 on the BSE, while CDSL advanced 0.5 per cent to ₹1,264 in a firm market. 

CSDL, NSDL journey on the stock exchanges

 Amid the recent price divergence, NSDL share price is now quoted below its IPO price. The company issued shares at ₹800 last year. Post listing in August 2025, NSDL stock surged to a high of ₹1,425 - delivering a solid 78 per cent appreciation within four days of its debut on the BSE. However, the journey thereafter has been downhill for the stock. NSDL now trades 48.5 per cent below its record high price and is down 8 per cent compared to its IPO price. 

 In contrast, CDSL completed more than 9 years on the NSE. The company issued shares at ₹149 apiece, and listed at ₹128.71 - a 13.6 per cent discount to the IPO price in June 2017. The stock gained momentum in the post Covid-19 market rally and zoomed to its summit at ₹1,973.88 in December 2025 - up 1,225 per cent or over 13-fold from the issue price. At current levels, the stock has declined 38 per cent from its summit but still trades at 748 per cent gain compared to its IPO price. Sunny Agrawal, Head – Fundamental Research at SBI Securities points out that the stark divergence between NSDL and CDSL since IPO is majorly due to euphoria around the Capital Markets theme moderating in the last two years, resulting in valuation de-rating. Additionally, the analyst flags that the pace of demat account additions moderated considerably over the past two years primarily due to flat returns, market volatility and base effect. Average monthly new demat account additions declined to 27.1 lakh in CY26 from a peak of 38.4 lakh in CY24, he added. Further, CDSL's strong relationship with retail brokers, helps translate into strong growth and market share (~80 per cent in CY26) against NSDL, says Agrawal. 

Technical view on CDSL, NSDL

 Given the fall from its peak, Sudeep Shah, Head-Technical & Derivatives Research at SBI Securities flags that CDSL stock is currently in downtrend and is likely to remain bearish as long as it trades below the ₹1,300-1,290 zone. "CDSL recently broke below its major swing low zone of ₹1,300–1,290 on the daily chart and drifted lower thereafter. The Directional Index (DI-) is placed well above DI+ on the Average Directional Indicator (ADX), indicating strong bearish control," explains Shah. Hitesh Tailor, Technical Research Analyst at Choice Broking highlights that NSDL is in a persistent downtrend, trading well below all key Exponential Moving Averages (20-day, 50-day, and 100-day EMAs). Tailor also notes that the trading volume at the NSLD counter has steadily dried up during this decline, reflecting a lack of institutional buying interest and weak demand at current levels. "The stock trades in oversold conditions, with no visible signs of bullish divergence or reversal yet. Immediate resistance is seen at ₹790–820 zone aligned with short-term moving averages, while key downside support rests around the ₹700 psychological level," explains Tailor.