Groww share price rebounds after 2-day selloff, jumps over 7% ahead of Q2 results today

Groww share price on Friday rebounded after experiencing two consecutive days of sell-offs. Groww share price surged more than 7% ahead of its Q2 results today. It has experienced significant volatility, rising almost 94% during its initial trading sessions before subsequently declining over 18%.

With volatility remaining high, investors are concentrating on the results and the management’s outlook, which will influence sentiment for the upcoming quarters, as stated by experts.

Prashanth Tapse, Senior Vice President and Research Analyst at Mehta Equities, mentioned that an analysis of Q2 FY26 earnings across the Indian brokerage sector reveals widespread challenges, mainly due to decreasing trading volumes and a reduction in derivatives trading following regulatory changes. As speculative trading declines, most firms have experienced a slowdown in revenue growth.

Tapse noted that competitive pressure continues to be a long-standing issue. The distinction between discount and traditional brokers is becoming less clear, and the competition for quality, active traders is escalating. This situation heightens the risk of pricing pressures while simultaneously compelling firms to increase their spending on customer acquisition and engagement, which further impacts short-term profit margins, according to Prashanth.

“Within this context, Groww may still be relatively better placed. The company could deliver stable to modest revenue growth in Q2, aided by its large user base and improving cross-sell traction. Margins are likely to remain broadly stable, with a slight improvement possible due to operating leverage as scale builds out. However, the sustainability of this trajectory will depend heavily on how effectively the platform executes on newer businesses such as wealth, AMC, and MTF,” said Prashanth Tapse.

Peer Comparison

As per reports, Groww boasts the most active clients at 12 million, while Zerodha and Angel One are not far behind with 7 million and 6.85 million, respectively. Motilal Oswal has 930,000 active users. Additionally, Groww achieves a three-year revenue CAGR of 125%, surpassing the 32% three-year CAGR recorded by Zerodha and Angel One.

Groww share price today

Groww share price today opened at ₹156.47 apiece on the BSE, the stock touched an intraday high of ₹166.55 per share, and an intraday low of ₹156.14 apiece.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.