MCX shares downgraded; UBS says 'peak earnings momentum' likely behind

Shares of Multi Commodity Exchange of India Ltd. (MCX) will be in focus on Friday, May 29. The stock is down for a second straight session amid a cautious note from brokerage firm UBS.

Shares of MCX have declined in five of the last eight trading sessions.

UBS has downgraded the stock to ‘Neutral’ from its earlier rating, while raising the price target to ₹3,600 from ₹3,200.

The brokerage said the peak earnings momentum for MCX is likely behind, following elevated volatility across key commodities in recent months that had boosted trading volumes.

According to UBS, Q1FY27 volumes so far remain healthy, although they have normalised from the elevated levels seen during Q4FY26.

The brokerage also said it is not concerned about competitive pressures at this stage. However, it said that the stock is currently trading at nearly 50x one-year forward earnings, around 10% above its historical average valuation.

UBS believes the strong volume run-rate is already priced into the stock, leaving limited upside from current levels.

MCX did not have any promoter shareholding as of the March quarter. Mutual funds remain the largest public shareholders, collectively holding around 34% stake in the company.

According to Bloomberg data, 13 analysts currently track MCX, of which nine have a ‘Buy’ rating, four recommend ‘Hold’, and none have a ‘Sell’ rating on the stock.

Shares of MCX settled 4.45% lower at ₹3,159.80 on Wednesday. Despite the recent correction, the stock has rallied 44% so far in 2026.

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