Groww Stock: Motilal Oswal has given a BUY rating to Groww stock. The company has rapidly grown to become India's largest retail broking platform in just four years. A target price of ₹260 suggests a potential return of 67%.
Groww Stock: Groww, an online investment platform in the Indian stock market, has recently been the subject of discussion in a report by brokerage firm Motilal Oswal. The first trading session of the week saw domestic markets open with caution and close in the red due to weakness in IT stocks. The market remained under pressure following profit-taking after reaching record levels. In this environment, Motilal Oswal gave a bullish outlook on Groww and initiated coverage with a BUY rating on the stock.
Groww Achieved Records in Four Years
According to the brokerage, Groww has rapidly grown to become India's largest retail broking platform based on the number of active customers, within just four years of its launch. In November 2025, the company's market share was 26.8 percent, which is 9 percent higher than the second-largest platform. Groww is now not limited to just broking, but has become a full-stack investment platform spanning multiple sectors such as broking, commodities, and wealth management.
Motilal Oswal's Target of ₹260
Motilal Oswal has set a target price of ₹260 for Groww shares in a bull case scenario. Based on this, a potential return of up to 67 percent is possible on the stock at the current level of ₹155.15. In a base case scenario, the stock's target has been set at ₹185. The brokerage report also stated that Groww is creating new growth options, which will increase the company's revenue streams and improve the quality of earnings.
Potential Shift in Revenue from Broking
According to the brokerage, Groww's total revenue contribution from the broking segment could decrease from the current 85 percent to 67 percent by fiscal year 2028. The main reasons for this are the rapid growth of the company's MTF (Margin Trading Facility), the expansion of commodity trading, and entry into wealth management. This will increase stability and diversification in Groww's revenue and reduce dependence on volatile segments like broking.
Groww's IPO and Listing Performance
Groww's IPO shares were listed on the BSE at ₹114. This was ₹14 or approximately 14 percent higher than the upper end of the IPO price band of ₹100. On the NSE, the shares were also listed at ₹112, which was a premium of ₹12 or 12 percent over the issue price. The listing premium was higher than the grey market estimates. Prior to the listing, Groww's non-listed shares were trading at ₹105, which was 5 percent higher than the issue price. This indicates that there was enthusiasm among investors for the stock at the time of the IPO.
Signals for Investors
Motilal Oswal's BUY rating and ₹260 target price for Groww stock are encouraging for investors. The company has established records in active customers and market share in just four years. It has become a full-stack investment platform and is improving the quality of its revenue with expansion into broking, commodities, and wealth management.
Short-term investors need to pay attention to the volatility in the stock. Long-term investors can rely on the company's b growth, market share, and fundamentals. Given the potential returns and the company's expansion, this stock will remain on the radar of many investors.
Financial and Strategic Advantages
Groww's focus is on expanding into new products and segments. This will improve the company's revenue model. The increasing share of MTF and commodity trading, entry into wealth management, and reduced dependence on broking are positive signals for investors in the long term. The b start of the stock after listing from the IPO has also been helpful.
