Angel One share price jumps over 6% after January business update | Stock Market News

Shares of Angel One, a leading retail full-service brokerage firm in India, surged 6.2% in early trade on February 5, reaching ₹2,496.85, following the release of its January business update.

According to the company’s filing with the BSE, Angel One added 0.61 million clients during January, marking a 2.1% month-on-month (MoM) increase and a 47.5% year-on-year (YoY) rise. The firm’s total client base stood at 30.13 million at the end of the month.

However, gross client acquisition in January 2025 declined by 15.4% MoM and 36% YoY. The release also showed a mixed trend in turnover. The overall notional turnover increased 6.2% MoM but dropped 29.8% YoY. Futures & options (F&O) turnover followed a similar trend, rising 6.3% MoM while falling 30.6% YoY. Meanwhile, F&O options premium turnover edged up 1.6% MoM and 28.3% YoY.

The rise in client acquisition could be attributed to the higher number of trading days in January (23 sessions) compared to December (21 sessions).

In terms of transactions, Angel One processed 125.96 million orders during the month, reflecting a 5.4% MoM increase but a 24.3% YoY decline. Its average daily turnover (ADTO) stood at ₹30,824 billion, up 6.2% MoM but down 29.8% YoY.

Q3 earnings snapshot

The company reported an 8.1% growth in consolidated net profit at ₹281.4 crore for the December quarter, compared to ₹260.4 crore in the same period last year. However, this marked the smallest quarterly profit increase since its listing in 2020, as tighter regulations in the derivatives segment weighed on its performance.

Sequentially, net profit declined significantly from ₹423 crore in the September quarter. Revenue from operations rose 19.2% YoY to ₹1,262.2 crore in Q3FY25, compared to ₹1,059 crore in the same period last year.

In October, the Securities and Exchange Board of India (SEBI) announced tighter rules for equity derivatives, raising the entry barrier and increasing trading costs in the segment. Authorities had expressed concerns over the unchecked rise in retail investor activity in derivatives trading.

To offset the impact of tighter regulations, the company increased brokerage charges during the quarter, including those on options and futures trading.

Stock down 30% from recent highs

The shares have rebounded 13% in the last seven trading sessions but are still trading at a 30% discount from their December high of ₹3,503 apiece. The stock ended CY24 with a negative return of 16%.

Despite the steep correction, the stock has delivered a multibagger return of 661% over the past five years.

Disclaimer: The views and recommendations given in this article are those of individual analysts. These do not represent the views of Mint. We advise investors to check with certified experts before taking any investment decisions.