Groww's share price on Friday (November 21) staged a sharp recovery, bouncing back more than 7% after two days of heavy selloff. The rebound came hours ahead of the company's Q2 results, with traders closely watching whether the numbers can stabilise sentiment after a volatile trading stretch.

The stock, which had surged nearly 94% in its early sessions, has since corrected over 18%, mirroring the sharp swings seen across newly listed brokerage counters.

Investors Focus on Guidance Amid Sector-Wide Pressures

Market experts say the high volatility is likely to persist, with investors now turning their attention to the company's performance and management commentary.

Prashanth Tapse, Senior Vice President and Research Analyst at Mehta Equities, noted that Q2 FY26 has been challenging for most players in the Indian brokerage space. Slower trading activity, reduced derivatives participation following regulatory changes, and a decline in speculative trading have dented industry-wide revenue growth.

According to Tapse, rising competition remains a long-standing issue. The traditional divide between discount and full-service brokers is fading, intensifying the battle for active traders.“This raises the risk of pricing pressure and forces firms to increase spending on customer acquisition and engagement, which hits short-term margins,” he said.

'Groww Better Placed Than Peers,' Say Analysts

Despite the sectoral headwinds, Groww may still hold an advantage, Tapse pointed out. The company is expected to post stable to modest revenue growth in Q2, supported by its large user base and increased cross-selling opportunities.

Margins, he added, are likely to remain steady, with a potential slight uptick due to operating leverage. However, the long-term outlook will depend on how effectively Groww scales its newer verticals such as wealth management, AMC operations, and margin trading facilities (MTF).

How Groww Stacks Up Against Peers

Groww currently leads the industry with 12 million active clients. Zerodha follows with 7 million, while Angel One has 6.85 million active users. Motilal Oswal, meanwhile, has roughly 930,000 active users.

In terms of growth momentum, Groww also holds the edge with a three-year revenue CAGR of 125%, compared with the 32% CAGR reported by both Zerodha and Angel One.

Groww Share Price Today

On Friday, Groww opened at Rs 156.47 on the BSE. The stock climbed to an intraday high of Rs 166.55 before slipping to a low of Rs 156.14.

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