Shares of BSE Ltd gained around 1.5% on August 10 after brokerage Nuvama said the stock exchange operator is likely to replace Wipro Ltd in the Nifty 50 index during the September 2026 rebalance. The brokerage expects the changes to be announced after market hours on August 10, with the final adjustments scheduled for September 30, 2026.

According to Nuvama, BSE is moving from the Nifty Midcap 150 to the Nifty 100, while its significantly higher free-float market capitalisation makes it a strong candidate for inclusion in the Nifty 50 under the current index methodology.

The potential inclusion is expected to generate substantial passive fund flows into BSE. Nuvama estimates inflows of approximately $741 million into BSE, while Wipro could see outflows of around $246 million following its expected exclusion from the benchmark index.

Nuvama also identified TVS Motor as a possible replacement candidate for Wipro if the NSE Indices Committee introduces changes to the Nifty 50 methodology. However, under the existing methodology, the brokerage believes BSE satisfies the key eligibility criteria for inclusion.

BSE shares were trading around 1.4% higher at Rs 3,502.90 apiece during the morning session on August 10.

The broader index reshuffle could affect several other stocks across NSE indices. Wipro, Vedanta Aluminium, Hitachi Energy India, Vodafone Idea, Polycab India and Bharat Heavy Electricals are among the stocks identified as potential inclusions in the Nifty Next 50. Possible exclusions include Indian Hotels, REC Ltd, United Spirits, Shree Cement, Lodha Developers and Mazagon Dock Shipbuilders.

Nuvama also highlighted the potential inclusion of real estate investment trusts following SEBI's framework allowing REITs to be eligible for inclusion in Nifty equity indices. Embassy Office Parks REIT could be considered for inclusion in the Nifty Midcap 150, while Brookfield India REIT could enter the Nifty Smallcap 250.

At the Nifty 500 level, potential entrants include Vedanta Aluminium, Cupid, Embassy REIT and TD Power Systems, while BBTC, Blue Dart Express and SBFC Finance could face exclusion.

Further changes are possible across the small-cap indices. Jubilant FoodWorks, Tata Elxsi, Exide Industries, LIC Housing Finance and KIMS are among the potential entrants across the Nifty Smallcap 250, Nifty Smallcap 100 and Nifty Smallcap 50. Piramal Finance, Poonawalla Fincorp and Aster DM Healthcare could face exclusions from multiple small-cap baskets.

Nuvama cautioned that its projections remain subject to two key risks. These include any changes to the index rebalancing methodology by NSE Indices and significant changes in the free-float factors of stocks before the relevant cut-off date.