CSK shares are traded on the unlisted market (OTC), not on NSE/BSE. That means it’s available on unlisted share platforms and comes with its own set of pros and cons. Since the IPL is going on, the interest in CSK shares will increase.
Reasons to Invest
- Brand Power & Fan Base
CSK is one of the most successful and recognized franchises in the IPL, with MS Dhoni as a longstanding icon. Brand loyalty can drive long-term merchandising and sponsorship value. - Consistent Performance
They’ve been regular playoff contenders and have won multiple IPL titles. This on-field success often reflects in strong commercial performance. - Profitability
CSK has been profitable for more than 5 years. They posted healthy revenues in recent years, especially post-COVID. Profit for FY24 was 201.5 crores, which has increased by 14 times as profit for FY23 was just 13.78 crores. Net profit margin increased from 4.5% in FY23 to 27.85% in FY24. - Revenue Revenue for the year ended March’24 was 723.28 crores which indicates an increase of 122% on 325.30 crores for the year ended March’23. Revenue sources include broadcasting rights, sponsorships, ticket sales, and merchandise.
- Strong Franchise Ecosystem
The value of IPL franchises has been growing rapidly. In 2022, some teams were valued at over $1 billion. CSK’s valuation has risen significantly. - Scarcity Appeal (Unlisted Shares)
Being an unlisted stock, CSK has a limited supply of shares, which can push up prices due to demand, especially during the IPL season.
Reasons not to Invest
- Unlisted Market Risks
Liquidity is low compared to listed shares. It may be hard to exit at the price you want. There’s also less regulatory oversight. - Volatility Around IPL Season
Share prices often spike before or during IPL, and drop afterward. Timing the entry/exit is tricky — prices may already be inflated due to current hype. - Limited Financial Disclosures
Since it’s unlisted, financials are not as transparent or regularly updated as listed companies. You may not get quarterly earnings or detailed reports easily. - Dependence on IPL Ecosystem
CSK’s financial success is heavily tied to IPL’s growth and BCCI’s decisions. A change in format, legal issues, or broadcasting deals could impact revenues. - No Dividends (So Far)
CSK doesn’t distribute profits as dividends — returns are typically expected from share price appreciation, not income.
