The corporate’s property below administration crossed the Rs 5 lakh crore mark, reaching Rs 5.09 lakh crore on the finish of March 2026, up from Rs 4.16 lakh crore a 12 months earlier, reflecting a 22% improve. AUM grew by Rs 25,498 crore through the quarter.
Enterprise momentum remained robust, supported by regular buyer additions and mortgage progress. Bajaj Finance booked 12.89 million new loans in This autumn, a 20% rise from 10.7 million within the year-ago interval. Its buyer base expanded 17% YoY to 119.33 million, together with 3.93 million additions through the quarter.
Asset high quality held regular, with gross non-performing property at 1.01% and web NPA at 0.41% as of March-end. These examine with 0.96% and 0.44% respectively within the earlier 12 months. Provision protection on stage 3 property stood at 60%.
Mortgage losses and provisions declined to Rs 2,008 crore from Rs 2,167 crore a 12 months earlier. The annualised credit score value improved to 1.65% from 2.17%, indicating higher collections and portfolio efficiency.
The corporate continued to take care of a powerful capital place, with a capital adequacy ratio of 21.55%, together with Tier-I capital at 20.67%, leaving enough space to help future progress.
What are analysts saying?
Jefferies has maintained its ‘Purchase’ ranking on Bajaj Finance with a goal worth of Rs 1,210, implying a possible upside of 30%. The brokerage has marginally tweaked its estimates following the outcomes, factoring in barely increased working bills as a result of investments in gold mortgage distribution.
Over FY26-29, it expects mortgage progress at a CAGR of 23%, with some moderation in NIMs and credit score prices, translating right into a revenue CAGR of round 20%.
On administration, Jefferies famous that readability on succession is anticipated subsequent 12 months. On the board stage, Rajiv Bajaj, brother of Sanjiv Bajaj, is ready to retire upon completion of his time period, although the brokerage doesn’t see this as a priority. It added that Bajaj Finance continues to stay one of many strongest platforms within the sector and retains the inventory amongst its prime picks.
Morgan Stanley has maintained its obese ranking on Bajaj Finance, whereas elevating the goal worth to Rs 1,120 from Rs 1,090 earlier, an upside of 20% from present ranges. The brokerage highlighted that adjusted PBT grew 26% YoY and got here in forward of estimates. It additionally famous a pointy enchancment in credit score prices, supported by decrease dangerous mortgage formation.
Administration has guided for AUM progress of 22-24% for FY27, together with a web credit score value outlook of 145-160 foundation factors. On valuations, the inventory is seen buying and selling at 22x FY28E price-to-earnings and 4.3x price-to-book.
JM Monetary has reiterated its Purchase ranking on Bajaj Finance with a goal worth of Rs 1,080, implying a possible upside of 16%.
The brokerage stays constructive on the corporate’s outlook, citing its robust franchise scale and sustained AUM progress of over 20%. It additionally highlighted sector-leading return ratios, with superior RoA and RoE supporting earnings visibility. JM Monetary famous {that a} structurally decrease credit score value steerage, together with a rising share of secured lending, additional strengthens the corporate’s medium-term outlook.
As well as, continued features from AI-led working efficiencies and sturdy provisioning buffers are anticipated to boost resilience and drive constant compounding over time.
(Disclaimer: Suggestions, solutions, views and opinions given by the consultants are their very own. These don’t characterize the views of The Financial Instances)
