Bajaj Finance Ltd (BAJFINANCE)

Financial Services · Finance · NSE · Updated 1 September 2026
By StockFin Research Team AI-Assisted Analysis Source: BSE/NSE Filings
₹1,077 ↑ 22.69% (1Y)

🎯 Key Takeaways

  • Bajaj Finance is in a growth phase driven by expanding consumer lending and disciplined capital deployment, evidenced by consistent revenue and profit growth. Management is actively raising long-term capital via secured NCDs to fund future expansion without equity dilution, while maintaining strong profitability metrics.
  • Revenue grew 7.2% QoQ to ₹23,165 in Q1FY27.
  • ⚠️ Leadership transition in key lending segments (Cars, Two-Wheeler & Sales Finance) could disrupt growth execution.
Market Cap
₹6.71 L Cr
P/E Ratio
33.0
P/B Ratio
5.88
ROE
18.1%
ROCE
10.4%
Debt/Equity
3.82
Div Yield
0.56%
Promoter
54.7%

📖 The Story

Bajaj Finance is in a growth phase driven by expanding consumer lending and disciplined capital deployment, evidenced by consistent revenue and profit growth. Management is actively raising long-term capital via secured NCDs to fund future expansion without equity dilution, while maintaining strong profitability metrics. The company remains a high-margin financial services player with a focus on asset quality and portfolio diversification.

📰 What's Happening

In August 2026, Bajaj Finance raised Rs. 5,000 crore through the allotment of 500,000 secured NCDs with an 8.15% coupon and 2036 maturity, backed by a pari-passu charge on book debts. This follows an earlier Rs. 498.22 crore NCD issuance in August 2026 at 7.79%. These moves reflect a strategic shift toward long-term, fixed-cost funding to support growth in its core lending segments. Additionally, the resignation of President Amit Raghuvanshi on 11 August 2026 introduces leadership uncertainty in key growth verticals like vehicle finance and sales finance, potentially impacting execution of expansion plans.

Source: Stock Announcements

📊 Quarterly Results (₹ Cr)

MetricJun 2025Sep 2025Dec 2025Mar 2026Jun 2026
Revenue19,52420,17921,01321,60623,165
Operating Profit6,3636,6035,6937,3998,143
OPM %32.6%32.7%27.1%34.3%35.1%
Net Profit4,7654,9484,0665,5536,081
EPS₹7.56₹7.85₹6.40₹8.79₹9.62

Operating performance has shown steady improvement, with revenue rising from Rs. 19,524 crore in Q1 FY25 to Rs. 23,165 crore in Q1 FY26, and operating profit expanding from Rs. 6,363 crore to Rs. 8,143 crore over the same period. Operating margins have remained stable around 34-35%, indicating effective cost management amid growth. Net profit and EPS have grown consistently, rising from Rs. 4,765 crore and Rs. 7.56 in Q1 FY25 to Rs. 6,081 crore and Rs. 9.62 in Q1 FY26, reflecting strong top-line momentum and efficient capital utilization.

🔮 Management Outlook & What's Next

Management has not provided explicit forward guidance in the latest filings beyond the NCD issuance details and operational performance updates. However, the repeated use of private placements to raise long-term capital suggests confidence in future cash flow generation and a strategic preference for debt over equity financing. The absence of formal guidance on growth targets or margins implies reliance on operational execution rather than public projections.

Extracted from official company announcements. Not StockFin.ai's opinion.

🏦 Balance Sheet (₹ Cr)

ItemMar 2025Mar 2025Mar 2026Mar 2026
Equity Capital124124622622
Reserves86,67996,5691.03 L Cr1.13 L Cr
Borrowings3.24 L Cr3.61 L Cr3.97 L Cr4.35 L Cr
Total Liabilities4.21 L Cr4.66 L Cr5.10 L Cr5.60 L Cr
Fixed Assets2,4392,6892,6654,004
Investments31,03634,44133,75130,578
Total Assets4.21 L Cr4.66 L Cr5.10 L Cr5.60 L Cr

The balance sheet shows a significant rise in borrowings, increasing from Rs. 3.61 lakh crore in March 2025 to Rs. 4.35 lakh crore in March 2026, primarily driven by the NCD issuances. This reflects an aggressive capital deployment strategy to fund expansion. Despite higher debt, equity remains stable at around Rs. 622 crore, with reserves growing from Rs. 96,569 crore to Rs. 1.13 lakh crore, indicating retained earnings are being used to absorb leverage without diluting shareholders.

💰 Cash Flow Statement (₹ Cr)

ItemMar 2026
Operating-65,790
Investing-3,389
Financing+67,433
Net Cash Flow-1,746

👥 Shareholding Pattern

CategoryQ2FY25Q3FY25Q4FY25Q1FY26Q2FY26Q3FY26Q4FY26Q1FY27
Promoters54.7%54.7%54.7%54.7%54.7%54.7%54.7%54.7%
FII20.8%20.8%21.5%21.7%22.0%21.5%21.3%20.2%
DII15.1%15.2%14.9%14.6%14.5%14.9%15.2%16.4%
Public7.3%7.4%6.9%6.9%6.7%6.8%6.7%6.6%
# Shareholders7,81,9137,91,3927,05,6108,99,7779,41,9999,61,99410,02,9459,85,158

Institutional investor interest has slightly declined, with FII holdings decreasing from 21.97% in Q2 FY26 to 20.21% in Q1 FY27, and DII from 14.47% to 16.4% over the same period, while promoter holding remains stable near 54.66-54.7%. The slight reduction in FII/DII stakes may reflect profit booking or portfolio rebalancing, but the large base of over 9.85 lakh public shareholders suggests continued retail confidence. No significant promoter pledging or selling activity is evident from the data.

⚖️ Peer Comparison — Finance

Company MCap (₹ Cr) P/E ROCE ROE D/E
BAJFINANCE 6.71 L Cr 33.0 10.4% 18.1% 3.82
BAJAJFINSV 3.20 L Cr 31.4 11.4% 26.5% 5.50
SHRIRAMFIN 2.55 L Cr 19.1 11.5% 17.1% 3.80
TATACAP 1.60 L Cr 29.1 8.4% 12.3% 5.28
CHOLAFIN 1.58 L Cr 27.3 9.3% 18.9% 6.93
JIOFIN 1.57 L Cr 73.9 2.3% 1.6% 0.17
ICICIAMC 1.55 L Cr 31.1 111.5% 83.6% 0.00
BAJAJHLDNG 1.25 L Cr 14.2 12.4% 12.3% 0.00
MUTHOOTFIN 1.24 L Cr 10.9 14.4% 29.3% 3.88
PFC 1.16 L Cr 4.5 9.8% 25.3% 7.62

⚠️ Risk Factors

1. Leadership transition in key lending segments (Cars, Two-Wheeler & Sales Finance) could disrupt growth execution. 2. Rising leverage due to large-scale NCD issuances increases financial risk, especially if revenue growth slows. 3. High promoter holding (54.67%) creates concentration risk, though no pledging is evident. 4. Regulatory scrutiny in consumer finance could impact expansion plans in unsecured and retail lending segments.

📋 Recent Filings

🧠 Analyst's Read

Bajaj Finance continues to demonstrate strong operational momentum and capital efficiency, but investors should monitor the impact of leadership changes and the company's ability to service growing debt obligations. The next few quarters will be critical in validating whether the current growth trajectory can be sustained amid rising funding costs and sectoral competition.

Based on filing content and financial data. Not a recommendation.

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Data sourced from stock announcements. Analysis generated by StockFin.ai.
For informational purposes only — not investment advice. Updated 2026-09-01.

Editorial & Data Transparency Notice

This analysis was programmatically compiled using StockFin AI utilizing official regulatory disclosures from the BSE and NSE. Content is automatically synthesized and audited against public financial filings. StockFin.ai is an educational research platform and is NOT a SEBI-registered investment advisor or research analyst.

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