Bajaj Finance Limited (BAJFINANCE) AI Stock Analysis

• Market Cap: ₹6.33T
• Dividend Yield: 0.55%
• Average Volume (3M): 395.41K
• Price to Earnings (P/E): 36.2
• Beta (1Y): 0.96
• Revenue Growth: 24.87%
• EPS Growth: 15.62%
• Country: IN
• Employees: 43,147
• Sector: Financial
• Sector Strength: 70
• Industry: Financial - Credit Services
• EPS (TTM): 7.60
• Shares Outstanding: 6,222,484,400
• 10 Day Avg. Volume: 381,436
• 30 Day Avg. Volume: 395,406
• PEG Ratio: 2.39
• Price to Book (P/B): 5.57
• Price to Sales (P/S): 8.02
• P/FCF Ratio: -7.77
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹985.60
• Price Target Upside: -3.66% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 10

• Rating: 64 Neutral
• Price Target: ₹951.00 ▼(-7.04% Downside)

Bajaj Finance Limited's overall stock score is primarily influenced by its strong financial performance, despite challenges in cash flow management. Technical indicators suggest a lack of strong momentum, and the valuation appears high, which may limit upside potential.

Bajaj Finance Limited Business Overview & Revenue Model

Company Description

Bajaj Finance Limited operates as a non-banking financial company in India. The company offers consumer durable, lifestyle, lifecare, digital product, two and three wheeler, developer, used car, medical equipment, vendor, light engineering, specialty chemicals, financial institution, corporate, and warehouse finance services; IPO and ESOP finance, margin trading finance, trading account, depository, and HNI and retail broking services; personal, gold, home, business, working capital, secured enterprise, and professional loans; and loan against fixed deposits, shares, properties, and securities. It also provides life, general, and health insurance, as well as pocket insurance products; extended warranty, e-commerce, and lease rental discounting services; financial fitness reports; and EMI cards, and co-branded credit cards and wallets, as well as offers investment services, such as systematic deposit plan, fixed and term deposits, and mutual funds. The company was formerly known as Bajaj Auto Finance Limited and changed its name to Bajaj Finance Limited. The company was incorporated in 1987 and is based in Pune, India. Bajaj Finance Limited is a subsidiary of Bajaj Finserv Limited.

How the Company Makes Money

Bajaj Finance generates revenue primarily through interest income from its lending activities. The company offers a variety of loans, which are typically provided at competitive interest rates, allowing it to earn significant interest income over the duration of the loan. In addition to interest income, BAJFINANCE also earns fees and commissions from processing loan applications, insurance products, and other financial services. Another key revenue stream is the growth in its customer base and the cross-selling of additional financial products, which enhances customer lifetime value. The company has also established partnerships with various merchants and e-commerce platforms, allowing it to offer financing solutions at the point of sale, further driving loan origination and revenue. The effective use of technology and data analytics to assess credit risk and enhance customer experience plays a crucial role in optimizing its earnings.

Bajaj Finance Limited Financial Statement Overview

Summary

Bajaj Finance Limited demonstrates strong revenue and profit growth, with a healthy net profit margin. The balance sheet is sound with a moderate debt-to-equity ratio. However, persistent negative cash flows indicate potential inefficiencies in cash management.

Income Statement

Bajaj Finance Limited shows strong revenue growth with a consistent upward trajectory in total revenue over the past years. The Net Profit Margin and Gross Profit Margin are healthy, indicating robust profitability. However, the EBIT and EBITDA margins have slightly declined, suggesting increased operational costs or competitive pressures.

Balance Sheet

The company's balance sheet indicates a moderate level of leverage with a manageable debt-to-equity ratio. The return on equity is strong, reflecting efficient use of equity to generate profits. However, the equity ratio is moderate, which suggests a balanced approach to financing through debt and equity.

Cash Flow

Cash flow analysis reveals challenges, as the company consistently shows negative free cash flow and operating cash flow. This could indicate high reinvestment needs or inefficiencies in cash management. The operating cash flow to net income ratio suggests that cash flow generation is not keeping pace with reported earnings.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	703.39B	671.27B	530.51B	395.27B	298.86B	254.37B
Gross Profit	443.35B	423.56B	343.26B	269.67B	201.32B	160.23B
EBITDA	241.15B	229.61B	199.93B	160.13B	98.88B	63.18B
Net Income	174.25B	166.38B	144.51B	115.08B	70.28B	44.20B
Balance Sheet
Total Assets	0.00	4.66T	3.76T	2.75T	2.13T	1.72T
Cash, Cash Equivalents and Short-Term Investments	0.00	135.44B	106.24B	43.05B	33.81B	22.58B
Total Debt	0.00	2.90T	2.34T	1.73T	1.33T	1.06T
Total Liabilities	-989.37B	3.67T	2.99T	2.21T	1.69T	1.35T
Stockholders Equity	989.37B	966.93B	766.95B	543.72B	437.13B	369.18B
Cash Flow
Free Cash Flow	0.00	-692.36B	189.54B	-430.19B	-376.63B	-9.46B
Operating Cash Flow	0.00	-681.54B	199.92B	-421.40B	-370.29B	-8.07B
Investing Cash Flow	0.00	-27.65B	-982.82B	-103.65B	63.47B	-4.29B
Financing Cash Flow	0.00	705.27B	824.15B	506.75B	322.40B	17.41B

Bajaj Finance Limited Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1023.00
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:BAJFINANCE, the sentiment is Positive. The current price of 1023 is above the 20-day moving average (MA) of 1004.22, above the 50-day MA of 938.06, and above the 200-day MA of 877.19, indicating a bullish trend. The MACD of 20.33 indicates Positive momentum. The RSI at 65.40 is Neutral, neither overbought nor oversold. The STOCH value of 82.85 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:BAJFINANCE.

Bajaj Finance Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MUTHOOTFIN	73 Outperform	₹1.30T	21.16	―	0.80%	38.22%	37.80%
SHRIRAMFIN	70 Outperform	₹1.25T	12.94	―	1.94%	20.27%	25.95%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
BAJFINANCE	64 Neutral	₹6.33T	36.19	―	0.55%	24.87%	15.62%
CHOLAFIN	64 Neutral	₹1.37T	30.79	―	0.12%	31.00%	21.07%
LTF	62 Neutral	₹649.84B	24.38	―	1.08%	18.60%	7.17%

Bajaj Finance Limited Corporate Events

Bajaj Finance Concludes AGM with Strong Shareholder Support

Bajaj Finance Limited has announced the successful conclusion of its 38th Annual General Meeting held on July 24, 2025, where resolutions were passed with the requisite majority. The company provided remote e-voting facilities to its shareholders, ensuring a seamless voting process. The results of the voting, confirmed by the Scrutinizer’s report, indicate strong shareholder support for the resolutions, reflecting positively on the company’s governance and stakeholder engagement.

Bajaj Finance Concludes Successful AGM with Strong Shareholder Support

Bajaj Finance Limited announced the results of its 38th Annual General Meeting held on July 24, 2025, where shareholders voted on various business items. The company provided remote e-voting facilities and electronic voting at the AGM venue, ensuring comprehensive shareholder participation. The resolutions were passed with the requisite majority, reflecting strong shareholder support. This development underscores Bajaj Finance’s commitment to transparent governance and active stakeholder engagement, potentially strengthening its market position.