Bajaj Finance Shares Surge 6%, Leading Gains on Sensex and Nifty
New Delhi, March 27, 2025 – Shares of Bajaj Finance experienced a significant rally today, climbing 6% to become the leading gainer on the Sensex and Nifty indices. The stock reached an intraday high of ₹7,339.90 per share, reflecting strong investor confidence. Concurrently, shares of Bajaj Finserv soared by 9% to reach an intraday peak of ₹1,717.45 per share.
This surge in Bajaj Finance shares coincided with a robust performance of the Sensex, which added over 1,000 points, trading at the 79,520 level by noon.
Positive Endorsements from Citi
The uptick in Bajaj Finance’s stock can be attributed, in part, to renewed endorsements from global brokerage firm Citi. Analysts at Citi have reiterated a "Buy" rating on Bajaj Finance with a price target set at ₹8,150. This positive outlook is bolstered by an anticipated modest increase in credit costs for the third quarter, projected to rise to between 2.2% and 2.25%.
Citi analysts predict a quarterly growth rate of 6% for Assets Under Management (AUM), supported by segments such as mortgages, sales financing, securities lending, and new business ventures. They also foresee a potential improvement in Net Interest Margins (NIMs), estimating an increase of 3 to 5 basis points.
Bajaj Finance’s Performance Overview
Bajaj Finance stands as a key player in India’s financial landscape, functioning as a leading non-banking financial company (NBFC) engaged in various lending activities. Over the past month, the stock has appreciated by approximately 4%, juxtaposed against a marginal decline of 1% in the overall Sensex index.
The stock reached a 52-week high of ₹7,830 on January 9, 2024, and an all-time high of ₹8,190 on October 6, 2023. Currently, Bajaj Finance boasts a market capitalization of ₹4.4 trillion, underscoring its significant foothold in the financial sector.
In terms of financial performance, recent reports indicate a 13% year-on-year increase in net profit, amounting to ₹4,013 crore, alongside a 28.8% year-on-year growth in AUM, reaching ₹373,924 crore. The net interest income also saw an impressive 28% growth, totaling ₹14,987 crore.
Analyst Insights
Market analysts remain optimistic about Bajaj Finance’s growth trajectory, noting expectations of earnings growth aligning closely with asset growth as credit costs stabilize. Mirae Asset Sharehan analysts have maintained their "Buy" rating following the recent quarter’s results and have set an increased price target of ₹9,500. Overall, the sentiment surrounding Bajaj Finance is characterized by confidence in sustainable earnings growth and resilience in its market operations, suggesting that any underperformance may soon reverse as market conditions improve.
With the stock market maintaining a bullish outlook, Bajaj Finance’s continued growth will be closely watched by investors and analysts alike.
Conclusion
The strong rally in Bajaj Finance shares today highlights investor confidence in the company’s financial performance and growth potential. Supported by positive analyst ratings and the overall market momentum, Bajaj Finance remains a key player to watch in the Indian financial landscape.
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