Bajaj Finance Limited (BAJFINANCE) Fair Value & Analysis
Financial Services · IN · Market cap ₹6.6T
Fair value as of: Aug 13, 2026
From 13 valuation models · updated yesterday
Share price +6.5% over the past month.
Below-average quality, and screening another 63% overvalued on our models.
What matters now
- The price sits above even our optimistic bull case (₹848.04). The favourable scenario is already priced in.
- The model range is unusually wide (₹189.19 to ₹848.04). The outcome hinges heavily on assumptions, so read the point estimate with caution.
- Solid but not exceptional quality (48/100) and above fair value, neither a clear bargain nor a standout compounder.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 13, 2026.
How to read this chart
60‑month range ₹452.24 – ₹1,159 · fair‑value band ₹189.19 – ₹848.04 · the ₹1,087 price screens above the ₹397.61 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 13, 2026.
Analysis
Bajaj Finance Limited (BAJFINANCE) currently trades at ₹1,087, while our model-based Fair Value estimate is ₹397.61, implying the stock looks roughly 63.4% overvalued today. The Quality Score stands at 48/100 (below-average quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).
Over the trailing twelve months, Bajaj Finance Limited generated revenue of ₹438B at a net margin of 43.4%. Revenue grew 26.8% year over year. It earns a return on equity of 17.9%. Net debt stands at ₹3.5T. Fundamentals as of Aug 13, 2026
Our scenario range runs from ₹189.19 (bear case) to ₹848.04 (bull case); at ₹1,087, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 1% below its 52-week high and 38% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -45% fair-value upside, at -63%, BAJFINANCE screens richer than that median.
Fair Value models
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.
All 13 models by family
Widest divergence: Earnings-Based (₹1,070) versus Dividend Discount (₹96.18). Highest evidence: Growth DCF (80).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 13, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 46 · Market factors (momentum, volatility) 71
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
About the company
Bajaj Finance Limited operates as a deposit-taking non-banking financial company in India. The company offers financing for various products, such as consumer electronics, furniture, digital products, e-commerce purchases, retail spends, and two and three-wheelers; and personal, unsecured, home, and secured, gold, and car loans.
Full company description
Bajaj Finance Limited operates as a deposit-taking non-banking financial company in India. The company offers financing for various products, such as consumer electronics, furniture, digital products, e-commerce purchases, retail spends, and two and three-wheelers; and personal, unsecured, home, and secured, gold, and car loans. It also provides secured and unsecured loans to micro, small, and medium enterprises, SMEs, and professionals; loans against property, mutual funds, insurance policies, and shares; developer finance and lease rental discounting services; and new and used car financing, and tractor financing. In addition, the company offers commercial and rural lending; public and corporate deposits; loans against securities; micro-finance and auto financing lending; and broking and margin trade financing services. Further, it distributes life, health, and general insurance products. The company was formerly known as Bajaj Auto Finance Limited and changed its name to Bajaj Finance Limited in September 2010. The company was incorporated in 1987 and is based in Pune, India. Bajaj Finance Limited is a subsidiary of Bajaj Finserv Ltd.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2022 – FY2026 · reported fiscal years
Bajaj Finance Limited reported revenue of ₹820B in FY2026 versus ₹299B in FY2022, a compound +28.7%/yr. Reported net income was ₹190B in FY2026, compounding +28.3%/yr from FY2022.
of which total revenue +27.6 pp · buybacks/dilution −2.2 pp
Absolute contributions in percentage points per year; they sum to the EPS growth rate. Start and end points are 3-year averages (details on hover).
BAJFINANCE screens 63% overvalued. Compare with Visa Inc →
Peer Group
Credit Services · 334 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Credit Services median · lower = cheaper
Snowflake
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.
Similar stocks
10 more Credit Services stocks, each showing price versus our Fair Value estimate (as of Aug 13, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| Visa Inc V | $359.42 | $198.27 | -45% |
| Mastercard Incorporated MA | $561.44 | $221.87 | -60% |
| Shriram Finance Limited SHRIRAMFIN | ₹1,117 | ₹553.83 | -50% |
| Cholamandalam Investment and Finance Company CHOLAFIN | ₹1,918 | ₹796.52 | -58% |
| Tata Capital Limited TATACAP | ₹367.05 | ₹149.40 | -59% |
| Power Finance Corporation PFC | ₹376.50 | ₹615.85 | +64% |
| Muthoot Finance Limited MUTHOOTFIN | ₹2,876 | ₹3,429 | +19% |
| Indian Railway Finance Corporation IRFC | ₹88.35 | ₹69.72 | -21% |
| REC Limited RECLTD | ₹346.00 | ₹692.00 | +100% |
| L&T Finance Limited LTF | ₹312.60 | ₹154.67 | -51% |
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Frequently asked questions
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How we calculate Fair Value
Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.
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