Bajaj Finance Stock Price: Shares in Bajaj Finance jumped by nearly 4% in early trade on Thursday and touched an intra-day high of ₹7,199. Until 11:05 am, the stock was up 3.74% to ₹7,195, topping the Sensex gainers. Global brokerage Citi has reaffirmed its bullishness on the stock, which seems to have catapulted the company’s shares on Thursday.
Citi maintained a “Buy” rating on the Bajaj Finance stock price with an ambitious target of ₹8,150. The brokerage added the stock to its 90-day catalyst watch, citing positive expectations for the company’s Q3 results. Analysts are optimistic about improved credit costs, which are projected to remain stable at 2.2-2.25%.
In addition, AUM growth is expected to be 6% QoQ and 7% YoY, led by the contributions of mortgages, sales financing, securities lending, and new business ventures.
Citi also sees an increase in the NIMs by 3-5 basis points, which further makes the stock an attractive one.
Strength in Financial Backdrop
Bajaj Finance has reported healthy financial numbers in recent quarters. In Q2, its net profit had increased by 13% YoY to ₹4,013 crore while AUM increased by 28.8% YoY to ₹3,73,924 crore. The NII also improved by a handsome 28% to ₹14,987 crore YoY.
Bajaj Finance stock has risen more than 8% over the past month, an indication of rising investor confidence. However, it has delivered negative returns over the last year. Analysts continue to be positive about the company’s long-term prospects, based on its sustainable earnings growth and resilient business model.
Positive Market Sentiment
Positive Market Sentiment as Bajaj Finance Stock Price Soars
The market sentiment around Bajaj Finance stock price is buoyed by its ability to sustain growth across key business verticals. With Citi’s positive outlook and strong Q3 projections, the stock is expected to maintain upward momentum.
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