Bajaj Finserv
Bajaj Finserv is the Bajaj Group's financial-services holding company, whose value comes mainly from its ~52% stake in Bajaj Finance (consumer lending) plus now-wholly-owned general and life insurance arms.
- P/E ~28-31x
- 1Y return -17.6%
- Lending PAT +27-28%
- Life insurance hit by GST
- Now 100% owns insurance JVs
Updated on 15 Oct 2026 · Data as of 15 Oct 2026
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Snapshot
- Share price
- ₹1,716.30
- 15 Oct 2026
- 52-week range
- ₹1,630.41 – ₹2,174.74
- All-time peak
- ₹3,197.46
- 17 May 2006 · −46.3% from peak
- Dividend yield
- 0.09%
- Price history since
- 2002
- About 24 years of prices
What's happening
Allianz completed its full exit from the Bajaj Allianz insurance joint ventures in March 2026 (after a Rs 24,180 crore deal signed in March 2025), leaving Bajaj Finserv and the promoter group with 100% ownership of what are now rebranded Bajaj General Insurance and Bajaj Life Insurance. The last reported quarter, Q1 FY27 (June 2026), showed the lending business (Bajaj Finance, AUM up ~25%) carrying overall growth while life insurance profit was squeezed by a GST-related hit flagged a quarter earlier. The next results, for Q2 FY27 (September 2026 quarter), are scheduled around 3 November 2026 - about three weeks away.
In plain terms
Think of Bajaj Finserv less as a company that makes or sells anything itself, and more as a holding vehicle: almost all of its profit flows up from Bajaj Finance (loans), plus the insurance businesses it now owns outright after buying out its foreign partner Allianz. That makes it a bet on how well those underlying businesses do, not on Bajaj Finserv's own operations. The tension: the lending arm keeps growing profits at a healthy clip, but the stock itself has lost money for shareholders over the last one and five years, and the insurance arm just took an unusual regulatory/tax hit to earnings - so the pieces inside are not all moving the same way.
Quarters
Q1 FY27 (June 2026): consolidated income Rs 42,037 crore (+19% YoY). Reported consolidated PAT figures diverge by source - Rs 6,297 crore (+18%) appears to be profit before minority-interest deduction (reflecting the ~48% of Bajaj Finance held by outside shareholders), while Rs 3,132 crore (+12%) is cited elsewhere as profit attributable to Bajaj Finserv's own shareholders. This is a routine consolidation effect of a multi-subsidiary holding structure, not a one-off distortion, but the exact owners' share should be checked on Screener before quoting. Bajaj Finance (the main profit driver) grew PAT ~27-28% YoY with AUM up roughly 25%. In the preceding quarter (Q2 FY26, September 2025), Bajaj Life Insurance's profit fell to Rs 13 crore from Rs 148 crore, which management attributed largely to a Rs 112 crore GST-related impact - management flagged this explicitly as a non-recurring item, so it should not be read as a core profitability collapse.
Performance
Heads-up on splits: Bajaj Finserv has split its shares or issued bonus shares before (most recently 5-for-1 on 13 Sept 2022). A sudden price drop around a split date is usually just the price adjusting for the extra shares, not a crash.
Share price
−17.6% over 1 year
Returns by period
| Period | Bajaj Finserv | Nifty 50 | Bajaj Holdings & Investment |
|---|---|---|---|
| 3 months | −6.7% | −5.1% | +5.4% |
| 1 year | −17.6% | −9.8% | −9.0% |
| 3 years | +4.7% | +15.8% | +64.8% |
| 5 years | −7.8% | +23.6% | +145.9% |
₹100 invested on 18 Oct 2021 became…
- Bajaj Finserv₹92
- Nifty 50₹124
- Bajaj Holdings & Investment₹246
The uncomfortable fact first: BAJAJFINSV has delivered poor returns to shareholders over almost every recent horizon - down 17.6% over 1 year (Nifty -9.8%), up only 4.7% over 3 years (Nifty +15.8%), and down 7.9% over 5 years (Nifty +23.6%). It has also badly lagged its own group peer, Bajaj Holdings (+64.9% 3Y, +145.9% 5Y) - a telling comparison since both are Bajaj Group holding vehicles. Separately, the stock is shown 46.3% below a May 2006 peak - but that peak predates Bajaj Finserv's own existence. Bajaj Finserv was only carved out in April 2007 when the erstwhile Bajaj Auto Ltd was demerged into three companies (Bajaj Auto, Bajaj Finserv, and Bajaj Holdings & Investment). The 2006 price belongs to the undivided combined entity, not today's Bajaj Finserv, so that specific drawdown figure is a demerger artifact and should not be read as a 46% business decline - the genuinely informative underperformance is the 1Y/3Y/5Y numbers above, against Nifty and against its own sister company.
Dividend
Paid in the last 12 months
₹1.50 per share
Dividend yield
0.09%
Dividend yield is the last 12 months of dividends divided by today's share price. A 0.1% yield means every ₹100 of Bajaj Finserv shares paid about ₹0.1 in dividends over the past year. Past payouts can change.
Recent dividends
| Date | Per share |
|---|---|
| 30 Jun 2026 | ₹1.50 |
| 27 Jun 2025 | ₹1.00 |
| 21 Jun 2024 | ₹1.00 |
| 30 Jun 2023 | ₹0.80 |
| 30 Jun 2022 | ₹0.40 |
| 8 Jul 2021 | ₹0.30 |
| 3 Mar 2020 | ₹0.50 |
| 11 Jul 2019 | ₹0.25 |
Valuation
The stock trades around 28-31x earnings (sources vary) and roughly 3.9-4.1x book value, a clear premium to the broader financial-services sector median (cited near 15-16x P/E). Why it is expensive: the market is pricing in Bajaj Finance's sustained ~25% AUM growth and the strategic upside of now owning 100% of the insurance arms outright (no more minority payout to Allianz). Whether that premium is deserved is a separate question - the stock's own 1-3-5 year returns have been weak, suggesting the market may already be discounting slower growth or further insurance-earnings volatility even as it pays up on headline multiples.
Growth
Growth is real and mostly volume-led on the lending side - Bajaj Finance's AUM and customer franchise are both expanding at double-digit rates, not just margins widening on a flat book. The insurance side is messier: general insurance premium growth is steady (~9-11% YoY) but life insurance earnings have been distorted by a regulatory/tax (GST) transition rather than by underlying volume trends, making it harder to read the true growth trajectory there over the past two quarters.
Health
Asset quality at the core lending subsidiary is healthy and improving: Bajaj Finance's gross NPA was 0.96% and net NPA 0.39% as of June 2026, both down year-on-year and within the company's own long-term guidance. The large debt load visible in consolidated accounts is the normal borrow-to-lend structure of an NBFC, not a balance-sheet distress signal - the business risk to watch is underwriting/regulatory risk in insurance (like the GST-driven profit swing) and credit-cycle risk in lending, not solvency risk.
Ownership
Promoters (Bajaj family entities including Bajaj Holdings & Investment, Jamnalal Sons, Maharashtra Scooters) held about 58.7-58.8% as of mid-2026, a level that has stayed broadly stable. No current promoter pledge was found in recent data; the only pledge reference turned up was a small, long-resolved one from 2013. No marquee outside investor (the kind typically highlighted on shareholding registers) stands out among institutional holders here - FII and mutual fund holdings are present but unremarkable in size, so this is not a stock with a famous individual investor backing it.
The View
The one thing to watch
The Q2 FY27 results due around 3 November 2026 - specifically whether Bajaj Finance can sustain ~25% AUM growth with gross NPA still near 1%, and whether Bajaj Life Insurance's profit normalizes after the GST-related hit - will show whether the current growth-and-ownership story justifies the stock's premium multiple despite its weak recent share-price returns.
Strengths
- +Bajaj Finance (the main value driver) grew AUM ~25% and PAT ~27-28% YoY in Q1 FY27 with gross NPA at just 0.96%
- +Full ownership (100%) of both insurance arms after Allianz's Rs 24,180 crore exit, removing a 26% minority profit share that previously went to the foreign partner
- +Consolidated income grew 19% YoY in Q1 FY27 to Rs 42,037 crore, showing the overall group franchise is still expanding
- +Promoter holding stable near 58.7% with no current pledge found
Watchpoints
- !Life insurance PAT dropped from Rs 148 crore to Rs 13 crore in Q2 FY26, largely on a Rs 112 crore GST-related item - needs at least one more clean quarter to judge the real run-rate
- !Stock down 17.6% over 1 year and only +4.7% over 3 years, badly lagging both Nifty and sister company Bajaj Holdings - a valuation premium of ~28-31x P/E sits uneasily next to that
- !Consolidated PAT is reported two different ways (Rs 6,297 crore vs Rs 3,132 crore for Q1 FY27) depending on minority-interest treatment - confirm the owners'-share figure before using it in any ratio
- !Q2 FY27 results due around 3 November 2026 will be the first full quarter clear of one-off insurance tax/regulatory noise - worth watching for a clean read on insurance margins
How sure are we about the data? · Moderate
Cross-checked Q1 FY27 and Q2 FY26 results across Business Standard, Upstox, FreePress Journal and Outlook Business. PAT figures for Q1 FY27 diverge (~Rs 3,132 crore vs Rs 6,297 crore) likely due to minority-interest treatment across Bajaj Finserv's subsidiaries - not independently confirmed against the company's own filing, so treat as 'check on Screener' for the exact owners'-share number. P/E was cited between 27.9x and 31.4x and ROE between 13-14% (one outlier figure of 26.47% ROE was set aside as likely a different base/period). GNPA for Bajaj Finance taken as 0.96%/NNPA 0.39% (Q1 FY27) from the consistent cluster of sources; an isolated 0.29% GNPA figure from one source was discarded as an outlier. The 46.3% 'drawdown from peak' in the supplied market data reflects a May 2006 price that predates Bajaj Finserv's April 2007 demerger from the erstwhile Bajaj Auto Ltd, so it is a corporate-action artifact, not a comparable decline for the current entity.
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Ticker Tales is not a SEBI-registered investment adviser or research analyst. This report is for learning only and is not investment advice. Data as of 15 Oct 2026.