Positive impactResults
Bajaj Finance shares jump 5% after Q2 business update. Why Jefferies sees 35% upside in its top pick?
Economic Times 1 hr ago·5 Oct 2026, 5:12 am
Bajaj Finance shares rallied over 5% on Monday after the non-banking financial company (NBFC) released its Q2 business update. The company reported a 26.5% year-on-year increase in its Assets Under Management (AUM), reaching nearly Rs 5.85 lakh crore. This strong growth in lending assets signals that the company's core business is expanding, even as the broader financial sector faces headwinds.
For investors, this update reinforces Bajaj Finance's position as a market leader in the unsecured lending space. The rally was driven by a strong buy call from global brokerage Jefferies, which retained its 'Buy' rating and set a target price of Rs 1,280. This target implies a significant 35% upside from current levels, highlighting the stock's potential for further gains.
Looking ahead, investors should monitor the company's asset quality metrics and the pace of disbursements. While the AUM growth is impressive, keeping a close watch on the Net NPA (Non-Performing Asset) ratio will be crucial to ensure that this expansion does not come at the cost of credit quality.
Affected stocks
Bullish1 stock
Bull / bear label is derived from the article's AI sentiment — indicative, not advice. Prices may be delayed.
Key takeaways
- Concerns Bajaj Finance (BAJFINANCE).
- Category: Results.
- AI reads the tone as positive (potentially bullish) for the stock.
- Assessed as a significant, market-relevant update.
Why it matters
A meaningful update for Bajaj Finance worth tracking. The tone is positive — historically associated with upward pressure, though not predictive. Use the price and stock snapshot to gauge how the market is responding.
