Bajaj Finance shares climbed 1.83% on Wednesday morning after Morgan Stanley issued an optimistic report, maintaining an “Overweight” rating with a target price of ₹9,000. The firm noted that Bajaj Housing Finance’s market cap has surpassed the combined market cap of 10 other peers, adding to its attractiveness.
Morgan Stanley highlighted that Bajaj Finance’s valuation, at 3.6x FY26 estimated price-to-book (P/B) ratio with a 20% holding company discount for Bajaj Housing Finance, remains appealing.
They also expect a gradual shift in focus towards standalone financials but noted that investors will likely prioritize consolidated metrics in the near term.
Additionally, despite trimming FY25-27 earnings per share (EPS) estimates by 1.2-1.6%, the brokerage firm emphasized Bajaj Finance’s strong return on equity (ROE) and EPS growth, making its current valuation attractive.
As of 9:40 am, Bajaj Finance shares were trading 1.83% higher at ₹7,500.00 on the NSE.
