Cash News
Bajaj Housing Finance shares surged significantly on Tuesday after a bumper listing yesterday, delivering a nearly 160% return from the initial public offering (IPO) price of Rs 70.
On Tuesday, the stock hit its 10% upper circuit at Rs 181.50 on the National Stock Exchange (NSE), continuing its upward trajectory.
Analysts remain optimistic but advise caution for those looking to lock in gains.
In its first brokerage report, Phillip Capital assigned a ‘Buy’ rating, valuing the housing finance company at Rs 210, citing strong return ratios and a focused approach on salaried home loans.
“We value Bajaj Housing Finance at 6.5 times its September 2026 book value,” the report said.
Shivangi Sarda, an analyst at Motilal Oswal, also gave a long-term positive view but recommended a wait-and-watch strategy for investors. “One can continue to hold their positions with a long-term view,” she said, highlighting the strong background of the company and continued demand for the stock.
Others, such as Kranthi Bathini from WealthMills Securities, suggested it may be prudent to book some profits given the stock’s rapid rise.
Gaurav Dua of Sharekhan cautioned that current levels might be driven by FOMO (fear of missing out) and recommended waiting for lower price opportunities or other IPOs in the pipeline.
On the technical front, Ravi Singh from Religare Broking sees potential for further gains, with a near-term target of Rs 195, advising investors to keep a stop loss at Rs 172 for safety.
As the stock continues its rally, investors face a critical decision—whether to hold for further gains or secure profits now.
Analysts are split on the best course of action, but all agree that Bajaj Housing Finance’s market debut has been one of the most successful this year.
(Disclaimer: The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.)