Bajaj Finserv Ltd. share price target

Q4FY25 marked a mixed performance from life insurance and lending business but the general insurance business reported weak numbers. Bajaj Finance’s consolidated asset under management (AUM) stood at Rs. 4,16,661 crore, up 26% y-o-y/5% q-o-q.

Bajaj Finserv unveiled its new long-range strategy for FY25-29 and identified new megatrends across business lines. Newer businesses are currently at a nascent stage but provides a huge opportunity in medium to long term. These are likely to breakeven in the next 3-5 years.

BJFIN reported a satisfactory performance in Q2FY25 with reasonable performances posted by its established operating subsidiaries (BAF, BAGIC, and BALIC) amid the difficult and changing external environment.

After media reports indicated that Allianz Group might be looking to exit its 23-year old India Insurance JVs (BALIC and BAGIC) with the Bajaj Group, BJFIN in its exchange filing confirmed that Allianz has communicated to the company its intent of exiting the Indian Insurance Joint Ventures.

We maintain a Buy rating on Bajaj Finserv, with a revised SOTP-based PT of Rs. 2,350 factoring the upside in valuations of its key subsidiaries.

We initiate coverage on Bajaj Finserv (BJFIN) with a BUY recommendation and Sep-25E TP of Rs2,150/share (~16% upside), implying FY26E consolidated P/B of 4.1x.