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Bajaj Housing Finance Limited (BAJAJHFL) Fair Value & Analysis

Financial Services · IN · Market cap ₹726B

BH Bajaj Housing Finance Limited BAJAJHFL · NSE
Price₹85.79
Fair Value₹56.65
Upside-34.0%
Quality57/100
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Healthy Growth
Highly profitable · 61.5% net margin
High debt · generates free cash flow
Mixed vs. peers (7/13)
Wide moat 69/100
Evidence: High Range ₹46.11 – ₹76.85 Share as image

Fair value as of: Jul 15, 2026

From 10 valuation models · updated 26 days ago

Share price −0.2% over the past month.

A solid business, but screening 34% overvalued on our models.

What matters now

  • The price sits above even our optimistic bull case (₹76.85). The favourable scenario is already priced in.
  • Solid but not exceptional quality (57/100) and above fair value, neither a clear bargain nor a standout compounder.
  • For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
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Price vs Fair Value (23 months)

₹181.50 ₹73.09 Fair Value ₹56.65 Sep 2024 Aug 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Jul 15, 2026.

How to read this chart

23‑month range ₹73.09 – ₹181.50 · fair‑value band ₹46.11 – ₹76.85 · the ₹85.79 price screens above the ₹56.65 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Jul 15, 2026.

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Analysis

Bajaj Housing Finance Limited (BAJAJHFL) currently trades at ₹85.79, while our model-based Fair Value estimate is ₹56.65, implying the stock looks roughly 34.0% overvalued today. The Quality Score stands at 57/100 (solid quality), in the Financial Services sector. Bear case: priced above our estimate, the market already discounts strong expectations. Bull case: above-average quality can justify a premium, the entry price still matters most (evidence: high).

Over the trailing twelve months, Bajaj Housing Finance Limited generated revenue of ₹41.6B at a net margin of 61.5%. Revenue grew 42.3% year over year. It earns a return on equity of 12.1%. Net debt stands at ₹1.0T. Fundamentals as of Jul 15, 2026

Our scenario range runs from ₹46.11 (bear case) to ₹76.85 (bull case); at ₹85.79, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 33% below its 52-week high and 18% above its 52-week low, currently below its 200-day average. For context, the median of 10 Financial Services peers we cover trades at -6% fair-value upside, at -34%, BAJAJHFL screens richer than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small.

Model BearBaseBull Evidence
Highest evidence
Growth DCF ₹56.65 ₹214.70 80
P/E Multiple ₹29.97 ₹39.96 ₹49.95 63
Residual Income ₹25.03 ₹29.69 ₹65.22 61
All 10 models by family
DCF Models
Owner Earnings ₹147.97 31
5Y P/E Exit ₹27.65 38
10Y P/E Exit ₹75.80 35
Earnings-Based
Graham-Dodd ₹20.90 ₹145.78 ₹204.58 54
Lynch FV ₹75.32 ₹107.59 ₹139.87 50
Multiples
P/E Multiple ₹29.97 ₹39.96 ₹49.95 63
P/B Multiple ₹28.39 ₹37.86 ₹47.32 55
Asset-Based
NCAV (Graham) ₹13.52 ₹18.12 ₹27.04 50
Growth DCF
Growth DCF ₹56.65 ₹214.70 80
Economic Profit
Residual Income ₹25.03 ₹29.69 ₹65.22 61

Widest divergence: Earnings-Based (₹107.59) versus Asset-Based (₹18.12). Highest evidence: Growth DCF (80).

Key figures & financial health

Revenue (TTM) ₹41.6B
Revenue growth (YoY) +42.3%
Net margin 61.5%
Return on equity 12.1%
Free cash flow ₹43.0B FY2026
P/E ratio 27.4
More key figures
Operating margin 80.7%
EPS (TTM) ₹3.07
EPS growth (YoY) +14.4%
Net debt ₹1.0T FY2026

Figures from reported company fundamentals · as of Jul 15, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 57/100

Of which business quality 51 · Market factors (momentum, volatility) 42

Profitability 35
Margins and returns on capital today
Quality Growth 66
Are margins and returns improving?
Cashflow 95
Earnings quality: real cash, not paper profit
Fin. Strength 0
Balance sheet, leverage, solvency risk
Investment 33
Disciplined investing over empire-building
Low Volatility 84
Calm price path (market factor)
Momentum 29
Price trend over the last 3–12 months (market factor)
52W Momentum 16
Distance to the 52-week high (market factor)
Net Issuance 82
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

About the company

Bajaj Housing Finance Limited provides housing finance services in India. It offers finance to individuals and corporate entities for the purchase and renovation of homes or commercial spaces. The company also provides loans against property for business or personal needs, as well as working capital for business expansion purposes.

Full company description

Bajaj Housing Finance Limited provides housing finance services in India. It offers finance to individuals and corporate entities for the purchase and renovation of homes or commercial spaces. The company also provides loans against property for business or personal needs, as well as working capital for business expansion purposes. In addition, it offers finance to developers engaged in the construction of residential and commercial properties, as well as lease rental discounting to developers and high-net-worth individuals; real estate investment trusts REITs, and sovereign wealth funds and corporations. Bajaj Housing Finance Limited was formerly known as Bajaj Financial Solutions Limited and changed its name to Bajaj Housing Finance Limited in November 2014. The company was incorporated in 2008 and is headquartered in Pune, India. Bajaj Housing Finance Limited operates as a subsidiary of Bajaj Finance Limited.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2022 – FY2026 · reported fiscal years

Bajaj Housing Finance Limited reported revenue of ₹112B in FY2026 versus ₹36.9B in FY2022, a compound +31.9%/yr. Reported net income was ₹25.6B in FY2026, compounding +37.8%/yr from FY2022.

Growth Quality 100/100
Revenue growth appears healthy and is supported by profitability and cash-flow quality.
Latest Revenue (FY 2026)
₹112B
Latest YoY
+21.5%
Avg. growth/yr (3Y)
+26.7%
Avg. growth/yr (5Y)
+28.7%
Avg. growth/yr (9Y)
+143.5%
Revenue +31.9%/yr
FY22 ₹36.9B
FY23 ₹54.8B
FY24 ₹73.3B
FY25 ₹91.8B
FY26 ₹112B
Net income +37.8%/yr
FY22 ₹7.1B
FY23 ₹12.6B
FY24 ₹17.3B
FY25 ₹21.6B
FY26 ₹25.6B

BAJAJHFL screens 34% overvalued. Compare with Federal Home Loan Mortgage Corporation →

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Cite: Fair Value Calculator (2026). "Bajaj Housing Finance Limited Fair Value". https://www.fairvalue-calculator.com/stock/BAJAJHFL

Peer Group

Mortgage Finance · 90 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 53 · Above median
Fair Value upside −34% · Below median
Return on equity (TTM) 12% · Below median
Return on assets 2% · Above median
Net margin (TTM) 62% · Top 25%
Operating margin (TTM) 81% · Top 25%
Revenue growth 42% · Top 25%
Debt / equity 4.60× · Lower than median

Valuation Multiples vs Mortgage Finance median · lower = cheaper

P/E (TTM) 28.2× · Pricier than median
P/B 3.22× · Pricier than 75% of peers
P/S (TTM) 17.45× · Pricier than 75% of peers
P/FCF 0.2× · Cheaper than 75% of peers
EV/EBITDA 19.4× · Pricier than median

Snowflake

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUE 0 · sector 0
FUTURE 100 · sector 79
PAST 48 · sector 55
HEALTH 0 · sector 0
DIVIDEND 0 · sector 80

VALUE 0: the price sits above our fair-value range.

Insider activity: 40/100

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

None of the checked exposures detected

ESG scores are not available for this stock yet. Values and ESG data are contextual and can differ between providers.

Similar stocks

10 more Mortgage Finance stocks, each showing price versus our Fair Value estimate (as of Jul 15, 2026).

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Frequently asked questions

Is Bajaj Housing Finance Limited (BAJAJHFL) overvalued or undervalued?
As of Jul 15, 2026, our model estimates a fair value of ₹56.65 versus a price of ₹85.79, about −34% (overvalued).
What is the fair value of BAJAJHFL?
Our model-based fair value for Bajaj Housing Finance Limited is ₹56.65 (as of Jul 15, 2026), built from audited fundamentals. The current price is ₹85.79.
What is the quality score of BAJAJHFL?
Bajaj Housing Finance Limited has a Quality Score of 57/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of Bajaj Housing Finance Limited (BAJAJHFL)?
Bajaj Housing Finance Limited reported trailing-twelve-month revenue of about ₹41.6B (latest available figure, as of Jul 15, 2026).
What is the net profit margin of BAJAJHFL?
The net profit margin of Bajaj Housing Finance Limited is about 61.5%, meaning it keeps roughly 61.5% of revenue as net income. Based on the latest reported figures.

How we calculate Fair Value

Each company is valued through a stack of independent intrinsic-value models (DCF variants, residual-income, multiples and more), blended into one family-balanced consensus and weighted by how much trustworthy data backs it. A separate quality layer scores the fundamentals. Every input is real reported data, nothing guessed.

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