Bajaj Finance reported a 24% year-on-year increase in assets under management (AUM) to ₹546,900 crore as of 30 June 2026. The non-banking financial company added approximately ₹36,900 crore to its AUM during Q1 FY27, compared to ₹441,450 crore in the corresponding period of the previous year. The strong quarterly performance has drawn positive responses from leading global brokerages, with Morgan Stanley, JPMorgan, and Citi all maintaining bullish stances on the stock.

New loans booked grew by 20% to 16.13 million in Q1 FY27, up from 13.49 million in Q1 FY26. The customer franchise expanded to 124.43 million as of 30 June 2026, an increase from 106.51 million as of 30 June 2025, reflecting 17% year-on-year growth. The customer base grew by 5.10 million during the quarter under review, marking a record addition. The deposits book stood at approximately ₹68,500 crore as of 30 June 2026. These business metrics were shared on a consolidated basis and are provisional, subject to review by the statutory auditors of the company.

Business Metrics Summary

The following table presents key business metrics for Bajaj Finance on a consolidated and provisional basis:

Analyst Views

Global brokerages have responded positively to the Q1 FY27 business update, citing above-estimate growth across key metrics. Citi joined Morgan Stanley and JPMorgan in maintaining a constructive outlook, highlighting robust growth across sales finance, mortgages, gold loans, tractor, CV/CE, and new car financing segments. However, Citi noted that SME lending remains cautious and the captive two-wheeler and three-wheeler book continues to decline. The following table summarises the latest analyst recommendations:

Morgan Stanley maintained its Overweight rating on Bajaj Finance with a target price of ₹1,120, citing above-estimate AUM growth of 24% year-on-year, 20% loan growth, and 17% customer franchise growth, alongside strong momentum at Bajaj Housing Finance Ltd (BHFL). The brokerage flagged Q1 net interest margins (NIMs), credit costs, and the FY27 outlook as key monitorables going forward.

JPMorgan also maintained its Overweight rating while raising its target price to ₹1,215, driven by better-than-expected AUM growth of +7.20% quarter-on-quarter and +23.90% year-on-year to ₹5.47 tn. The brokerage highlighted record new customer additions of 5.10 million as a factor easing growth concerns, along with a flat deposit book at ₹685 bn. JPMorgan expressed increased confidence in Bajaj Finance achieving FY27 AUM growth at the higher end of its guidance, implying potential upside to consensus estimates.

Bajaj Finance has allotted 2,00,000 Secured Redeemable Non-Convertible Debentures (NCDs) aggregating to ₹2,000.45 crore through private placement. The Debenture Allotment Committee approved the issuance on 24 June 2026, securing funds at a coupon rate of 7.92% per annum to bolster its borrowing programme.

NCD Issuance Details

The key parameters of the NCD issuance are summarised below:

Security and Payment Structure

The debentures are secured by a first pari-passu charge on book debts and loan receivables. The security cover will not be less than 1.00 time the aggregate outstanding value of the debentures issued. Interest payments will be made annually on 24 June each year, starting from 24 June 2027 until maturity on 24 June 2031.