BAJAJHLDNG - Investment Analysis

Last Updated Time : 02 Aug 25, 12:58 am

Investment Rating: 3.6

Let’s break down Bajaj Holdings & Investment Ltd (BAJAJHLDNG) to assess its long-term potential

📊 Fundamental Snapshot

Profitability

ROE: 11.0% and ROCE: 9.82% are modest — not exceptional, but stable.

EPS: ₹586 is strong, supporting decent earnings power.

Valuation

P/E: 24.4 vs Industry P/E: 22.6 — slightly overvalued.

PEG Ratio: 1.47 — fair, but not a bargain for growth investors.

Balance Sheet

Debt-to-equity: 0.00 — zero debt is a major plus for long-term stability.

Dividend Yield: 0.66%

Low, but consistent — suitable for conservative investors.

Quarterly Performance

PAT dropped 36.5% QoQ, which is a red flag for short-term momentum.

EPS remains strong, but needs to be backed by consistent profit growth.

📈 Technical Indicators & Entry Zone

Current Price: ₹14,062

Trading above DMA-50 (₹13,693) and DMA-200 (₹12,148) — bullish trend intact.

RSI: 52.9 — neutral zone, no immediate overbought/oversold signal.

MACD: +42.4 — bullish crossover, momentum building.

🟢 Ideal Entry Zone: ₹12,800–₹13,300 This range offers a better valuation buffer and aligns with technical support levels.

🧭 Exit Strategy / Holding Period

If you already hold the stock

📌 Consider a 5–7 year horizon — this is a slow compounder with low volatility.

Reassess if ROE/ROCE stagnate or PAT continues to decline for 2+ quarters.

Exit Signals

Sustained drop below ₹12,000 with weakening fundamentals.

PEG ratio rising above 1.8 without EPS growth.

Institutional selling intensifies (watch FII/DII trends).

🧾 Summary

Bajaj Holdings is a low-debt, stable holding company with exposure to Bajaj Auto and Bajaj Finserv. It’s not a high-growth rocket, but it’s a solid anchor for a diversified portfolio. Ideal for investors seeking capital preservation with moderate appreciation.

Want to compare this with a more aggressive financial stock or build a hybrid portfolio? I’ve got ideas.

Edit in a page