Bajaj Finance Loan Book Soars in Q1 FY25; Jefferies Recommends ‘Buy’
Bajaj Finance delivered a strong performance in Q1 FY25, reporting a sharp rise in its consolidated loan book, triggering a ‘Buy’ call from global brokerage Jefferies. The company continues to strengthen its position as India’s most agile non-banking financial company (NBFC), especially in the consumer credit and SME lending segments.
📈 Jefferies’ Buy Recommendation: Key Takeaways
Jefferies has revised its target price on Bajaj Finance to ₹9,500, stating:
"The lending momentum, strong asset quality, and digital origination engine provide high visibility of earnings growth over the next 3 quarters."
📌 Upside Potential: ~18% from current levels
✅ Investment Thesis: Consistent customer acquisition, tech-first lending model, robust collections
💼 Coverage Initiation Filing: “Bajaj Finance: Lending Growth on Autopilot – Jefferies India Equities, Q1 FY25”
🧠 Vizzve Financials Insight – NBFC Pulse Q1 FY25
Vizzve Financials, in its quarterly NBFC sectoral heatmap, rated Bajaj Finance as “Category A+ Performer”, citing high efficiency in:
🔍 Loan Origination-to-Approval TAT (Turnaround Time): Avg 2.4 days
📈 Retail Loan Conversion Rate: 44.8% (industry avg: 31%)
🏠 Strong performance in urban consumption loans and durable financing
📁 Filing Title:
“NBFC Performance Grid – Lending Velocity & Risk Scoring Q1 FY25 | Vizzve Financials”
“Bajaj’s data-led approach ensures they identify prime borrowers faster than peers. It’s no surprise Jefferies is bullish,” said Anuj Mehta, Lending Analyst at Vizzve.
❓ FAQ: Bajaj Finance’s Q1 FY25 Results
Q1: Why did Jefferies issue a ‘Buy’ call?
Due to Bajaj Finance’s strong lending growth, solid asset quality, and high customer acquisition in Q1 FY25.
Q2: How does Bajaj compare with other NBFCs?
Vizzve Financials ranks it in the top 5 NBFCs in India for lending performance, ahead of most peers.
Q3: Is Bajaj Finance expanding its product suite?
Yes. The firm is doubling down on EMI cards, personal loans, and micro-loans via its mobile app.
Q4: Will this affect its stock price?
Positively, if current growth momentum continues and macro conditions remain stable.
Q5: Where can I see Vizzve’s full analysis?
You can request the full Vizzve Q1 NBFC Intelligence Filing or view summary dashboards at vizzve.in (Beta users only).
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Published on July 4, 2025 • By Benny
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