Stock Performance and Market Context
On 25 Feb 2026, Bajaj Auto Ltd. touched an intraday high of Rs. 10,098.45, marking a 2.79% increase on the day and outperforming the Automobile Two & Three Wheelers sector, which gained 2.23%. The stock’s day change stood at a notable 2.76%, exceeding the sector’s performance by 0.76%. This rally places Bajaj Auto comfortably above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, signalling strong technical momentum.
The broader market also exhibited strength, with the Sensex opening 304.20 points higher and closing up by 280.76 points at 82,810.88, a 0.71% gain. Although the Sensex remains 4.04% shy of its own 52-week high of 86,159.02, mega-cap stocks are leading the charge, contributing to the positive sentiment that has buoyed Bajaj Auto’s shares.
Long-Term Performance and Sector Leadership
Over the past year, Bajaj Auto Ltd. has delivered a total return of 19.74%, significantly outpacing the Sensex’s 10.99% gain during the same period. The stock’s 52-week low was Rs. 7,088.25, highlighting the substantial appreciation investors have witnessed over the last twelve months. Bajaj Auto’s market capitalisation currently stands at Rs. 2,74,581 crore, making it the largest company in the automobile sector and accounting for 33.28% of the sector’s total market cap.
In terms of sales, Bajaj Auto’s annual revenue of Rs. 57,718.86 crore represents 31.53% of the industry’s total, underscoring its dominant position. The company’s consistent growth and market leadership have been key drivers behind the stock’s upward trajectory.
Strong fundamentals, solid momentum, fair price – This Large Cap from the NBFC sector checks every box for our Top 1%. This should definitely be on your radar!
- - Complete fundamentals package
- - Technical momentum confirmed
- - Reasonable valuation entry
Fundamental Strength and Financial Metrics
Bajaj Auto Ltd. boasts a strong long-term fundamental profile, with an average Return on Equity (ROE) of 23.08%, reflecting efficient capital utilisation and profitability. The company has demonstrated healthy growth, with net sales expanding at an annual rate of 17.33% and operating profit increasing by 22.64% over the long term. Its low average debt-to-equity ratio of 0.08 times further highlights prudent financial management and a conservative capital structure.
Institutional investors hold a significant 22.91% stake in the company, indicating confidence from entities with extensive analytical resources. Bajaj Auto is also ranked among the top 1% of companies rated by MarketsMojo across a universe of over 4,000 stocks, reflecting its superior quality and market standing.
Valuation and Profitability Considerations
Despite the strong performance, Bajaj Auto’s valuation metrics suggest a premium positioning. The company’s Return on Capital Employed (ROCE) stands at 23.7%, with an enterprise value to capital employed ratio of 6.1, indicating a relatively expensive valuation compared to peers. The Price/Earnings to Growth (PEG) ratio is 1.7, reflecting the balance between earnings growth and price appreciation.
Profit growth over the past year has been robust at 18.7%, closely aligned with the stock’s 19.74% return, underscoring the company’s ability to translate operational performance into shareholder value. Interest expenses have grown by 62.17% over the last six months, reaching Rs. 600.47 crore, while the operating profit to interest ratio remains healthy at 11.89 times, supporting the company’s capacity to service debt efficiently.
Curious about Bajaj Auto Ltd. from Automobiles? Get the complete picture with our detailed research report covering fundamentals, technicals, peer analysis, and everything you need to decide!
- - Detailed research coverage
- - Technical + fundamental view
- - Decision-ready insights
Sector and Market Positioning
Bajaj Auto’s leadership in the two and three-wheeler segment has been a critical factor in its market outperformance. The company’s ability to maintain a dominant market share, combined with steady sales growth and operational efficiency, has contributed to its sustained upward price movement. The stock’s current trading levels well above all key moving averages reinforce the positive technical outlook.
While the broader automobile sector has gained 2.23% on the day, Bajaj Auto’s outperformance by 0.76% highlights its relative strength within the industry. The company’s scale and market cap dominance provide it with competitive advantages in terms of brand recognition, distribution reach, and product innovation.
Summary of Key Metrics
To summarise, Bajaj Auto Ltd. has achieved a significant milestone by reaching a new 52-week high of Rs. 10,098.45, supported by strong fundamentals, sector leadership, and favourable market conditions. The stock’s one-year return of 19.74% surpasses the Sensex’s 10.99%, while its financial metrics reflect solid profitability and growth. Institutional backing and a top-tier MarketsMojo rating further underscore the company’s quality profile.
Despite a premium valuation, Bajaj Auto’s consistent earnings growth and dominant market position continue to underpin its market performance, making this 52-week high a noteworthy achievement in the current market cycle.
Limited Period Only. Start at Rs. 9,999 - Get MojoOne for 1 Year + 3 Months FREE (60% Off) Get 71% Off →
