Bajaj Finance Ltd Sees Robust Trading Activity Amid Market Rally

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Bajaj Finance Ltd, a leading player in the Non Banking Financial Company (NBFC) sector, witnessed significant trading activity on 3 February 2026, driven by strong institutional interest and a surge in value turnover. The stock outperformed its sector and benchmark indices, reflecting renewed investor confidence despite a recent downgrade in its Mojo Grade.
Bajaj Finance Ltd Sees Robust Trading Activity Amid Market Rally

High-Value Turnover and Volume Surge

Bajaj Finance Ltd (symbol: BAJFINANCE) emerged as one of the most actively traded equities by value on the trading day, with a total traded volume of 69,89,659 shares and an impressive traded value of ₹66,750.54 lakhs. This level of liquidity underscores the stock’s appeal among large investors and institutional participants, who have been increasingly active in the NBFC space amid evolving market dynamics.

The stock opened sharply higher at ₹960.0, representing a gap-up of 6.23% from the previous close of ₹903.7. It touched an intraday high of ₹972.8, marking a 7.65% rise, before settling at the last traded price (LTP) of ₹954.25 as of 10:39:46 IST. The day’s low was ₹941.9, indicating a relatively tight trading range despite the strong upward momentum.

Price Performance and Moving Averages

On a one-day basis, Bajaj Finance delivered a robust return of 5.80%, outperforming the NBFC sector’s gain of 3.34% and the broader Sensex’s 2.83% rise. The stock has been on a positive trajectory for two consecutive days, accumulating a 5.59% return over this period. This outperformance highlights the stock’s resilience and investor appetite in a sector that has gained 3.43% on the day.

Technical indicators reveal that the stock’s price is trading above its 5-day and 20-day moving averages, signalling short-term bullishness. However, it remains below the 50-day, 100-day, and 200-day moving averages, suggesting that medium- to long-term trends are yet to fully confirm a sustained uptrend. The weighted average price indicates that more volume was traded closer to the day’s low, which may imply cautious profit-taking or accumulation at lower levels.

Institutional Interest and Delivery Volumes

Investor participation has notably increased, with delivery volumes reaching 80.49 lakhs shares on 2 February 2026, a substantial 39.63% rise compared to the five-day average delivery volume. This surge in delivery volume is a strong indicator of genuine buying interest rather than speculative intraday trading, often favoured by institutional investors and mutual funds.

Liquidity remains robust, with the stock’s traded value comfortably supporting trade sizes of up to ₹14.64 crores based on 2% of the five-day average traded value. This liquidity profile makes Bajaj Finance an attractive option for large-scale investors seeking to enter or exit positions without significant market impact.

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Mojo Score and Rating Revision

Bajaj Finance currently holds a Mojo Score of 61.0, placing it in the 'Hold' category, a downgrade from its previous 'Buy' rating as of 1 February 2026. This revision reflects a more cautious stance by analysts, likely influenced by valuation concerns and the stock’s positioning relative to longer-term moving averages. Despite this, the company maintains a Market Cap Grade of 1, underscoring its status as a large-cap heavyweight with a market capitalisation of ₹5,94,931.49 crores.

The downgrade does not diminish the stock’s appeal to institutional investors, who appear to be capitalising on short-term momentum and sectoral tailwinds. The NBFC sector continues to attract attention due to improving asset quality, rising credit demand, and favourable regulatory developments.

Sectoral Context and Comparative Performance

The NBFC sector’s 3.43% gain on the day was buoyed by strong performances from key constituents, with Bajaj Finance leading the charge in terms of value traded and price appreciation. The company’s ability to outperform both its sector and the Sensex highlights its relative strength and market leadership.

Investors should note that while the stock’s short-term technicals are encouraging, the medium-term outlook remains mixed. The stock’s position below its 50-day and longer moving averages suggests that a sustained rally will require confirmation through improved earnings visibility and broader market support.

Outlook and Investor Considerations

Given the current trading dynamics, Bajaj Finance presents a compelling case for investors seeking exposure to a large-cap NBFC with strong liquidity and institutional backing. The recent price action indicates renewed confidence, but the Mojo Grade downgrade advises prudence and a balanced approach.

Investors should monitor upcoming quarterly results and sectoral developments closely, as these will be critical in determining whether the stock can break above its longer-term moving averages and sustain its upward momentum. Additionally, tracking delivery volumes and value turnover will provide insights into the strength of institutional participation.

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Institutional Flows and Market Impact

The surge in delivery volumes and value turnover suggests that institutional investors are actively repositioning their portfolios in Bajaj Finance. Such flows often precede sustained price movements, as large investors typically conduct thorough due diligence before committing capital.

Moreover, the stock’s liquidity profile supports sizeable trades without excessive price impact, making it a preferred choice for mutual funds, insurance companies, and foreign portfolio investors looking to increase exposure to the NBFC sector.

Market participants should also consider the broader macroeconomic environment, including interest rate trends and credit growth, which will influence NBFC earnings and valuations in the coming quarters.

Valuation and Risk Factors

While Bajaj Finance’s recent price gains are encouraging, valuation metrics warrant careful analysis. The stock’s premium to sector averages and historical multiples may limit upside potential in the near term. Additionally, any adverse developments in asset quality or regulatory changes could weigh on sentiment.

Investors are advised to balance the stock’s strong liquidity and institutional interest against these risks, adopting a measured approach aligned with their investment horizon and risk tolerance.

Conclusion

Bajaj Finance Ltd’s robust trading activity on 3 February 2026 highlights its continued prominence in the NBFC sector and the broader equity market. Despite a recent Mojo Grade downgrade to 'Hold', the stock’s strong volume, value turnover, and institutional participation underscore its appeal to large investors.

Outperformance relative to sector and benchmark indices, coupled with rising delivery volumes, suggests positive near-term momentum. However, investors should remain vigilant regarding valuation levels and medium-term technical indicators before committing fresh capital.

Overall, Bajaj Finance remains a key stock to watch for those seeking exposure to India’s NBFC sector, balancing growth potential with prudent risk management.

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