Bajaj Finance Ltd Sees Robust Value Turnover Amid Mixed Technical Signals

High-Value Trading and Market Capitalisation

Bajaj Finance Ltd, a leading Non Banking Financial Company (NBFC) with a market capitalisation of approximately ₹6,06,723 crore, continues to command significant attention from market participants. The stock opened at ₹973.95 and touched an intraday high of ₹983.60 before settling at ₹975.65, marking a 1.38% increase from its previous close of ₹964.75. This upward movement was accompanied by a substantial traded value of ₹27,553.99 lakh, underscoring the stock’s liquidity and appeal to both retail and institutional investors.

Institutional Interest and Order Flow Dynamics

Despite the strong turnover, delivery volumes on 5 February fell sharply by 45.72% compared to the five-day average, registering 41.31 lakh shares. This decline in delivery volume suggests a shift towards more speculative or intraday trading activity rather than long-term accumulation. Nevertheless, the stock’s liquidity remains robust, with the capacity to support trade sizes up to ₹21.43 crore based on 2% of the five-day average traded value, making it an attractive option for large institutional orders.

Technical Assessment and Momentum

From a technical standpoint, Bajaj Finance’s last traded price is positioned above its 5-day, 20-day, and 200-day moving averages, signalling short- and long-term bullish momentum. However, it remains below the 50-day and 100-day moving averages, indicating some resistance at intermediate levels. The stock has recorded gains for two consecutive days, delivering a cumulative return of 1.32% over this period, and outperformed its NBFC sector peers by 1.46% on the day. This mixed technical picture suggests cautious optimism among traders and investors.

Mojo Score and Rating Revision

MarketsMOJO’s proprietary analysis assigns Bajaj Finance a Mojo Score of 65.0, reflecting a Hold rating as of 1 February 2026. This represents a downgrade from its previous Buy rating, signalling a more cautious stance amid evolving market conditions. The downgrade is likely influenced by the stock’s recent technical resistance and the decline in delivery volumes, which may indicate waning conviction among long-term investors. The company retains a Market Cap Grade of 1, consistent with its large-cap status and dominant market position within the NBFC sector.

Sector and Benchmark Comparison

On 6 February, Bajaj Finance outperformed the NBFC sector, which declined by 0.20%, and the Sensex, which fell by 0.41%. This relative strength highlights the stock’s resilience amid broader market pressures. The NBFC sector has faced headwinds recently due to tightening credit conditions and regulatory scrutiny, yet Bajaj Finance’s diversified loan book and strong brand equity continue to support investor confidence.

Investor Participation and Liquidity Considerations

While the stock’s liquidity remains sufficient for sizeable trades, the notable drop in delivery volume raises questions about the sustainability of current price levels. Reduced delivery volumes often imply that a larger proportion of trades are speculative or short-term in nature, which can increase volatility. Investors should monitor whether institutional investors maintain or adjust their holdings in the coming sessions, as this will be a key determinant of the stock’s medium-term trajectory.

Outlook and Investor Takeaways

Bajaj Finance’s recent trading activity underscores its status as a high-value, liquid stock within the NBFC sector. The stock’s ability to outperform its sector and benchmark indices amid a challenging environment is a positive signal. However, the downgrade to a Hold rating and the decline in delivery volumes suggest that investors should exercise caution and closely monitor upcoming quarterly results and macroeconomic developments.

Investors with a medium- to long-term horizon may wish to wait for confirmation of sustained institutional buying and a break above the 50-day and 100-day moving averages before increasing exposure. Conversely, traders may find opportunities in the stock’s intraday volatility and liquidity, provided they manage risk prudently.

Financial Metrics and Quality Assessment

While detailed quarterly financials are awaited, Bajaj Finance’s large market capitalisation and dominant position in consumer finance provide a solid foundation. The company’s credit quality, asset under management growth, and cost of funds will be critical metrics to watch in the near term. MarketsMOJO’s comprehensive grading system currently reflects a Hold stance, balancing the company’s strengths against emerging headwinds.

Conclusion

Bajaj Finance Ltd remains a key stock to watch in the NBFC space, with significant trading volumes and value turnover signalling ongoing investor interest. The mixed technical signals and recent rating downgrade counsel a measured approach, with investors advised to weigh the stock’s liquidity and relative strength against the broader sector challenges and evolving market dynamics.

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