Bajaj Housing Finance Stock Hits All-Time Low Amidst Prolonged Downtrend

Recent Price Movements and Market Performance

On 2 December 2025, Bajaj Housing Finance opened with a gap down of 6.94%, continuing its downward trajectory. The stock recorded an intraday low of Rs. 94.9, representing a 9.19% decline on the day and setting a fresh 52-week and all-time low. This movement contrasts sharply with the broader market, as the Sensex registered a marginal fall of 0.28% on the same day.

The stock has underperformed its sector peers, with a day’s performance lagging the housing finance sector by 8.48%. Over the last three trading sessions, Bajaj Housing Finance has recorded a cumulative return of -9.4%, signalling a persistent negative trend. Furthermore, the share price is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, underscoring the prevailing bearish sentiment.

Comparative Performance Over Various Timeframes

Examining the stock’s performance over longer periods reveals a consistent pattern of underperformance relative to the broader market benchmarks. Over the past week, the stock declined by 8.43%, while the Sensex gained 0.96%. The one-month return for Bajaj Housing Finance stands at -12.83%, contrasting with a 1.74% rise in the Sensex.

Over three months, the stock’s return was -15.11%, whereas the Sensex appreciated by 6.54%. The one-year performance shows a decline of 28.60%, compared to a 6.42% gain in the Sensex. Year-to-date, the stock has recorded a negative return of 24.60%, while the Sensex has advanced by 9.29%. Notably, the stock has not registered any gains over the past three and five years, remaining flat, while the Sensex has delivered returns of 35.84% and 91.40% respectively. Over a decade, the Sensex’s growth of 226.98% further highlights the stock’s relative stagnation.

Financial Metrics and Valuation Insights

Bajaj Housing Finance’s return on equity (ROE) stands at 11.1%, indicating the company’s ability to generate profits from shareholders’ equity. The stock’s price-to-book value ratio is 4.1, suggesting a valuation level that some may consider elevated relative to its book value. Despite the stock’s negative returns over the past year, the company’s profits have shown a rise of 25% during the same period.

Long-term growth metrics reveal a compound annual growth rate (CAGR) of 27.65% in operating profits, reflecting sustained expansion in core earnings. Net sales have grown at an annual rate of 30.00%, while operating profit growth aligns closely at 27.65%. These figures indicate a healthy growth trajectory in the company’s revenue and profitability streams over recent years.

Quarterly Performance Highlights

In the most recent quarters, Bajaj Housing Finance has reported positive results consecutively for four quarters. The highest quarterly net sales reached Rs. 2,754.85 crores, while the operating profit to interest coverage ratio peaked at 1.51 times. The company’s profit before depreciation, interest, and taxes (PBDIT) for the quarter was Rs. 2,502.17 crores, marking a notable level of operational earnings.

Majority ownership remains with the promoters, indicating a stable shareholding structure.

Sector and Market Context

Bajaj Housing Finance operates within the housing finance sector, a segment that has experienced varied performance across different companies. The stock’s recent underperformance relative to the sector and broader market indices highlights the challenges faced in maintaining investor confidence and market momentum. The company’s market capitalisation grade is noted as 1, reflecting its relative size and market presence within the sector.

The stock’s recent consecutive declines and trading below all major moving averages suggest a cautious market stance. The gap down opening and intraday lows reinforce the pressure on the stock price, which has not found support at higher levels in recent sessions.

Summary of Key Price and Performance Data

• All-time low price: Rs. 94.9

• Day’s decline: 8.04%

• Underperformance vs Sensex (1 day): -7.76% (stock -8.04%, Sensex -0.28%)

• Underperformance vs sector (1 day): -8.48%

• Consecutive days of decline: 3

• Returns over 1 year: -28.60%

• Returns year-to-date: -24.60%

• Operating profit CAGR: 27.65%

• Net sales growth rate: 30.00% annually

• ROE: 11.1%

• Price to book value: 4.1

The data presents a comprehensive picture of Bajaj Housing Finance’s current market standing, reflecting a period of price weakness despite underlying growth in sales and profits. The stock’s valuation metrics and recent price action indicate a complex scenario for market participants.

Conclusion

Bajaj Housing Finance’s stock reaching an all-time low of Rs. 94.9 marks a significant event in its trading history. The sustained decline over multiple timeframes and underperformance relative to key indices and sector peers highlight the challenges faced by the company in the current market environment. While the company’s financials show growth in profits and sales, the market valuation and price trends suggest a cautious outlook from investors. The stock’s position below all major moving averages and the recent gap down opening reinforce the subdued sentiment prevailing in the market.

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