ScoreWhy is Bajaj Auto Ltd. ?
1
Strong Long Term Fundamental Strength with an average Return on Equity (ROE) of 23.08%
- Healthy long term growth as Net Sales has grown by an annual rate of 17.24% and Operating profit at 22.71%
- Company has a low Debt to Equity ratio (avg) at 0.08 times
2
Negative results in Sep 25
- OPERATING PROFIT TO INTEREST(Q) Lowest at 12.07 times
- ROCE(HY) Lowest at 22.46%
- DEBT-EQUITY RATIO(HY) Highest at 0.58 times
3
With ROCE of 23.7, it has a Fair valuation with a 5.6 Enterprise value to Capital Employed
- The stock is trading at a premium compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 2.38%, its profits have risen by 13% ; the PEG ratio of the company is 2.3
4
High Institutional Holdings at 22.44%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
5
Consistent Returns over the last 3 years
- Along with generating 2.38% returns in the last 1 year, the stock has outperformed BSE500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Bajaj Auto should be less than 10%
- Overall Portfolio exposure to Automobiles should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Bajaj Auto for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Bajaj Auto
2.38%
0.10
22.83%
Sensex
4.83%
0.41
11.83%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
17.24%
EBIT Growth (5y)
22.71%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
0.35
Net Debt to Equity (avg)
0.39
Sales to Capital Employed (avg)
1.22
Tax Ratio
26.41%
Dividend Payout Ratio
28.97%
Pledged Shares
0.01%
Institutional Holding
22.44%
ROCE (avg)
27.32%
ROE (avg)
23.08%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
30
Industry P/E
22
Price to Book Value
7.42
EV to EBIT
23.72
EV to EBITDA
22.79
EV to Capital Employed
5.63
EV to Sales
4.88
PEG Ratio
2.34
Dividend Yield
NA
ROCE (Latest)
23.72%
ROE (Latest)
24.38%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Sideways
Moving Averages
Bullish (Daily)
KST
Mildly Bearish
Mildly Bearish
Dow Theory
No Trend
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend9What is working for the Company
PAT(Q)
At Rs 2,122.03 cr has Grown at 53.2%
NET SALES(Q)
Highest at Rs 15,734.74 cr
PBDIT(Q)
Highest at Rs 3,463.16 cr.
OPERATING PROFIT TO NET SALES(Q)
Highest at 22.01%
PBT LESS OI(Q)
At Rs 2,422.86 cr has Grown at 27.54%
-20What is not working for the Company
OPERATING PROFIT TO INTEREST(Q)
Lowest at 12.07 times
ROCE(HY)
Lowest at 22.46%
DEBT-EQUITY RATIO(HY)
Highest at 0.58 times
INTEREST(Q)
Highest at Rs 286.84 cr
Loading Valuation Snapshot...
Here's what is working for Bajaj Auto
Profit After Tax (PAT) - Quarterly
At Rs 2,122.03 cr has Grown at 53.2%
Year on Year (YoY)MOJO Watch
Near term PAT trend is very positive
PAT (Rs Cr)
Net Sales - Quarterly
Highest at Rs 15,734.74 cr
in the last five quartersMOJO Watch
Near term sales trend is positive
Net Sales (Rs Cr)
Operating Profit (PBDIT) - Quarterly
Highest at Rs 3,463.16 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Operating Profit Margin - Quarterly
Highest at 22.01%
in the last five quartersMOJO Watch
Company's efficiency has improved
Operating Profit to Sales
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 2,422.86 cr has Grown at 27.54%
Year on Year (YoY)MOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Here's what is not working for Bajaj Auto
Operating Profit to Interest - Quarterly
Lowest at 12.07 times and Fallen
each quarter in the last five quartersMOJO Watch
The company's ability to manage interest payments is deteriorating
Operating Profit to Interest
Interest - Quarterly
At Rs 286.84 cr has Grown at 28.19%
Quarter on Quarter (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Debt-Equity Ratio - Half Yearly
Highest at 0.58 times and Grown
each half year in the last five half yearly periodsMOJO Watch
The company is borrowing more to fund its operations; it's liquidity situation may be stressed
Debt-Equity Ratio
Interest - Quarterly
Highest at Rs 286.84 cr
in the last five quarters and Increased by 28.19 % (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (Rs cr)
Non Operating Income - Quarterly
Highest at Rs 575.80 cr
in the last five quartersMOJO Watch
Increased income from non business activities may not be sustainable
Non Operating Income
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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