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Bajaj Finance and Bajaj Finserv are valued in different ways.
Bajaj Finance is valued on excess return and Bajaj Finserv on estimate withheld, because the two businesses do not work the same way. Below, each is set out on its own record and its own value drivers; the two fair values sit in the full valuations.
- Valuation method: Bajaj Finance on excess return; Bajaj Finserv on estimate withheld.
- Size: Bajaj Finance is worth about 347.5 times Bajaj Finserv on the stock market.
- Record: Bajaj Finance has grown revenue faster: Bajaj Finance compounded at about 21% a year (FY2020–FY2026) and Bajaj Finserv at about 19% (FY2020–FY2026).
- What to watch: return on equity at Bajaj Finance; the value of bajaj finance at Bajaj Finserv.
| Bajaj Finance | Bajaj Finserv | |
|---|---|---|
| Price | ₹1,117 | ₹1,865 |
| Market cap | ₹6.95L Cr | ₹0.02L Cr |
| P/E | 32.0 | 0.2 |
| P/B | 6.10 | 0.02 |
| Fair value 🔒 sign in | ₹0,000 | ₹0,000 |
| Upside 🔒 sign in | +00% | +00% |
| Valued on | Excess return | Estimate withheld |
01Two businesses
A lender built on the EMI
Bajaj Finance is India's largest non-bank consumer lender and part of the Bajaj Finserv group. It made its name financing consumer durables at the point of sale — the EMI on a phone or a fridge — and has grown into personal loans, small-business loans, loans against property, gold loans and, through its listed subsidiary Bajaj Housing Finance, home loans.
A holding company for lending and insurance
Bajaj Finserv is the financial-services holding company of the Bajaj group. Its biggest asset is its majority stake in Bajaj Finance, India's largest non-bank consumer lender. It also owns life and general insurance businesses run for years as joint ventures with Allianz, and in 2025 it agreed to buy out Allianz's stake in them.
02The records side by side
Bajaj Finance has grown revenue faster: Bajaj Finance compounded at about 21% a year (FY2020–FY2026) and Bajaj Finserv at about 19% (FY2020–FY2026). By revenue, Bajaj Finserv is about 1.8 times the size of Bajaj Finance. Bajaj Finance kept 23.6% of revenue as net profit in FY2026; Bajaj Finserv kept 13.1% of revenue as net profit in FY2026 — a sign of very different business models.
Full ten-year tables and charts are on each company's page: Bajaj Finance · Bajaj Finserv.
03What each price assumes
Work backwards from each share price and you can see what buyers are taking for granted — the rate each company must sustain to justify what it costs, against what its own record supports.
04What decides each one's value
- Return on equityThe premium only holds if returns stay well above the cost of equity. The figure in 'What each price assumes' shows the return today's price needs.
- Loan growthValue compounds with the book. A slowdown in growth hits a premium lender harder than a cheaply priced one.
- The value of Bajaj FinanceMost of Bajaj Finserv's value follows the listed price of its Bajaj Finance stake.
- Insurance valueThe life and general insurers add value that does not show up fully in reported profit.
05What could go wrong
- Regulatory tighteningThe RBI has raised capital requirements on unsecured consumer lending and acted against specific Bajaj Finance products in November 2023.
- A consumer-credit downturnRising defaults among stretched borrowers would hit provisions and growth together.
- ConcentrationBajaj Finance's fortunes dominate Bajaj Finserv's.
- Insurance regulationRules on commissions and product design can squeeze insurer profits.
06Which is better value?
Sign in free to see which trades further below its worth
- ✓Both fair values per share — each on the method that fits the business
- ✓Every step of both workings — growth, margins and cost of capital, with sources
- ✓Bull, base and bear cases — for each company
- ✓Downloadable reports — the full write-up for each, yours to keep
08Questions people ask
Is Bajaj Finance or Bajaj Finserv better value?
That turns on how far each share trades from its estimated fair value. Both figures, with every step of the working, are in the full valuations, free to view once you sign in. On the public numbers, Bajaj Finance trades at 32.0 times earnings and 6.10 times book value, and Bajaj Finserv at 0.2 times earnings and 0.02 times book value — but multiples alone mislead when two businesses work differently, which is why each is valued on the method that fits it.
What is the difference between Bajaj Finance and Bajaj Finserv?
Bajaj Finance is India's largest non-bank consumer lender and part of the Bajaj Finserv group. Bajaj Finserv is the financial-services holding company of the Bajaj group.
Are Bajaj Finance and Bajaj Finserv valued the same way?
No. Bajaj Finance is valued on excess return and Bajaj Finserv on estimate withheld, because forcing one model onto both would misstate at least one of them.
What does today's price assume for Bajaj Finance and Bajaj Finserv?
Worked backwards from the share price, Bajaj Finance needs about 24.9% return on equity and Bajaj Finserv about 0% growth, against 20.1% and 21% in their own records.