Bajaj Finance shares hit record high of ₹8,440 intraday; stock ends 5% higher; 3 things you need to know

The stock ended at ₹8,423.80, up ₹422.45, or 5.28%.

Shares were in heavy demand after Finance Minister Nirmala Sitharaman, in her Budget 2025-26 speech, provided a major boost to consumption and spending in the country by announcing a mega tax relief.

The finance minister on Saturday, February 1, announced individuals earning up to ₹12 lakh annually will not have to pay income tax under the new tax regime.

The FM said that the government has put a "substantial amount of money" in the hands of people through the rejig of I-T slabs in the Budget. An additional 1 crore people will pay no tax due to a hike in the tax rebate to ₹12 lakh per annum.

"One crore more people will pay no income tax due to the hike in the rebate to ₹12 lakh," Sitharaman said at the post-Budget press conference.

Reacting to the announcements, consumption stocks such as FMCG, auto, consumer durables, and consumer discretionary surged on Saturday.

Analysts believe that the Budget measures will result in higher discretionary cash flows for mid-income households, leading to a rise in durable goods consumption.

"Even as the boost to consumption demand may benefit consumer goods plays in the near term, an indirect and more durable trend may emerge for retail credit lenders. About 18 percent of retail credit customers are from the less than Rs 0.5 million bracket, and of that, 40 percent avail unsecured credit. The support to household balance sheets should help limit incremental slippages on the unsecured lending portfolio," Business Standard reported, quoting Elara Capital.

Bajaj Finance’s product suite includes Consumer Durable Loans, Digital Product Loans, Lifestyle Product Loans, Lifecare financing, EMI Card, Retail spend financing, 2W and 3W financing, Salaried Personal Loans, and Retailer finance, among others.

Besides, the Reserve Bank of India (RBI) is widely expected to cut rates in its upcoming monetary policy meeting due on February 7. This is further expected to boost the share price of the NBFC further.

Bajaj Finance Q3 FY25 Results

The company had reported a net profit of ₹3,639 crore in the year-ago period.

Total income rose to ₹18,058 crore for the third quarter of the ongoing fiscal year from ₹14,166 crore in the year-ago period, Bajaj Finance said in a regulatory filing.

The consolidated assets under management (AUM) improved 28% to ₹3,98,043 crore at the end of December 2024 compared to ₹3,10,968 crore in the third quarter of last year.

Net interest income (NII) grew to ₹9,382 crore as against ₹7,655 crore registered in the third quarter of FY24.

Bajaj Finance share price trend

Shares of Bajaj Finance have rallied 27% in the past 12 months.