Bajaj Housing shares hover near all-time low; what's next for this third-largest HFC?

Shares of Bajaj Housing Finance Ltd remained under pressure on Monday, slipping 1.60 per cent to settle at Rs 82.83. At this closing level, the stock was 1.76 per cent above its record low of Rs 81.40, touched earlier this month on March 2.

On the operational front, Bajaj Housing has emerged as one of India's fastest-growing housing finance companies (HFCs) within eight years of functioning as a standalone entity after being hived off from Bajaj Finance in 2017.

Since entering the mortgage business, the company has consistently outpaced several industry peers and maintained credit growth of around 25 per cent. The firm also crossed a major milestone last fiscal when its balance sheet surpassed Rs 1 lakh crore, making it the third-largest HFC in the country after LIC Housing Finance Ltd and Housing and Urban Development Corporation Ltd (HUDCO).

Stock-wise, Bajaj Housing made a stellar market debut in September 2024, but the stock has largely been consolidating since then. Some analysts remain cautious about its near-term technical outlook, citing persistent weakness on the charts. That said, a decisive move above the Rs 90 level could trigger further upside.

Osho Krishan, Senior Analyst – Technical & Derivative Research at Angel One, said, "Bajaj Housing has been in a corrective phase with no sign of respite, placed below its short-term EMA. The parameters have been in line with the downtrend, with no technical support for the time being. On the flipside, the Rs 88-90 zone is likely to act as an intermediate hurdle, and a decisive breakthrough could only negate the ongoing downtrend in the counter."

Kunal Kamble, Senior Technical Research Analyst at Bonanza, noted, "Bajaj Housing is currently trading in a strong downtrend. Immediate support is placed near Rs 80, and a breakdown below this level may drag the stock toward Rs 72–75. On the upside, resistance is seen near the Rs 90-96 range. A sustained move above Rs 96 could trigger a relief rally toward Rs 104, while failure to hold Rs 80 may extend the bearish trend further."

Shiju Koothupalakkal, Technical Research Analyst at Prabhudas Lilladher (PL), said, "The stock has witnessed a steady slide over the past one year and is currently trading with a bearish bias. The next downside support is positioned near Rs 76. The stock has recently broken the important support level of Rs 87, thereby further weakening the trend and indicating the possibility of further decline. From the current level, for the bias to improve, the stock needs to decisively move past the important Rs 90 mark and sustain above it, which could then pave the way for further progress in the counter."

Anshul Jain, Head of Research at Lakshmishree Investments, stated, "The stock has corrected sharply in the last 11 months and is now trading near its all-time low, reflecting sustained distribution and lack of institutional support. The price structure across timeframes remains decisively weak, with daily and weekly moving averages aggressively sloping downward and acting as dynamic resistance on every recovery attempt. Momentum indicators continue to deteriorate, while volume patterns suggest ongoing liquidation rather than stabilisation. The inability to hold even minor support levels indicates persistent selling pressure. With trend alignment firmly bearish, the path of least resistance remains lower. Another 10 to 15 per cent decline in the coming weeks appears highly likely unless the stock begins to show signs of demand absorption. Until the structure repairs and price reclaims key moving averages, any bounce should be treated as corrective rather than the start of a reversal."