Bajaj Housing shares up 2% after Q3 results: What lies ahead for investors?

Shares of Bajaj Housing Finance Ltd gained on Tuesday, climbing 1.62 per cent to close at Rs 91.08. Despite the recent uptick, the stock has corrected 20.28 per cent over the past six months.

The stock movement followed the company's December quarter (Q3 FY26) earnings, which reflected growth across key parameters. Bajaj Housing reported a 21 per cent year-on-year (YoY) rise in net profit at Rs 665 crore, compared with Rs 548 crore in the same quarter last year.

Net interest income (NII) increased 19 per cent to Rs 963 crore from Rs 806 crore in Q3 FY25. Assets under management (AUM) stood at Rs 1.33 lakh crore as of December 31, 2025, marking a 23 per cent rise from Rs 1.08 lakh crore a year ago, supported by sustained loan growth.

ICICI Securities retained a positive stance, highlighting operating leverage and profitability improvement over the medium term. The brokerage said, "The company expects opex to NTI to moderate to 14–15 per cent over the medium term from its current level of 20 per cent. We are building in RoA of 2.3 per cent and RoE of 13–14 per cent for FY27E/FY28E, respectively. Maintain BUY with an unchanged target price of Rs 125, valuing the stock at 4x FY27E P/B."

Motilal Oswal Financial Services (MOFSL), while acknowledging the company's strengths, struck a cautious note on valuations. It said Bajaj Housing is a strong franchise, well-positioned to handle rising competition and a declining interest rate environment while maintaining healthy growth and profitability.

"However, the current valuation of 2.9x FY27E already reflects its medium-term growth potential and profitability. MOFSL brokerage maintained a 'Neutral' rating on the stock with a target of Rs 100," it added.

Kranthi Bathini, Equity Strategist at WealthMills Securities, advised investors to hold the stock after the Q3 results. 

From a technical perspective, Ravi Singh, Chief Research Officer at Mastertrust, said the stock looks strong on charts and has the potential to hit an upside target of Rs 100 in the near term, while recommending a stop loss at Rs 87.