Bajaj Finance is a NBFC with focus on retail lending for purchase of consumer durables, housing loans and SMEs. The Company is the dominant player in the consumer durable financing segment and continues to increase its market share in the consumer business.

The key thing to watch in Bajaj Finance has always been the loan growth. AUM grew 41% to Rs. 115,888 Cr. in Q4FY19, led by SME and consumer segment. SME grew 38% YoY to Rs. 15,759 Cr. and consumer by 45% YoY to Rs. 44,989 Cr.

Bajaj Finserv is a holding company of Bajaj group that holds stake in financials and insurance companies of the group like Bajaj Finance (54.99%), Bajaj Allianz Life insurance (74%) and General Insurance (74%).

For Bajaj Finserv, the new business premium growth in insurance business is the key thing to watch.

Read More – Bajaj Finance Stock Analysis

Read More – Bajaj Finserv Stock Analysis

Difference – Bajaj Finance and Bajaj Finserv

Share Price Performance – Bajaj Finance and Bajaj Finserv

In last one year, both Bajaj Finance (up 56%) and Bajaj Finserv (up 37%) have outperformed the Sensex.

Interesting Fact – Bajaj Finance has become larger than most banks in India. As on 10th June, 2019, only five banks have market cap that exceeds that of Bajaj Finance. These are State Bank of India, HDFC Bank, ICICI Bank Kotak Mahindra Bank and Axis Bank.

Top 10 Private Banks by Market Cap

Name Price 

(In Rs.)

Market Cap. (In Rs. Cr.)
HDFC Bank 2,440.20 664,965.27
Kotak Mahindra 1,502.60 286,833.93
ICICI Bank 416.10 268,340.04
Axis Bank 814.15 209,479.34
IndusInd Bank 1,551.65 93,559.59
Bandhan Bank 552.45 65,911.86
Yes Bank 135.90 31,486.19
RBL Bank 669.65 28,608.21
Federal Bank 105.40 20,925.38
IDFC First Bank 42.20 20,180.24

Top 10 NBFCs by Market Cap

Name Price 

(In Rs.)

Market Cap. (In Rs. Cr.)
HDFC 2,196.50 378,237.66
Bajaj Finance 3,520.90 204,174.95
Indiabulls Hsg 733.05 31,330.80
LIC Housing Fin 550.25 27,769.08
M&M Financial 417.45 25,788.60
Muthoot Finance 642 25,722.46
L&T Finance 124.1 24,814.23
Shriram Transport 1,075.20 24,394.43
Cholamandalam 1,465.25 22,910.52
GRUH Finance 300.5 22,047.31