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Growth or stability, the dilemma for investors looking at Bajaj Finance

With the stock doubling in six months, the consumer lender has outperformed peers

Bajaj Finance | Markets | Investors

Hamsini Karthik 

investment, investors, savings, money, cash, shares, funds, equity
The company recently guided that FY22 may be a year of normalcy, though the steady state growth rate may be 20 – 21 per cent

It's not often that a company gives a cautious outlook and yet, its stock price scales a new high. The case in point is and with the stock doubling in six months, and nearing the Rs 5,000 a share zone, its valuations are once again in the expensive territory of 6.5x FY22 estimated book. At these levels, the question is whether should own the stock for its pedigree and market position despite its valuation not justifying the slowing pace of growth.



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First Published: Wed, December 02 2020. 14:53 IST