Analysts in wait-and-watch mode on Bajaj Finance

While Street continues to like the business, analysts await clearer signals on consumer buying

A robust business model established over years of experience often tends to withstand the test of time quite remarkably. That of Bajaj Finance, India’s largest consumer durables financier, is one such example. 

During the note ban period, there were doubts on whether Bajaj Finance could replicate its historic performance in terms of customer acquisition, loan growth and, more importantly, asset quality in the December quarter (Q3). Much to the Street’s surprise, Bajaj Finance comfortably met these parameters. 

Customer acquisition grew by 35 per cent year-on-year in Q3, while assets under management expanded by 33 per cent to Rs 57,600 crore, year-on-year. Even