Buy Bajaj Finance Ltd; target of Rs 1576: Geojit Financial Services
Geojit Financial Services is bullish on Bajaj Finance Ltd has recommended buy rating on the stock with a target price of Rs 1576 in its research report dated July 13, 2017.
Geojit Financial Services’ research report on Bajaj Finance Ltd
BFL has a strong parentage and a highly-experienced management team with distinct focus in consumer, SME, commercial and rural financing verticals.It’s unique and innovative product offerings coupled with strong risk management practices enabled the company to stay ahead of the curve even during prolong slowdown in the economy.
Moreover, we expect BFL to continue to deliver ~3%+ RoA and ~20%+ RoE on sustainable basis in the medium term. Given the strong growth rate, unbeatable asset quality and superior return ratios, its premium valuations within the NBFC space is justified. Thus, we initiate coverage on BFL with a BUY rating and assign a target price (TP) of Rs1,576 (P/ABV of 6.1x for FY19E).
For all recommendations, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.