Bajaj Housing Finance had an impressive start on the stock market on Monday, with shares opening at Rs 150 on the BSE, which is 114% higher than the issue price of Rs 70. Later, the share price climbed even further to Rs 160.92.
Shivani Nyati, head of wealth at Swastika Investmart Ltd, explained that Bajaj Housing Finance, a part of the well-known Bajaj Group, made a remarkable debut, with shares listing at Rs 150—114% above the issue price. This strong performance was expected, as the IPO was hugely popular, getting subscribed 67.43 times, and had a very high demand in the grey market.
Shivani Nyati noted that the strong listing shows that investors have great faith in Bajaj Housing Finance, thanks to its solid financials and support from the well-known Bajaj Group.
Nyati also highlighted that the company’s steady growth and fair pricing made it a very appealing investment. She said the successful market debut proves the company has strong fundamentals and that the market sees great growth potential in it.
For investors who got shares in the IPO, Nyati suggested they could consider selling now to lock in profits. However, those who want to hold on to their shares might set a stop loss at Rs 135 to manage risks. She emphasized the importance of regularly checking the company’s performance and the overall market to make smart decisions.
Master Capital Services recommended that investors look at Bajaj Housing Finance as a good medium- to long-term investment. They highlighted the company’s strong growth, large presence in the housing finance industry, trusted reputation, and lower valuation compared to competitors.
Bajaj Housing Finance is the second-largest home loan provider in India based on assets under management (AUM) and had one of the most eagerly awaited IPOs this year. Last week, it received bids worth around $38.60 billion (over Rs 3 lakh crore).