Prabhudas Lilladher Recommends 'BUY' on Bajaj Finance; Sets Rs 1,125 Target

• Prabhudas Lilladher maintains a 'BUY' rating for Bajaj Finance with an unchanged target price of Rs 1,125.
• Bajaj Finance's AUM grew by 22% YoY to Rs 4,844.8 billion, driven by mortgages, sales finance, and consumer B2C.
• The company is experiencing strong growth in new verticals like Cars, Gold, and MFI, with new customer additions projected at 17-18 million in FY26.
• AUM growth is estimated at 23%/24% for FY26/FY27E, with NIM expected to remain stable due to lower borrowing costs.
• Credit cost remained elevated at 3.1% due to accelerated provisions, but early-stage delinquencies show a healthy trend, with moderation expected in FY27E.