Overview
- ICICI Securities reiterates a Buy on Bajaj Housing Finance with a target price of Rs 125, indicating roughly 30% potential upside.
- Bajaj Housing is aiming to lift its share of incremental home-loan originations to 5% from 2.5–2.7% and expects opex to net total income to moderate to 14–15% from about 20%.
- The lender has outpaced peers with about 29% AUM CAGR during FY20–25 and increased mortgage market share to 1.6% in a bank-dominated sector.
- ICICI maintains a Hold on Bajaj Finance with an unchanged Rs 1,050 target as the company sets a FY26–30 customer-centric, AI-led roadmap targeting 200–220 million customers and a 3.6–4% retail credit share.
- ICICI flags competitive pressure on lending spreads and potential increases in credit costs as key risks for Bajaj Housing.