Shares of Bajaj Housing Finance Ltd. are trading with losses on Friday, October 16, ahead of their second quarter results, which will be reported during the course of the day.
The company usually report its earnings after market closing.
Earlier this month, the company reported its business update for the quarter that ended on September 30.
As part of the business update, Bajaj Housing Finance had stated that its gross disbursements increased by 25.2% to ₹19,930 crore from ₹15,914 crore in the second quarter last year.
Its assets under management (AUM) were at ₹1.58 lakh crore in the September quarter, up 25% from the previous fiscal’s ₹1.27 lakh crore.
The company’s loan assets stood at ₹1.4 lakh crore compared to ₹1.13 lakh crore in the year-ago period.
All eyes now will be on Bajaj Housing Finance’s asset quality and what kind of guidance does the management give on the road ahead for the company.
During the June quarter, Bajaj Housing Finance’s asset quality remained largely stable, with gross NPA at 0.29% from 0.27% in March, while Net NPA at 0.12% from 0.11% sequentially. Focus will also be on the company’s margins, which had declined by 20 basis points year-on-year during the June quarter.
Analysts who track Bajaj Housing Finance are nearly split down the middle between being bullish and cautious. Seven out of the 17 analysts tracking the stock have a “buy” rating on it, six say “hold”, while four have a “sell” rating on the stock. The consensus estimates of price targets implies an upside potential of only 12% from current levels.
Shares of Bajaj Housing Finance are trading little changed ahead of its results announcement. The stock is down 0.2% at ₹83.6, having declined 13% so far this year. The stock has declined in seven out of the last 10 trading sessions and is trading close to its IPO price of ₹70 per share. The stock had made a post-listing high of ₹188.5, from which it has more than halved.
This same story will be updated once numbers for the September quarter are released by Bajaj Housing Finance.
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