Bajaj Holdings & Investment Ltd Stock Analysis

BSE: 500490 | NSE: BAJAJHLDNG | Finance - NBFC | Large Cap

BSE Share Price May 23, 18:01
4905.80 -19.80 (-0.40%)

DeciZen - Make an Informed Decision on Bajaj Hold & Invest

Overall Rating

1. Quality

2. Valuation

Somewhat overvalued

3. Price Trend

FAQs

1. Is Bajaj Holdings & Investment Ltd a good quality company?

Past 10 year's financial track record analysis by Moneyworks4me indicates that Bajaj Holdings & Investment Ltd is a good quality company.

2. Is Bajaj Holdings & Investment Ltd undervalued or overvalued?

The key valuation ratios of Bajaj Holdings & Investment Ltd's currently when compared to its past seem to suggest it is in the Somewhat overvalued zone.

3. Is Bajaj Holdings & Investment Ltd a good buy now?

The Price Trend analysis by MoneyWorks4Me indicates it is Strong which suggest that the price of Bajaj Holdings & Investment Ltd is likely to Rise in the short term. However, please check the rating on Quality and Valuation before investing

10 Year X-Ray of Bajaj Hold & Invest:

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end.

Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
Bajaj Holdings & Investment Ltd has performed well in majority of the past ten years indicating its past ten year financial track record is very good
Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Operating Income (₹ Cr.)6557528029721,3958809499992,1643671,756
YoY Gr. Rt. %-14.9%6.6%21.2%43.4%-36.9%7.8%5.2%116.7%-83%-
Adj EPS (₹ ) 5159.665.978114.248.471.970.8164.217.8146.5
YoY Gr. Rt. %-16.9%10.6%18.3%46.4%-57.6%48.6%-1.5%131.8%-89.1%-
BVPS (₹ )435.7466.1496.9535.8610.8659.2918.5987.5960.81,259.51,382.6
YoY Gr. Rt. %-7%6.6%7.8%14%7.9%39.3%7.5%-2.7%31.1%-
To view Net Profit/Total Funds (%) Colour Rating Guide click here
Net Profit/Total Funds (%)10.912.212.71418.97.59.17.516.81.60

CAGR

CAGR Colour Code Guide
9 Years 5 Years 3 Years 1 Years
Net Interest Income-6.2%-23.4%-27.1%-83%
Adj EPS-11%-31%-37.2%-89.1%
BVPS12.5%15.6%11.1%31.1%
Share Price 20.4% 19.3% 13.2% 37.9%

Key Financial Ratios

RATIOS \ YEARSMar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20Mar'21TTM
Asset Quality Ratio To view Asset Quality Ratio Colour Rating Guide click here
Net NPA to Net Advances (%)0000000000-
Capitalization Ratio To view Capitalization Ratio Colour Rating Guide click here
Capital Adequacy Ratio (%) 123109105133000000-
Margins
Net Profit Margin (%)86.788.291.589.391.161.184.378.984.45492.8
Performance Ratios To view Performance Ratios Colour Rating Guide click here
Return on Equity (%)1213.213.715.119.97.69.17.416.91.610.6

Recent Performance Summary

Return on Equity has increased versus last 3 years average to 11.10%

Total income growth is good in last 4 quarters

Total Income has declined 344.77 CAGR in last 3 years

Net Profit has declined -37.16 CAGR in last 3 years

Latest Financials - Bajaj Holdings & Investment Ltd.

Standalone Consolidated
TTM EPS (₹) 146.5 364.4
TTM Sales (₹ Cr.) 1,756 392
BVPS (₹.) 1,382.6 3,849.5
Reserves (₹ Cr.) 15,277 42,731
P/BV 3.55 1.27
PE 33.49 13.46
From the Market
52 Week Low / High (₹) 3451.05 / 6573.05
All Time Low / High (₹) 146.67 / 6573.05
Market Cap (₹ Cr.) 54,598
Equity (₹ Cr.) 111.3
Face Value (₹) 10
Industry PE 29.7

Management X-Ray of Bajaj Hold & Invest :

Shareholding Pattern

Promoter's Holding & Share Pledging

Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

Event Update

Analyst's Notes

News

About Bajaj Holdings & Investment Ltd

Bajaj Holdings & Investment (BHIL) - erstwhile Bajaj Auto (BAL) - was de-merged as per the Bombay High Court order dated 18 December 2007. The company is essentially a holding and investment company focusing on earnings income through dividend, interest and gains on investments held. Bajaj Auto is the flagship company of the Bajaj Group. The group comprises of 35 companies and was founded in the year 1926.

As part of the demerger Scheme, Bajaj Holdings and Investment, the auto company, was renamed as Bajaj Auto and the erstwhile Bajaj Auto was renamed as Bajaj Holdings & Investment (which would act as the primary investment company).

The process of demerger of erstwhile BAL, which was approved by the board of directors of the company on May 17, 2007 was completed with all approvals being obtained, including that of Bombay High Court and SEBI. Pursuant to the Scheme of Arrangement of Demerger, Bajaj Holdings & Investments Ltd (BHIL, erstwhile BAL) was demerged into three undertakings with effect from the effective date, viz. 20 February 2008. Further Pursuant to the Scheme of Demerger, the GDR programs for Bajaj Auto Limited (BAL) and Bajaj Finserv Limited (BFS) got established on August 21, 2008.

After the demerger BHIL’s manufacturing undertaking was transferred to the new Bajaj Auto (BAL) while its business undertaking consisting of wind farm business and financial services business has been transferred to Bajaj Finserv (BFS) and the company was focusing on new business opportunities.  Post-demerger, BHIL holds over 30% shares each in BAL and BFS. Going forward, BHIL will focus on new business opportunities. BAL and BFS will be able to tap (on an arm’s length basis) into BHIL’s cash pool to support future growth opportunities. BHIL by having more than 30% stake in both BAL and BFS will benefit from the future growth of these companies.

The decision of demerging the company was taken in view of the growth opportunities in the auto, wind energy, insurance and finance sectors and it was decided that it was timely and appropriate to de-merge these activities into separate entities, each of which can focus on these core businesses and strengthen its competencies.

BHIL has been registered as a Non-Banking Financial Company (NBFC) under the Registration No. N-13.01952 dated October 29, 2009 with Reserve Bank of India (RBI). The company is classified as a ‘Systemically Important Non-deposit taking NBFC’ as per RBI regulations.

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