Bajaj Housing Finance Tanks Following Large Block Deal

Introduction

Bajaj Housing Finance witnessed a sharp fall in its share price on Tuesday, touching a fresh 52-week low as market chatter around a significant block deal intensified.

Stock Price Plunge Triggered by Promoter Stake Sale

Sharp Intraday Drop

The stock tumbled nearly 9%, hitting Rs 94.90 on the BSE after reports suggested that promoter company Bajaj Finance offloaded approximately 2.35% stake in a massive block deal worth around Rs 1,890 crore. By 11:30 AM, the stock was trading at Rs 97.77 on the NSE—down 6.48%—while on the BSE, it hovered at Rs 97.85, marking a 6.36% decline.

Details of the Block Deal

According to information cited by ET, nearly 19.5 crore shares changed hands at Rs 97 per share in this off-market transaction. Earlier market speculation pegged the floor price closer to Rs 95 per share, representing a steep 9% markdown from the previous NSE closing price of Rs 104.59. The expected deal size had initially been estimated at around 16.6 crore shares.

Promoter Holding Remains Strong

Despite the large stake sale, Bajaj Finance continues to hold a commanding position, retaining 88.70% ownership in Bajaj Housing Finance—equivalent to more than 739 crore equity shares.

Financial Performance Remains Resilient

Q2 FY26 Profit Growth

Operationally, the lender has maintained steady momentum. For the July–September FY26 quarter, Bajaj Housing Finance reported a net profit of Rs 643 crore, reflecting an impressive 18% jump from Rs 546 crore recorded in the corresponding period last year.

Revenue Expansion

Quarterly revenue surged 14% year-on-year, rising to Rs 2,755 crore from Rs 2,410 crore. Sequentially, profit after tax improved 10% compared to Rs 583 crore in Q1 FY26, and revenue grew 5.3% over the April–June figure of Rs 2,616 crore.

Stock Market Performance and Technical Indicators

Post-Listing Decline

Listed on September 16, 2024, the stock has since dropped 23% over the past 12 months. It now trades below both its 50-day simple moving average of Rs 109 and its 200-day average of Rs 116.

Deep Oversold Territory

Technical indicators also point to heavy selling pressure. The Money Flow Index is currently around 23—well under the 30 mark typically associated with oversold conditions.

Strong IPO Demand Despite Recent Weakness

Despite the recent downtrend, the company’s Rs 6,560 crore IPO had garnered massive investor interest. The public issue was subscribed 67.43 times, with retail investors bidding 7.4 times their allotted portion. The IPO carried a price band of Rs 66–70 per share.

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Sorit Chaudhary

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