Bajaj Housing Finance IPO: Will it double investors’ wealth on market debut?

Bajaj Housing Finance shares are gearing up for an impressive debut on Dalal Street, following a stellar response to its initial public offering (IPO).
The IPO has generated immense interest, thanks to the company’s solid financials and strong backing from the Bajaj Group, making it one of the most anticipated listings on Dalal Street this year.
With the grey market premium (GMP) indicating a significant upside, all eyes are now on whether the shares will live up to the hype and deliver the bumper listing gains many expect.
As the market prepares for the IPO’s debut, industry experts are upbeat about its performance. According to Shivani Nyati, Head of Wealth at Swastika Investmart, the company’s strong fundamentals and backing by the reputable Bajaj Group have fueled investor optimism.
Nyati pointed out that Bajaj Housing Finance has shown consistent growth in both revenue and profits, further strengthening its financial standing.
“The Bajaj brand’s reputation provides credibility, and with reasonable valuations, the IPO is poised for a strong listing. The combination of robust financials, brand trust, and immense investor interest makes it likely that Bajaj Housing Finance will see a successful market debut,” said Nyati.
Meanwhile, Prashanth Tapse, Senior VP (Research) at Mehta Equities Ltd, echoed similar sentiments, noting that the IPO offers investors a unique opportunity to invest in one of India’s leading housing finance companies.
He highlighted the company’s strong position in the housing finance sector, with assets under management (AUM) of Rs 97,071 crore, and its ability to capitalise on growing industry demand.
“Given its historical AUM growth rate of 30.9% between FY22 and FY24, Bajaj Housing Finance is well-positioned for a robust listing. The stock may double investors’ wealth on listing day, and potentially even exceed expectations,” said Tapse.
Tapse also advised conservative investors to consider profit-booking if the listing gains surpass initial expectations, while long-term investors should hold onto the stock to benefit from future growth in the housing finance sector.
He noted, “At Rs 70 per share, the IPO is well-priced compared to its peers in the industry. Bajaj Housing Finance’s strong credit evaluation framework, focus on low-risk, high-growth mortgage-centric markets, and backing by the Bajaj brand make it a solid long-term investment.”
Ahead of its market debut on September 16, the latest grey market premium (GMP) indicates that Bajaj Housing Finance shares could list at Rs 148.5, reflecting a massive 112.14% gain for investors.
If this holds true, investors stand to more than double their wealth.
However, it’s important to remember that while GMP offers a glimpse into potential listing gains, various factors can influence the actual listing price.
(Disclaimer: The views, opinions, recommendations, and suggestions expressed by experts/brokerages in this article are their own and do not reflect the views of the India Today Group. It is advisable to consult a qualified broker or financial advisor before making any actual investment or trading choices.)