Bajaj Finance shares slide despite strong Q4; Dipan Mehta flags NPA provisioning worries

Bajaj Finance reported a 19% YoY rise in Q4 net profit to Rs 4,546 crore, but shares dropped 5.8% due to concerns over rising NPA provisions.

Despite strong pre-provisioning profits and 26% AUM growth, experts flagged rising provisions denting profitability and warned of moderating growth ahead.

Stock trades at 34–35x trailing earnings, with analysts calling it expensive and expecting headwinds unless NPA trends improve.

For FY25, net profit rose 16% to Rs 16,779 crore, while new loans surged 36% YoY to 10.7 million.