Bajaj Finance Shares Rise on Improved Asset Quality
Bajaj Finance shares rose 5% after analysts highlighted improving asset quality and easing credit costs. The lender reaffirmed its long-term profit forecast.
BAJAJ FINANCE LTD shares jumped 5% in India on Thursday after the lender reported improving asset quality. The stock was the top gainer on Nifty Financial Services, the heaviest sub-index, which fell 1.5% during the same period. The stock also topped the benchmark Nifty 50. Reaffirmed profit targets of 23-24% signal stability despite earlier stress in small business lending segments.
### Strengthening Asset Quality Drives Rebound Credit costs fell to 1.65% in the March quarter, down from 2.17% a year earlier. CLSA analysts said asset quality trends have been strengthening for the last two to three quarters following tighter underwriting standards.
