Bajaj FinservBOM:532978 +0.78%82 ROE % is 13.03% as of Mar. 2026, which is 6% below its 10-year median of 13.93. GuruFocus rates BOM:532978 with a GF Score™ of 82/100 and a GF Value™ of ₹2,412.17 (Modestly Undervalued). The stock has 4 warning signs investors should review. Among 487 Diversified Financial Services companies, Bajaj Finserv ranks better than 92.81% on this metric.
ROE % is calculated as Net Income divided by its average Total Stockholders Equity over a certain period of time. Bajaj Finserv's annualized net income for the quarter that ended in Mar. 2026 was ₹101,547 Mil. Bajaj Finserv's average Total Stockholders Equity over the quarter that ended in Mar. 2026 was ₹779,145 Mil. Therefore, Bajaj Finserv's annualized ROE % for the quarter that ended in Mar. 2026 was 13.03%.
The historical rank and industry rank for Bajaj Finserv's ROE % or its related term are showing as below:
BOM:532978'
s ROE % Range Over the Past 10 Years
Min: 11.98 Med: 13.93 Max: 15.27
Current: 12.96
During the past 13 years, Bajaj Finserv's highest ROE % was 15.27%. The lowest was 11.98%. And the median was 13.93%.
BOM:532978's ROE % is ranked better than 92.81% of 487
companies
in the Diversified Financial Services industry
Industry Median: 1.65
vs BOM:532978: 12.96
Bajaj Finserv (BOM:532978) ROE % Explanation
ROE % measures the rate of return on the ownership interest (shareholder's equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' equity (also known as net assets or assets minus liabilities). ROE % shows how well a company uses investment funds to generate earnings growth. ROE %s between 15% and 20% are considered desirable.
The factors that affect a company's ROE % can be illustrated with the three-step DuPont Analysis:
Note:
The net income data used here is four times the quarterly (Mar. 2026) net income data. The Revenue data used here is four times the quarterly (Mar. 2026) revenue data. The same rule applies to Pre-Tax Income and Operating Income.
* In the five-step DuPont Analysis, Operating Income is only available for non-financial companies. Thus, for Insurance companies, we use EBIT as a substitution of Operating Income. For Banks, both Operating Income and EBIT is unavailable. Thus we combined Interest Burden and Operating Margin % into Pretax Margin %, and the DuPont Analysis is divided into four components instead.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Be Aware
Net Income is used.
Because a company can increase its ROE % by having more financial leverage, it is important to watch the equity multiplier when investing in high ROE % companies. Like ROA %, ROE % is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their ROE %s can be extremely high.
Bajaj Finserv ROE % Related Terms
Bajaj Finserv ROE % Historical Data
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The historical data trend for Bajaj Finserv's ROE % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Financial Conglomerates subindustry, Bajaj Finserv's ROE %, along with its competitors' market caps and ROE % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Bajaj Finserv ROE % vs Diversified Financial Services Industry
For the Diversified Financial Services industry and Financial Services sector, Bajaj Finserv's ROE % distribution charts can be found below:
* The bar in red indicates where Bajaj Finserv's ROE % falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual ROE %, the net income of the last fiscal year and the average total shareholder equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
ROE % is displayed in the 30-year financial page.
Bajaj Finserv (BOM:532978) has a ROE % of 13.03% as of Mar. 2026. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Bajaj Finserv and its competitors. This is near median its historical median of 13.93. Over the past decade, Bajaj Finserv's ROE % has ranged from 11.98 to 15.27. According to the industry distribution chart, Bajaj Finserv ranks #35 out of 487 companies in the Diversified Financial Services industry, placing it in the top 7.2%.
Is Bajaj Finserv's ROE % too high?
Bajaj Finserv's current ROE % of 13.03% is near median its 10-year median of 13.93. Over the past 10 years, this metric has ranged from a low of 11.98 to a high of 15.27. The Diversified Financial Services industry median ROE % is 1.65. Bajaj Finserv's value of 13.03% is 689.7% above this industry median. Based on the distribution chart, Bajaj Finserv ranks #35 out of 487 companies in the Diversified Financial Services industry, which is in the top quartile — a strong position relative to peers. Overall, Bajaj Finserv has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Bajaj Finserv's ROE % compare to VOYA and FRHC?
According to the Diversified Financial Services industry distribution chart, Bajaj Finserv ranks #35 out of 487 companies for ROE %. This places Bajaj Finserv in the top 7% of its industry — outperforming the majority of peers. The industry median ROE % is 1.65. Bajaj Finserv's value of 13.03% is 689.7% above this benchmark. Historically, Bajaj Finserv's own ROE % has ranged from 11.98 to 15.27 over the past decade. While the company's 10-year median is 13.93 vs. the industry median of 1.65, Bajaj Finserv has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good ROE % for a Diversified Financial Services company?
The median ROE % among Diversified Financial Services companies is 1.65, based on 487 companies in the industry. Companies in the top quartile (top 25%) have a ROE % significantly above this median, while those in the bottom quartile fall well below. However, ROE % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Bajaj Finserv's current ROE % of 13.03% is 689.7% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high ROE % mean?
A high ROE % can signal that a stock is expensive relative to its fundamentals. Return on equity is the ratio of current-period net income to average two-period total equity. View historical data on Bajaj Finserv and its competitors. For the Diversified Financial Services industry, the median ROE % is 1.65 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Bajaj Finserv's current ROE % is 13.03%, which is near median its own 10-year median of 13.93. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Bajaj Finserv stock overvalued right now?
Based on GuruFocus' analysis, Bajaj Finserv (BOM:532978) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹2,412.17, compared to a current price of ₹1,885.65 — trading 21.8% below its estimated fair value. The current ROE % is 13.03%, which is near median its 10-year median of 13.93 and 689.7% above the Diversified Financial Services industry median of 1.65. Bajaj Finserv's overall GF Score™ is 82/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is ROE % calculated?
ROE % is calculated from a company's financial statements. For Bajaj Finserv (BOM:532978), the current ROE % is 13.03% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Bajaj Finserv (BOM:532978) Overvalued in 2026?
Based on GuruFocus' analysis, Bajaj Finserv stock appears to be undervalued.
The current stock price of ₹1,885.65 is trading 21.8% below its estimated GF Value™ of ₹2,412.17.
GuruFocus considers Bajaj Finserv to be Modestly Undervalued.
Key valuation signals for BOM:532978:
ROE %: 13.03% (near median its 10-year median of 13.93)
GF Value™: ₹2,412.17 vs. price of ₹1,885.65 (21.8% below fair value)
Industry Position: 689.7% above the Diversified Financial Services median (#35 of 487)
No single metric tells the full story. See the BOM:532978 stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Bajaj Finserv Ltd is a non-banking financial services company headquartered in India that engages in lending activities. It services six lending verticals: consumer, small and midsize enterprises, commercial, rural, deposits, and partnerships and services. Bajaj's consumer and rural lending consists of funding solutions for consumer durables, such as vehicles and furniture, to personal loans. The commercial lending activities consist of funding for plant and machinery assets and term loans to SMEs. Its business segments include: Life Insurance, General Insurance, Windpower, Retail Finance, and Investment and Others. It derives maximum revenue from the Retail Finance segment. Geographically, the company derives all of its revenue from its operations in India.
82GF Score
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