Goldman Sachs Issues SHOCKING 'SELL' on Bajaj Finserv! Target Slashed to ₹1,785 - Will Shares CRASH?

Goldman Sachs has reiterated its 'Sell' rating on Bajaj Finserv, setting a price target of Rs 1,785. The brokerage firm pointed to weak performance in the insurance segment and a modest 8% year-on-year growth in consolidated profit as key concerns. They anticipate limited upside potential, forecasting an Earnings Per Share (EPS) growth of just 3% for FY26 and have lowered EPS estimates for FY26 to FY28 by 4% to 7%.

Bajaj Finserv announced its Q2 FY26 results, reporting a consolidated net profit of Rs 2,244 crore, up from Rs 2,087 crore in the same quarter last year. The total consolidated income increased to Rs 37,403 crore. Subsidiary Bajaj General Insurance saw a 5% profit increase to Rs 517 crore. Despite these figures, the overall insurance segment's performance and slower-than-expected growth are driving Goldman Sachs's bearish stance.

Impact: A 'Sell' recommendation from a prominent global brokerage like Goldman Sachs can significantly influence investor sentiment and potentially lead to a decline in Bajaj Finserv's stock price. The price target of Rs 1,785 suggests a considerable downward movement from the current trading price, signaling a bearish outlook. Rating: 7/10

Difficult terms: * **Earnings Per Share (EPS)**: This is a company's net profit divided by the total number of outstanding shares. It shows how much profit is generated for each share of stock. * **Consolidated Net Profit**: The total profit earned by a parent company and all its subsidiaries combined, after accounting for all expenses and taxes. * **Year-on-year (YoY)**: A comparison of financial data from a current period with the same period in the preceding year, used to assess growth or decline.