Bajaj Finance has captured market attention with a series of significant corporate announcements, including a stock split, a generous bonus issue, and impressive financial results for the fourth quarter of FY25. These developments not only demonstrate the company’s operational strength but also reflect its commitment to rewarding shareholders and improving stock liquidity.
Let’s break down everything investors need to know about these major moves and their implications.
Table of Contents
- What’s Happening at Bajaj Finance?
- Details of Bajaj Finance Stock Split and Bonus Issue
- How the Bonus Issue and Stock Split Will Work: Example Explained
- Understanding the Stock Split and Bonus Issue Concept
- Bajaj Finance Dividend Announcement: ₹56 Per Share for FY25
- Bajaj Finance Q4 FY25 Results: Strong Financial Performance
- Stock Price Performance After Corporate Announcements
- Market Analyst Ratings and Projections for Bajaj Finance
- About Bajaj Finance: India’s Leading NBFC
- Impact on Investors: What This Means for Shareholders
- Final Wrap-Up: Bajaj Finance’s Strategic Moves Strengthen Market Position
- FAQs
India’s leading non-banking financial company (NBFC), Bajaj Finance, has announced a range of corporate actions that are making waves in the stock market. The announcements include a stock split, a bonus issue, and strong quarterly financial results for FY25. These initiatives signal the company’s focus on operational efficiency, shareholder value creation, and market reach enhancement.
Wrap-up: Bajaj Finance is strategically positioning itself for sustainable growth by increasing stock accessibility and rewarding loyal shareholders through these well-planned corporate actions.
Bajaj Finance has declared a 1:2 stock split and a bonus issue in a 4:1 ratio. This means every existing equity share of ₹2 will be split into two shares of ₹1 each, and shareholders will receive four bonus shares for every one share they hold. The record date for both the stock split and bonus issue has been fixed for June 16, 2025.
Wrap-up: These corporate actions aim to enhance stock liquidity and affordability, making Bajaj Finance shares more accessible to a broader base of retail investors while rewarding existing shareholders.
Consider a shareholder who currently holds 50 shares of Bajaj Finance. Post the 4:1 bonus issue, this investor will receive 200 additional shares, bringing the total to 250 shares. After the 1:2 stock split, these 250 shares will double to 500 shares. While the total value of the investment remains the same, the number of shares increases significantly, and the per-share price adjusts accordingly.
Wrap-up: This move doesn’t alter the overall investment value but increases the number of tradable shares, improving stock liquidity and retail participation potential.
A stock split increases the number of a company’s outstanding shares by dividing each existing share. The overall market value of the company and the investor’s total holdings remain unchanged, but the share price is reduced in proportion to the split ratio. Similarly, a bonus issue grants additional shares to existing shareholders for free, again maintaining overall investment value while increasing total share count.
Wrap-up: Both actions are strategic financial tools that companies use to enhance market participation and reward existing shareholders without altering overall market capitalization.
Along with the stock split and bonus issue, Bajaj Finance declared a final dividend of ₹44 per share and a special interim dividend of ₹12 per share, making the total dividend payout for FY25 ₹56 per share. The final dividend’s record date was May 30, 2025, and the special interim dividend was paid on May 26, 2025. The special dividend resulted from the company’s gain from its investment sale in Bajaj Housing Finance.
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Dividend Type
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Amount (₹ Per Share)
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Record Date
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Final Dividend
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₹44
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May 30, 2025
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Special Interim Dividend
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₹12
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May 26, 2025
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Total Dividend (FY25)
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₹56
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—
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Wrap-up: The substantial dividend payout underscores Bajaj Finance’s strong cash flows and commitment to shareholder value, enhancing overall investor sentiment.
For the March 2025 quarter, Bajaj Finance reported a 19% YoY increase in consolidated net profit to ₹4,545.6 crore, while its net interest income (NII) rose to ₹9,807.1 crore. The company’s assets under management (AUM) also showed robust growth, rising 26% YoY to ₹4.17 lakh crore.
Wrap-up: These financial results reflect Bajaj Finance’s operational strength and growth momentum, validating its strategic corporate actions and bolstering investor confidence.
Following the announcement of the stock split and bonus issue, Bajaj Finance shares surged 4.4% intraday to a record ₹9,785.9 on the BSE. The stock has gained over 9% in just two days and is up 11% over the past month, significantly outperforming the BSE Sensex’s 3.9% rise during the same period.
Wrap-up: The market’s enthusiastic response highlights strong investor confidence in the company’s growth prospects and shareholder-friendly approach.
Market analysts remain bullish on Bajaj Finance’s future. Axis Securities issued a Buy call with a target price of ₹10,225, projecting strong growth in AUM, NII, and earnings. BNP Paribas raised its target price to ₹11,120 but maintained a Neutral rating, noting that NBFC valuations are historically elevated. Mirae Asset Sharekhan anticipates 24-25% AUM growth, praising Bajaj Finance’s extensive distribution network and competent leadership.
Wrap-up: Analysts’ positive outlook reinforces Bajaj Finance’s market strength and highlights its position as a key player in India’s NBFC sector.
Bajaj Finance is among India’s largest and most diversified NBFCs, offering consumer, SME, MSME, and housing loans across urban and rural markets. As of March 2025, it manages assets worth ₹4.16 trillion and serves over 97.12 million customers, maintaining a leadership position in consumer durable financing.
Wrap-up: With a vast product range, strong customer base, and market leadership, Bajaj Finance remains a crucial player in India’s financial services landscape.
The stock split and bonus issue will reduce the per-share price and increase the number of shares available in the market, enhancing liquidity and investor participation. The large dividend payout and consistent financial growth signal the company’s financial health and long-term value generation for shareholders.
Wrap-up: These measures collectively create a favorable investment environment for existing and potential investors, positioning Bajaj Finance as a rewarding and reliable stock in the NBFC space.
Bajaj Finance’s combined announcement of a stock split, bonus issue, hefty dividend, and strong quarterly results showcases its operational excellence and shareholder-friendly policy. These actions are designed to boost liquidity, enhance market participation, and reinforce investor confidence while driving long-term growth.
Overall, Bajaj Finance continues to solidify its position as one of India’s most trusted and strategically sound financial services providers.
Q1: What is the record date for Bajaj Finance's stock split and bonus issue in 2025?
The record date for both the stock split and bonus issue announced by Bajaj Finance is June 16, 2025. Investors holding shares as of this date will be eligible for the stock split and bonus shares.
Q2: How will the Bajaj Finance 1:2 stock split and 4:1 bonus issue affect shareholders?
After the 4:1 bonus issue, shareholders will receive four additional shares for each existing share. These new shares, along with the original ones, will then undergo a 1:2 stock split, doubling the total number of shares held, while adjusting the price per share proportionally without affecting the total investment value.
Q3: What is the total dividend declared by Bajaj Finance for FY25?
For FY25, Bajaj Finance announced a total dividend of ₹56 per share ₹44 as a final dividend and ₹12 as a special interim dividend, reflecting strong financial performance and rewarding shareholders.
Q4: How did Bajaj Finance perform financially in Q4 FY25?
Bajaj Finance reported a 19% year-on-year rise in consolidated net profit, reaching ₹4,545.6 crore in Q4 FY25. Its net interest income (NII) also grew to ₹9,807.1 crore, while assets under management (AUM) surged 26% to ₹4.17 lakh crore.
Q5: How has Bajaj Finance's stock price reacted to these corporate announcements?
Following the announcements of the stock split, bonus issue, and strong Q4 results, Bajaj Finance’s stock surged 4.4% intraday to ₹9,785.9 and has gained over 11% in the past month, outperforming the broader market.
Q6: Is it a good time to invest in Bajaj Finance shares after the stock split and bonus issue?
Market analysts remain optimistic about Bajaj Finance’s growth potential, with target prices ranging between ₹10,225 and ₹11,120. The stock split and bonus issue are expected to boost liquidity and retail investor participation, making it an attractive long-term investment for many.
Q7: Why did Bajaj Finance announce a special interim dividend in FY25?
The special interim dividend of ₹12 per share was announced following extraordinary gains from the sale of Bajaj Finance’s investment in Bajaj Housing Finance, showcasing the company’s commitment to passing on profits to shareholders.