Top Multibagger Stock 2021: In the last 12 months, some companies have doubled the money of investors in the midst of a tremendous boom in the market. The shares of Bajaj Finance have increased from Rs 3469 today to Rs 7676 in the last 12 months. About 121% returns have been given in this period. This multibagger stock has gained 595.65 percent in the last five years. Long term investors have made themselves rich by investing in this stock, as the share price of this company has increased by 12302 percent in the last 10 years.
Stock reached its highest level
On Friday, the stock rose 3.5 per cent to reach an all-time high of Rs 7676. According to experts, Bajaj Finance has strong long-term fundamental strength with an average Return on Equity (ROE) of 15.91%. It is the largest company in the sector with a market capitalization of over Rs 4,55,000 crore. However, valuations are looking expensive right now. The company has high institutional holdings of 33.36%.
Bajaj Finance reported a consolidated profit of Rs 1,002 crore for the quarter ended June 30, as against Rs 962 crore in the same quarter last year. The company’s profit on a standalone basis declined to Rs 843 crore in Q1 FY22 from Rs 870 crore in Q1 FY21. Consolidated Net Interest Income (NII) for Q1 grew 8 per cent to Rs 4,489 crore as against Rs 4,152 crore in Q1 FY21. The company’s assets under management stood at Rs 1.59 lakh crore, as against Rs 1.38 lakh crore in the same period last year.
Will it be beneficial to invest in it?
According to Bajaj Finance, during the quarter, the company has done a quick write-off of Rs 113 crore of outstanding principal due to COVID-19 related stress. The company has management overlay and macro provision of Rs 483 crore as on June 30. According to experts, people with the ability to invest in this company for a long time can invest money. The stock price of the company has increased in the last few years, but it would be good to invest wisely. You can take the advice of market experts in this regard.
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