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This stellar listing of Bajaj Housing Finance shares came on the back of strong demand for its initial public offering (IPO), which received bids of over ₹3 lakh crore, compared to the IPO size of ₹6,560 crore. The IPO price band is between ₹66 and ₹70 per share. This was the biggest IPO of the year so far, and with their current gains, the shares now rank as the second-best performer among main board IPOs. Post listing, the shares continued to rise steadily, hitting ₹165, a 10 per cent rise from their initial listing price. With Bajaj Housing Finance’s strong performance, peer stocks such as LIC Housing Finance, PNB Housing Finance and Can Fin Homes have declined up to 6.3 per cent.

Analysts point out that peer companies have weak fundamentals compared to Bajaj Housing Finance. Before listing of Bajaj Housing shares, analysts expressed optimism about the company despite its higher valuation compared to peers. They highlighted BHFL's strong and diversified assets under management, excellent asset quality with less than 1 per cent non-performing assets (NPAs), and a superior technology platform, enabling it to remain relevant in a tough competitive environment. According to SBI Securities, Bajaj Housing Finance Ltd is India's second-largest housing finance company with assets under management (AUM) of ₹97,071 crore. It boasts the lowest gross and net non-performing asset (GNPA and NNPA) ratios among major housing finance companies, at 0.28 per cent and 0.11 per cent, respectively.

SBI Securities also highlighted BHFL's impressive AUM growth of 30.9 per cent and profit growth of 56.2 per cent from FY22 to FY24. The company's strong association with the Bajaj brand is seen as a key factor, and the projected industry growth rate of 13 per cent to 15 per cent over the next three years puts BHFL in a position to benefit from the growing housing finance sector.Bajaj Housing Finance is part of the prestigious Bajaj Group, a leading Indian conglomerate with a diversified portfolio. The group includes major listed entities such as Bajaj Finance, a top non-banking financial company, and Bajaj Auto, a leading company in the automotive sector.

After seeing Bajaj Housing Finance's stellar debut in the Indian stock markets, investors who were allotted shares were overjoyed and began eagerly analyzing the numbers to calculate their remarkable profit margins. The impressive performance of the stock led to the investment doubling within minutes of listing. The stock was priced at ₹150 per share on NSE, up 114.29 percent from their IPO price of ₹70 per share.