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Release
August 2026 · rev 1
Opportunities PMS · Published
As at 31 Aug 2026 · IST₹ · ₹ cr · BSE 500 TRI
Present
Internal working platform. Published figures are extracted from the August 2026 source package and reviewed; reference prices and fundamentals are unlicensed working data, not for redistribution. Past performance is not indicative of future returns.
Company Atlas/Automobile/Bajaj Auto
NSE: BAJAJ-AUTO· AutomobileNot in Aug top-30Large cap

Bajaj Auto

Value: exports, 3W, net cash

Last close
₹10,811.00
29 Sept 2026 · reference
1D · 1M
−1.9% · −9.2%
price-only
Weight
1.6%
31 Jul 2026 · Aug rank —
Thesis review
8 Sep 2026
Why We Own, p58
Coverage owner: Research (per book); latest results Q Jun-26Buoyant AIF I Top 30 Holdings - Aug 2026.pdf · p1Buoyant_Why_We_Own_What_We_Own_Sep2026.pdf (portfolio as of 31 July 2026) · p58Screener ↗Tijori ↗NSE ↗
OverviewBusiness & segmentsChartsFinancialsValuationThesisRisks & catalystsCompetitorsResearch & documents
What the company does

Bajaj Auto · Auto Manufacturers

Bajaj Auto is engaged in the business of development, manufacturing and distribution of automobiles such as motorcycles, commercial vehicles, electric vehicles etc. and parts thereof. Some of its two wheelers are Pulsar, Avenger, Platina etc., while three-wheelers covered Gogo, Maxima and RE. The company sells its products in India as well as in various other global markets.

Full profile (Yahoo)

Bajaj Auto Limited, together with its subsidiaries, engages in the development, manufacture, and distribution of automobiles in India and internationally. The company offers motorcycles, bikes, commercial vehicles, electric two-wheelers, and three-wheeler, as well as related parts and accessories. It also provides financing services for automobiles, as well as exports its products. The company was founded in 1945 and is based in Pune, India.

Sector (Yahoo)
Consumer Cyclical
Industry (Yahoo)
Auto Manufacturers
Employees
5,231
Website
bajajauto.com

Key people: Mr. Rajivnayan Rahulkumar Bajaj (MD, CEO & Executive Director) · Mr. Rakesh Sharma (Joint MD & Executive Director) · Mr. Pradeep Shrivastava (Executive Director) · Mr. Dinesh Thapar (Chief Financial Officer) · Mr. Vijay Jerome (Chief Digital & Information Officer) · Anand Newar (Divisional Manager of Investor Relations)

Who are the competitors of Bajaj Auto?

Bajaj Auto major competitors are Eicher Motors, TVS Motor Company, Hero MotoCorp, Wardwizard Innovat.. Market Cap of Bajaj Auto is ₹3,13,276 Crs. While the median market cap of its peers are ₹1,53,514 Crs.

Is Bajaj Auto financially stable compared to its competitors?

Bajaj Auto seems to be financially stable compared to its competitors.The probability of it going bankrupt or facing a financial crunch seem to be lower than its immediate competitors.

Snapshot and what to watch · Tijori · 1 Sep 2026
  • Bajaj Auto makes two- and three-wheelers in conventional and electric versions, led by Pulsar, subsidiary KTM, partner Triumph, Chetak and three-wheelers, sold in India and abroad
  • Earnings on premium Pulsar, KTM and Triumph, record exports and electrics at ~30% of domestic revenue; mix and pricing offset input costs
  • Expanding Chetak capacity and scaling electric three-wheelers and Riki e-rickshaws toward higher electric share
  • Cash-rich with over Rs 21,000 Cr surplus after Rs 5,633 Cr buyback; payouts run near full profit
  • KTM has turned quarterly operating profit but half-year still loss-making; holding that turn decides near-term profit path

Yahoo profile 23 Sept 2026 · Tijori 23 Sept 2026

Segments

Revenue mix and market share

Product Wise Break-Up
  • Automotive93.0%
  • Financing5.0%
  • Investment and others2.1%
Location Wise Break-Up
  • India65.9%
  • Others34.1%
Operating Profit Break-Up
  • Automotive83.0%
  • Investment and others10.3%
  • Financing6.7%
Asset Break-Up
  • India74.3%
  • Rest of the World25.8%

Latest reported mix as compiled by Tijori from company disclosures; percentages of revenue.

Operating metrics

Company-reported KPIs (Tijori) · latest quarter

As the company reports them. They can differ from the ratio table on the Financials tab, which uses Tijori's own definitions (for example NIM on average total assets rather than on interest-earning assets); the Cross-check panel there lines both up.

Total Automobiles Sold - Monthly5,35,764 . 2026-08
Commercial Vehicles Sold - Monthly - Domestic53,810 . 2026-08
Two Wheelers Sold - Monthly - Domestic2,01,898 . 2026-08
R&D as a % of Total Sales1.3 % 2025-03
Business model

How the company earns

Bajaj Auto is India's largest exporter of two- and three-wheelers and the world's largest 3W maker (Pulsar, Platina, Chetak EV, Boxer, RE/Maxima autos, Riki e-rickshaw), with ~7 million units/yr capacity being raised to 9 million+. Since 18-Nov-2025 it owns 100% of PBAG, which holds ~74.9% of Pierer Mobility/KTM, and sells Triumph mid-weight bikes in India. Chetak is India's #2 electric scooter with 22.8% share in Aug-2026 (TVS 27.5%); EV is ~30% of domestic revenue.

Economics and valuation note (book)

27.5x TTM PE vs 23x FY27E (MOFSL); P/B 8.5x is high but backed by 29% ROE and 49% payout; stock is near record high after topping its buyback price (Business Standard, 1-Sep-2026). EV/EBITDA n.m.; dividend yield 1.3%.

Competitive position · why this and not peers
Hero MotoCorpHero is cheaper (19x TTM, 3.5% yield, ROE 28%) but its growth is GST-cut-led entry motorcycles (Bernstein: Bajaj's growth is execution-led); Hero has only 9.8% e-2W share, no export engine (Bajaj exports 732k/qtr) and promoter holding 34.7%.
TVS MotorTVS leads e-2W (27.5%) and grew Q1 PAT 64%, but trades at 56.8x TTM PE / 20.5x P/B vs Bajaj 27.5x / 8.5x - Bajaj gives similar volume growth (+29%) at half the multiple with a much stronger balance sheet.
Eicher MotorsEicher (36.4x TTM, ROE 24%) is a single-brand (Royal Enfield) mid-weight play; Bajaj offers 3W dominance, EV scale and KTM/Triumph at a lower 24.3x FY28e.
Segment economics

Reported revenue mix

Product Wise Break-Up

share of revenue, %
  • Automotive
    93.0%
  • Financing
    5.0%
  • Investment and others
    2.1%

Share of revenue as disclosed in filings (Tijori normalisation). Segment profit measure: not disclosed in this source — segment EBIT/EBITDA/PBT are not shown rather than estimated. Eliminations and unallocated costs not available here.

Location Wise Break-Up

share of revenue, %
  • India
    65.9%
  • Others
    34.1%
  • Asia Pacific
    0.0%
  • Africa
    0.0%
  • Latin America
    0.0%

Share of revenue as disclosed in filings (Tijori normalisation). Segment profit measure: not disclosed in this source — segment EBIT/EBITDA/PBT are not shown rather than estimated. Eliminations and unallocated costs not available here.

Operating Profit Break-Up

share of revenue, %
  • Automotive
    83.0%
  • Investment and others
    10.3%
  • Financing
    6.7%

Share of revenue as disclosed in filings (Tijori normalisation). Segment profit measure: not disclosed in this source — segment EBIT/EBITDA/PBT are not shown rather than estimated. Eliminations and unallocated costs not available here.

Asset Break-Up

share of revenue, %
  • India
    74.3%
  • Rest of the World
    25.8%

Share of revenue as disclosed in filings (Tijori normalisation). Segment profit measure: not disclosed in this source — segment EBIT/EBITDA/PBT are not shown rather than estimated. Eliminations and unallocated costs not available here.

Industry cycle

Automobile chapter

Automobile — 4.4%: a Value leader and two cyclical component makers

FY26 was a record year for Indian autos: 2.83 crore wholesale units (+10.4%), two-wheelers +10.7% with scooters +18.5%, passenger vehicles +7.9%, commercial vehicles +12.6% and exports +24% to 66.5 lakh units — SIAM credits the September 2025 GST cuts and 125 bp of repo cuts. Retail momentum continued into August 2026 (FADA +18%, PVs above 4 lakh in an August for the first time), although the base was soft. Two structural shifts matter to how we are positioned. First, exports: Bajaj Auto ships around half its two- and three-wheelers abroad and Indian component makers are winning global platforms as the world de-risks from China. Second, the powertrain mix is changing faster than anyone expected — in August 2026 alternative fuels (CNG 25%, hybrid 9%, EV 7.6%) overtook petrol in passenger-vehicle retail for the first time and EV registrations hit 3.5 million in FY26 — which rewards the players with the broadest technology portfolio, not the incumbents. We hold the sector through one Value large cap (Bajaj Auto, 34x FY27E, 30% ROE, ~50% of units exported, a net cash balance sheet and the Chetak EV scooter now number two in the market) and two small-cap Cyclicals bought at earnings troughs (RK Forgings after a one-off inventory write-off; Varroc after its debt and Europe restructuring).

Datapoints the team can quote
  • FY26 wholesales 2.83 cr (+10.4%): PV 46.4 lakh (+7.9%), 2W 2.17 cr (+10.7%, scooters +18.5%), CV 10.8 lakh (+12.6%), exports 66.5 lakh (+24%) — SIAM, Apr-2026
  • FADA Aug-2026 retail +18%: PV 4.02 lakh (+16.1%), 2W 17.15 lakh (+19.7%), CV +14.5%; base flattered by pre-GST-cut Aug-2025 — FADA
  • Alternative fuels (CNG 25.3% + hybrid 9.0% + EV 7.6% = 42%) overtook petrol (40.9%) in PV retail in Aug-2026; 2W EV share 10.7% — FADA
  • EV registrations 3.5 mn in FY26 vs 1.9 mn in FY25 — SIAM/VAHAN
What we deliberately do not own

Maruti is the PV leader but at 30x prices a recovery that CNG/hybrid mix has already delivered, and it is the most exposed to small-car weakness; Tata Motors is a JLR story; M&M is the best-run OEM but at 30x+ after a 3x move we prefer Bajaj's export optionality and net cash. Hero MotoCorp is losing share to scooters and EVs; TVS and Eicher are great franchises at 40–45x. Among components, Bharat Forge carries a defence multiple and Motherson a European-auto cycle we do not want.

Market position

Market share (where tracked)

Electric Vehicles - 2W - Market Share22.43 %as of Aug 26
Sports or Performance Motorcycle Segment (Pulsar & Avenger) Market Share18.20 %as of Mar 24
Three Wheeler - Market Share33.57 %as of Jul 26
Three Wheeler Goods Carrier Segment Market Share52.80 %as of Mar 24
Three Wheeler Passenger Vehicle - Market Share77.90 %as of Mar 24
Two Wheeler - Market Share9.91 %as of Jul 26
Sector datapoints

From the one-pager

  • FY26 domestic 2W sales hit a record 2.17 crore units (+10.7%); Q4FY26 +26.4% YoY (57.7 lakh) - the strongest Q4 ever; FY26 2W exports 51.8 lakh (+23.4%) (SIAM via AckoDrive).
  • GST 2.0 (Sep-2025) cut GST on ICE 2W <350cc from 28% to 18% (Rs 5,500-15,000 price cut, ~10%); ICE 2W volumes grew ~18% post-cut vs 2.5% before; >350cc bikes moved to 40%.
  • FY27 2W growth forecasts: Elara 10%, ICRA 6-9%; scooters at a record 36% of volume.
  • E-2W: CY25 ~1.30 mn units (+13%, penetration flat ~6%); Aug-2026 (1-26th) registrations 146,770 with TVS 27.5%, Bajaj 22.8%, Ather 16.0%, Hero Vida 9.8%, Ola 7.1%; industry sees ~10% penetration by FY28.