Bajaj Auto Limited

“Bajaj Auto is a structurally superior Indian manufacturer with irreplaceable African distribution, a three-wheeler near-monopoly, and a live EV leadership position — but the FY2026 balance sheet transformation (₹226B debt, NBFC launch, negative TTM FCF) has fundamentally changed the risk profile from 'fortress manufacturer' to 'manufacturer + captive NBFC', adding credit and regulatory complexity that the current 21.7x forward multiple does not adequately compensate for; the right move is to track for a 15-20% pullback to a more attractive entry in the ₹8,200-8,800 range before building a full position.”