Is Bajaj Auto the Best Stock in Its Sector? A Look at the Numbers
- October 15, 2026
- Posted by: Harsh Piplani
- Category: Market
Bajaj Auto CMP Rs 10,250 (15 Oct 2026). Market cap Rs 2,81,374 Cr. ROE 27.67%. P/E 24.36x versus Industry P/E 23.82x.
Quick Answer
Bajaj Auto is one of the names investors compare when screening the Automobile & Ancillaries sector, built on a 27.67% return on equity and a P/E of 24.36x against an Industry P/E of 23.82x. Whether Bajaj Auto is the best stock in its sector depends on whether an investor is optimising for return ratios, valuation, or both. This article breaks down the metrics, including a comparison against named Automobile & Ancillaries sector peers, so you can judge that for yourself.
Is Bajaj Auto the best stock in its sector? The stock trades on the NSE at Rs 10,250 as of 15 October 2026, within its 52-week range of Rs 8,605.00 to Rs 12,470.00. Bajaj Auto Ltd, based in Pune, is one of the world’s largest makers of motorcycles and three wheelers, with brands such as Pulsar, Dominar and Chetak electric scooters.
Bajaj Auto sits in the Automobile & Ancillaries sector, and its 27.67% ROE and 24.36x P/E give a starting point for judging where it stands against comparable listed names. The rest of this article compares those numbers against verified peers and the sector’s Industry P/E benchmark.
Also read – Is Abbott India the Best Stock in Its Sector? A Look at the Numbers
Click Here – Get Free Investment Predictions
About Bajaj Auto
Bajaj Auto Ltd, based in Pune, is one of the world’s largest makers of motorcycles and three wheelers, with brands such as Pulsar, Dominar and Chetak electric scooters. A large share of its volumes is exported to markets across Africa, Latin America and Asia. The stock trades about 18 percent below its 52-week high and about 19 percent above its 52-week low. At a market capitalisation of Rs 2,81,374 Cr, it is tracked as part of the Automobile & Ancillaries sector on Univest.
Is Bajaj Auto the Best Stock in Its Sector?
Bajaj Auto’s case in the sector rests on a 27.67% ROE rather than on cheap valuation, since its 24.36x P/E is above the 23.82x Industry P/E. Bajaj Auto’s 24.36x P/E is below Eicher Motors at 33.62x, though above the 23.82x Industry P/E and Hero MotoCorp at 18.32x, while its 27.67% ROE is higher than Hero MotoCorp at 26.57% and Eicher Motors at 21.97%, and its debt to equity ratio of 0.58 is above Hero MotoCorp at 0.04 and Eicher Motors at 0.02.
| Metric | Bajaj Auto |
|---|---|
| CMP (NSE) | Rs 10,250.00 |
| 52-Week High / Low | Rs 12,470.00 / Rs 8,605.00 |
| Market Cap | Rs 2,81,374 Cr |
| P/E (TTM) vs Industry P/E | 24.36x vs 23.82x |
| P/B | 7.25 |
| ROE | 27.67% |
| EPS (TTM) | Rs 420.40 |
| Dividend Yield | 1.49% |
| Debt to Equity | 0.58 |
Compare Bajaj Auto Against Other Automobile & Ancillaries Sector Stocks
How Bajaj Auto Compares Against Its Automobile & Ancillaries Sector Peers
The table below sets Bajaj Auto against 2 other Automobile & Ancillaries sector names, using the same live data source for every company. A peer average row is included for P/E, ROE and debt to equity, calculated across the 2 peer companies.
| Company | Market Cap (Rs Cr) | P/E | ROE | Debt to Equity |
|---|---|---|---|---|
| Bajaj Auto | 2,81,374 | 24.36 | 27.67% | 0.58 |
| Hero MotoCorp | 1,00,568 | 18.32 | 26.57% | 0.04 |
| Eicher Motors | 1,94,090 | 33.62 | 21.97% | 0.02 |
| Peer average (2 companies) | – | 25.97 | 24.27% | 0.03 |
Against this peer set, Bajaj Auto’s 27.67% ROE is above the 24.27% peer average, and its P/E of 24.36x runs below the peer average of 25.97x. Bajaj Auto’s 24.36x P/E is below Eicher Motors at 33.62x, though above the 23.82x Industry P/E and Hero MotoCorp at 18.32x, while its 27.67% ROE is higher than Hero MotoCorp at 26.57% and Eicher Motors at 21.97%, and its debt to equity ratio of 0.58 is above Hero MotoCorp at 0.04 and Eicher Motors at 0.02.
What Makes Bajaj Auto Worth Watching in Automobile & Ancillaries
- Premium valuation: A 24.36x P/E is below Eicher Motors at 33.62x, though above the 23.82x Industry P/E and Hero MotoCorp at 18.32x.
- Returns: A 27.67% ROE is higher than Hero MotoCorp at 26.57% and Eicher Motors at 21.97%.
- Leverage: A debt to equity ratio of 0.58 is above Hero MotoCorp at 0.04 and Eicher Motors at 0.02.
Bajaj Auto Valuation: Is It Justified?
Bajaj Auto’s 24.36x P/E is below Eicher Motors at 33.62x, though above the 23.82x Industry P/E and Hero MotoCorp at 18.32x, while its 27.67% ROE is higher than Hero MotoCorp at 26.57% and Eicher Motors at 21.97%, and its debt to equity ratio of 0.58 is above Hero MotoCorp at 0.04 and Eicher Motors at 0.02. As with any single stock, investors should weigh this against their own valuation discipline and risk appetite rather than the sector label alone.
Also read – Is Oracle Financial Services Software the Best Stock in Its Sector? A Look at the Numbers
Download the Univest iOS App or Univest Android App to track Bajaj Auto and other Automobile & Ancillaries sector stocks.
How to Track Bajaj Auto Before You Invest
Before deciding whether Bajaj Auto deserves its label as the best stock in its sector for your own portfolio, compare it directly against Automobile & Ancillaries sector peers using the steps below.
- Open the Univest Screener and search for Bajaj Auto to view live price, valuation ratios, and peer comparisons within the Automobile & Ancillaries sector.
- Compare its P/E, P/B, and ROE against other Automobile & Ancillaries sector stocks before deciding if the current valuation fits your strategy.
- Set a price alert around key support and resistance zones using the Univest app so you are notified of meaningful moves.
- Open a broking account on Univest if you decide to add the stock, and size the position based on your own risk appetite and portfolio allocation.
Conclusion
Bajaj Auto earns a place in the best stock in its sector conversation on the strength of a 27.67% ROE and a P/E of 24.36x against a 23.82x Industry P/E, with named peer comparisons in this article backing up that picture. As with any individual stock decision, this analysis is educational and investors should do their own research or consult a SEBI-registered advisor before investing.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Is Bajaj Auto the best stock in its sector?
Ans. There is no single definitive answer, because the best stock in a sector depends on whether an investor is prioritising returns, valuation or balance sheet strength. Bajaj Auto has a 27.67% ROE and trades at 24.36x P/E against a 23.82x Industry P/E. Against the 2 peers compared in this article, its ROE is above the 24.27% peer average and its P/E is below the 25.97x peer average. Its debt to equity ratio of 0.58 is above the 0.03 peer average, which matters because borrowing can inflate returns and add risk when business conditions weaken. These figures are best read together rather than in isolation, and they work as a starting point for your own research and not as a verdict.
What is the current share price of Bajaj Auto?
Ans. Bajaj Auto was trading at Rs 10,250.00 on the NSE as of 15 October 2026, within its 52-week range of Rs 8,605.00 to Rs 12,470.00. The stock trades about 18 percent below its 52-week high and about 19 percent above its 52-week low. Its market capitalisation is Rs 2,81,374 Cr and its EPS (TTM) is Rs 420.40, which is the earnings figure behind the 24.36x P/E. Share prices change through the trading day, so check the live quote on Univest before acting on any number here.
What sector does Bajaj Auto belong to?
Ans. Bajaj Auto is classified under the Automobile & Ancillaries sector on Univest, and that group of listed companies is the reference point for the 23.82x Industry P/E used in this article. The 2 named peers compared here are Hero MotoCorp and Eicher Motors, chosen as comparable listed names so that the P/E, ROE and debt figures come from the same live data source. Investors who want a wider view can compare more Automobile & Ancillaries sector stocks on the Univest Screener.
How does Bajaj Auto compare to its sector peers on P/E?
Ans. Bajaj Auto’s P/E of 24.36x is below the 25.97x average of the 2 named peers, with Hero MotoCorp at 18.32x and Eicher Motors at 33.62x. It also sits above the 23.82x Industry P/E, which is the benchmark for the wider Automobile & Ancillaries sector. A P/E that is below a peer average can reflect a valuation discount or premium, but it can also reflect different growth or return expectations, so it should be read alongside ROE and debt. Its P/B ratio of 7.25 gives one more view of how the market values its book value.
What is Bajaj Auto’s return on equity?
Ans. Bajaj Auto reported a return on equity of 27.67%, which is above the 24.27% average of its named peers, with Hero MotoCorp at 26.57% and Eicher Motors at 21.97%. ROE shows how much profit a company generates on every rupee of shareholders’ equity, so a higher figure generally points to more efficient use of capital. ROE is easier to trust when leverage is modest, and here the debt to equity ratio is 0.58 against a peer average of 0.03. It is worth checking whether the ROE has been stable over several years rather than relying on a single reading.
Should I invest in Bajaj Auto based on its sector position?
Ans. Sector position is only one input into an investment decision. Bajaj Auto has a 27.67% ROE and a 24.36x P/E, which make it worth researching further, and its dividend yield is 1.49%. You should also weigh its business outlook, earnings consistency, debt levels, your investment horizon and your own risk appetite before buying. Spreading money across several stocks and sectors reduces concentration risk, and this article is educational content, not investment advice. For personalised guidance, consult a SEBI-registered advisor.
