A rally by the markets, since their June lows, has failed to lift the stock of Life Insurance Corporation of India (LIC). The stock of India’s biggest life insurer closed at Rs 655 apiece on the BSE on Friday, marginally above its record low of Rs 650, hit on June 20, 2022.
In comparison, the benchmark BSE Sensex, and the Nifty50 indices have soared around 14 per cent each during the period. While analysts say equity market volatility will keep the stock’s valuation in check in the near-term, they see up to 37 per cent upside from a one-year perspective.
“Lower contribution of value of new business (VNB) to embedded value, and single-digit return on embedded value (RoEV) of approximately