Investec upgrades India's LIC to 'buy' on attractive valuation, equity market tailwinds

Life Insurance of India

31/08/2026 05:56

** Investec upgrades Life Insurance Corporation of India LIFI.NS to "Buy" from "Hold", raises PT to 500 rupees from 450 rupees
** Shares down 1.4%; benchmark Nifty 50 .NSEI down 0.64%
** Brokerage says LIC's current valuation appears overly pessimistic, with the stock trading at 0.6 times its estimated FY28 embedded value
** Says LIC's large equity portfolio makes its valuation more sensitive to Indian stock-market gains than to growth in its core insurance business
** Expects a stronger equity market and a possible boost from NSE's IPO to support LIC's embedded value and valuation multiple
** Says LIC's scale, brand strength and about 35% share of market support its investment case
** Stock rated as "Buy" on average by 23 analysts; median PT at 527.5 rupees --LSEG-compiled data
** YTD, stock down 2.2%
     
     

 (Reporting by Mridula Kumar in Bengaluru)
 ((Mridula.Kumar@thomsonreuters.com;))