Life insurers gain in weak market after CLSA's target price hikes

Max Financial Services

15/12/2022 08:21

** Shares of life insurance companies SBI Life  SBIL.NS ,
HDFC Life  HDFL.NS , ICICI Prudential  ICIR.NS  and Max
Financial  MAXI.NS  rise in a weak market
    ** SBI Life  SBIL.NS  and HDFC Life  HDFC.NS  are among top
gainers in the Nifty 50 index, rising 0.88% and 0.50%,
respectively,  while  .NSEI  fell 0.72%
    ** The rise comes after brokerage firm CLSA raises price
target for SBI Life  SBIL.NS  from 1,600 rupees to 1,650 rupees,
and HDFC Life  HDFL.NS  from 690 rupees to 710 rupees
    ** CLSA maintains "buy" on SBI Life and HDFC Life as well as
ICICI Pru Life  ICIR.NS  (target price unchanged at 600 rupees)
and Max Financial  MAXI.NS  (target price unchanged at 970
rupees)
    ** Analysts say private insurers with banks as their backup
such as ICICI Prudential (ICICI Bank), HDFC Life (HDFC Bank),
SBI Life (SBI) and Max Financial (Axis Bank) could gain from
synergy benefits 
    ** As growth in the economy picks up, insurance business
will gain as it's a proxy for economic growth, says G
Chokkalingam, founder of Equinomics Research & Advisory, who
prefers SBI Life, ICICI Prudential and HDFC Life in the sector. 
($1 = 82.5550 Indian rupees)
 (Reporting by Bharath Rajeswaran in Bengaluru)
 ((bharath.rajeswaran@thomsonreuters.com; Mobile:
+919769003463))