India's Star Health rises after ICICI raises PT to Street high

Star Health and Allied Insurance

03/09/2025 10:22

** Star Health and Allied Insurance STAU.NS rises 2.1% to 449 rupees

** ICICI Securities maintains "buy"; raises PT to Street-high of 512 rupees, per data compiled by LSEG

** Says extensive hospital network, difficult-to-replicate agency force with healthy distribution mix will improve earnings

** Estimates combined ratio of 100% in FY26, 99.6% in FY27, supporting a rise in profit after tax to 10.2 bln rupees ($115.82 mln) in FY26, 12 bln rupees in FY27

** Adds initiatives such as discounts based on claims experiences, shifting to zonal pricing from pan-India pricing helped mitigate risk more accurately, resulting in more sales

** YTD, STAU falls ~7%

($1 = 88.0698 Indian rupees)

 (Reporting by Urvi Dugar)

 ((UrviManoj.Dugar@thomsonreuters.com))