Is Nippon Life Ind. overvalued or undervalued?

As of June 30, 2023, Nippon Life India Asset Management Ltd. is considered very expensive with a PE ratio of 39.08 and an EV to EBITDA of 34.74, indicating overvaluation despite strong return metrics and significant outperformance compared to the Sensex.

As of 30 June 2023, the valuation grade for Nippon Life India Asset Management Ltd. moved from expensive to very expensive. The company is currently overvalued based on its financial ratios. It has a PE ratio of 39.08, a Price to Book Value of 11.93, and an EV to EBITDA of 34.74, all of which indicate a premium valuation compared to its peers.<BR><BR>In comparison, Nippon Life's peer, Nippon Life India Asset Management Ltd., also shows a very expensive valuation with a PE of 39.08 and an EV to EBITDA of 34.74. The company's strong return metrics, such as a ROCE of 35.16% and ROE of 30.53%, highlight its operational efficiency but do not justify the current high valuation. Additionally, the stock has outperformed the Sensex in various time frames, with a one-year return of 33.25% compared to the Sensex's 7.57%, further emphasizing the market's high expectations for future growth despite the current overvaluation.

When is the next results date for Nippon Life Ind.?

No Upcoming Board Meetings

Who are the peers of the Nippon Life Ind.?

Nippon Life Ind.'s peers include HDFC AMC, Motilal Oswal Financial, 360 ONE, CRISIL, and others. It has an average management risk and a 1-year return of 31.22%, lower than Multi Comm. Exc. (112.54%) and higher than BSE (0.00%).

Peers: HDFC AMC, Motil.Oswal.Fin., Nippon Life Ind., 360 ONE, CRISIL, Multi Comm. Exc., ICICI Securities, Nuvama Wealth, Aditya AMC, BSE.<BR><BR>Quality Snapshot: Excellent management risk is observed at HDFC AMC, Nippon Life Ind., 360 ONE, CRISIL, Nuvama Wealth, and C D S L, while Good management risk is found at Motil.Oswal.Fin., Multi Comm. Exc., ICICI Securities, Aditya AMC, and BSE. Average management risk is noted at Nippon Life Ind. and the rest. Growth is Excellent at Nuvama Wealth and C D S L, Good at Motil.Oswal.Fin., Multi Comm. Exc., ICICI Securities, and Aditya AMC, while Average growth is seen at HDFC AMC, Nippon Life Ind., 360 ONE, and the rest, with Below Average growth at CRISIL. Capital Structure is Excellent across HDFC AMC, Motil.Oswal.Fin., Nippon Life Ind., 360 ONE, CRISIL, Multi Comm. Exc., ICICI Securities, Nuvama Wealth, Aditya AMC, BSE, and C D S L.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Multi Comm. Exc. at 112.54%, while BSE has the lowest at 0.00%. Nippon Life Ind.'s 1-year return is 31.22%, which is significantly lower than Multi Comm. Exc. and higher than BSE. Additionally, BSE and C D S L have negative six-month returns.

Who are in the management team of Nippon Life Ind.?

As of March 2023, the management team of Nippon Life Ind. includes Sundeep Sikka (CEO), U K Sinha (Chairperson), and several independent directors such as Ameeta Chatterjee and Ashvin Parekh, along with a company secretary, Nilufer Shekhawat.

As of March 2023, the management team of Nippon Life Ind. includes the following individuals:<BR><BR>1. Sundeep Sikka - Executive Director & CEO<BR>2. Ameeta Chatterjee - Independent Director<BR>3. Ved Prakash Malik - Independent Director<BR>4. Nilufer Shekhawat - Company Secretary & Compliance Officer<BR>5. Ashvin Parekh - Independent Director<BR>6. B Sriram - Independent Director<BR>7. Minoru Kimura - Director<BR>8. Tomohiro Yao - Director<BR>9. U K Sinha - Chairperson & Additional Director<BR>10. Hiroki Yamauchi - Director<BR><BR>This team comprises a mix of executive and independent directors, along with a company secretary.

What does Nippon Life Ind. do?

Nippon Life India Asset Management Ltd is a leading asset management company in India, with a market cap of INR 54,139 Cr and a recent net profit of 2,986 Cr as of March 2025. It operates in the Capital Markets industry and has key metrics including a P/E ratio of 43.00 and a dividend yield of 2.12%.

Overview: <BR>Nippon Life India Asset Management Ltd is one of the largest asset management companies in India, operating within the Capital Markets industry and classified as a Large Cap company.<BR><BR>History: <BR>Nippon Life India Asset Management Ltd, formerly known as Reliance Nippon Life Asset Management Ltd, has been a significant player in the asset management sector. The latest quarterly results reported are for March 2025, showcasing their ongoing performance.<BR><BR>Financial Snapshot: <BR>Most recent Net Sales: 5,665 Cr (Quarterly Results - Mar 2025) <BR>Most recent Net Profit: 2,986 Cr (Quarterly Results - Mar 2025) <BR>Market-cap value: INR 54,139 Cr (Large Cap)<BR><BR>Key Metrics: <BR>P/E: 43.00 <BR>Industry P/E: 23 <BR>Dividend Yield: 2.12% <BR>Debt-Equity: 0.02 <BR>Return on Equity: 30.53% <BR>Price-to-Book: 12.76<BR><BR>Contact Details: <BR>Address: 4th Flr Tower A Peninsula Busi, Ganapatrao Kadam Marg L P (W) Mumbai Maharashtra : 400013 <BR>Phone: 91-22-68087000 <BR>Email: investorrelation@nipponindiaim.com <BR>Website: https://mf.nipponindiaim.com

Who are the top shareholders of the Nippon Life Ind.?

The top shareholders of Nippon Life Ind. include Nippon Life Insurance Company with 72.32%, Life Insurance Corporation of India at 3.69%, and individual investors at 5.34%. Mutual funds hold 8.0%, while foreign institutional investors account for 8.34%, with no pledged promoter holdings reported.

The top shareholders of Nippon Life Ind. include the Nippon Life Insurance Company, which holds a significant 72.32% of the shares. Other notable shareholders are Life Insurance Corporation of India with 3.69%, and individual investors who collectively hold 5.34%. Additionally, mutual funds account for 8.0% of the holdings through 29 schemes, while foreign institutional investors (FIIs) hold 8.34% through 257 entities. There are no pledged promoter holdings reported.

How big is Nippon Life Ind.?

As of 24th July, Nippon Life India Asset Management Ltd has a market capitalization of 53,878.00 Cr and reported net sales of 2,230.69 Cr and net profit of 1,286.39 Cr over the latest four quarters.

As of 24th July, <BR><BR>Market Cap: Nippon Life India Asset Management Ltd has a market capitalization of 53,878.00 Cr, classified as Large Cap.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 2,230.69 Cr, while the sum of Net Profit for the same period is 1,286.39 Cr.<BR><BR>Balance Sheet Snapshot: For the reporting period of March 2025, Shareholder's Funds amount to 4,212.92 Cr and Total Assets are valued at 4,670.14 Cr.

Are Nippon Life Ind. latest results good or bad?

Nippon Life India Asset Management's latest results show strong revenue growth of 15.20% year-on-year, but a decline in net profit by 13.00% quarter-on-quarter raises concerns about earnings sustainability. Overall, while operational performance is solid, the profit drop makes the results somewhat disappointing.

Nippon Life India Asset Management's latest results present a mixed picture. On one hand, the company achieved a commendable revenue growth of 15.20% year-on-year, with net sales reaching ₹658.12 crores, which indicates strong operational performance and an ability to capture market share in India's growing mutual fund industry. The operating profit, excluding other income, also saw a significant increase, climbing to ₹429.54 crores, and the operating margin improved to 65.27%.<BR><BR>However, the net profit for the quarter fell to ₹344.64 crores, reflecting a decline of 13.00% quarter-on-quarter and a 4.29% decrease year-on-year. This drop in profit is primarily attributed to a substantial decline in other income, which decreased by nearly 75% compared to the previous quarter. This volatility in earnings highlights the challenges faced by the company, particularly its sensitivity to fluctuations in treasury income.<BR><BR>Overall, while the revenue growth and operational metrics are strong, the decline in net profit raises concerns about the sustainability of earnings, making the results somewhat disappointing. Investors should be cautious and consider the implications of the profit volatility when evaluating the company's performance.

How has been the historical performance of Nippon Life Ind.?

Nippon Life Ind. has shown consistent growth, with net sales increasing from 1,062.14 Cr in Mar'21 to 2,230.69 Cr in Mar'25, and profit after tax rising from 415.76 Cr to 1,285.73 Cr in the same period, reflecting strong operational performance and profitability.

Answer:<BR>The historical performance of Nippon Life Ind. shows a consistent growth trajectory in net sales and profit over the years.<BR><BR>Breakdown:<BR>Nippon Life Ind. has demonstrated significant growth in net sales, increasing from 1,062.14 Cr in Mar'21 to 2,230.69 Cr in Mar'25. The total operating income followed a similar upward trend, reaching 2,230.69 Cr in Mar'25, up from 1,202.98 Cr in Mar'20. Operating profit (PBDIT) also saw a substantial rise, climbing to 1,731.66 Cr in Mar'25 from 598.73 Cr in Mar'20. Profit before tax increased to 1,694.32 Cr in Mar'25, compared to 559.81 Cr in Mar'20, while profit after tax reached 1,285.73 Cr in Mar'25, up from 415.76 Cr in Mar'20. The company's earnings per share (EPS) improved significantly from 6.78 in Mar'20 to 20.27 in Mar'25. On the balance sheet, total assets grew from 2,880.16 Cr in Mar'20 to 4,670.14 Cr in Mar'25, while total liabilities increased from 2,880.16 Cr to 4,670.14 Cr in the same period. Cash flow from operating activities rose to 1,199.00 Cr in Mar'25, up from 604.00 Cr in Mar'20, indicating strong operational performance. Overall, Nippon Life Ind. has shown robust growth in both revenue and profitability over the years.

Should I buy, sell or hold Nippon Life Ind.?

Has Nippon Life Ind. declared dividend?

Yes, Nippon Life India Asset Management Ltd has declared a 90% dividend, amounting to ₹10 per share, with an ex-date of November 6, 2025. The company has demonstrated strong total returns across various periods, reflecting solid financial performance.

Nippon Life India Asset Management Ltd has declared a 90% dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 90%<BR>- Amount per share: 10<BR>- Ex-date: 06 Nov 25<BR><BR>Dividend Yield: 2.06%.<BR><BR>Total Returns by Period:<BR>In the last 3 months, the price return was 7.77%, the dividend return was 1.11%, resulting in a total return of 8.88%.<BR><BR>Over the last 6 months, the price return reached 37.28%, with a dividend return of 2.91%, leading to a total return of 40.19%.<BR><BR>For the past year, the price return was 23.9%, the dividend return was 3.77%, culminating in a total return of 27.67%.<BR><BR>In the last 2 years, the price return was an impressive 124.01%, with a dividend return of 9.47%, resulting in a total return of 133.48%.<BR><BR>Over the past 3 years, the price return soared to 223.73%, while the dividend return was 19.47%, leading to a total return of 243.2%.<BR><BR>In the last 4 years, the price return was 109.82%, with a dividend return of 16.13%, resulting in a total return of 125.95%.<BR><BR>For the past 5 years, the price return was 222.53%, with a dividend return of 25.47%, culminating in a total return of 248.0%.<BR><BR>Overall, Nippon Life India Asset Management Ltd has shown a strong commitment to returning value to its shareholders through dividends, alongside significant total returns across various periods, indicating robust financial performance.

Is Nippon Life Ind. technically bullish or bearish?

As of November 3, 2025, the market trend is mildly bullish, supported by bullish MACD readings and daily moving averages, although the KST shows a mildly bearish trend that introduces some mixed signals.

As of 3 November 2025, the technical trend has changed from bullish to mildly bullish. The current stance is mildly bullish, driven by the weekly and monthly MACD readings, which are both bullish. The daily moving averages also support this bullish sentiment. However, the KST indicates a mildly bearish trend on both weekly and monthly time frames, which slightly offsets the overall bullish view. The Bollinger Bands reflect a mildly bullish stance as well. Overall, while there are some mixed signals, the prevailing indicators lean towards a mildly bullish outlook.

Why is Nippon Life Ind. falling/rising?

As of 20-Dec, Nippon Life India Asset Management Ltd's stock is experiencing a decline of -2.59%, influenced by a negative market sentiment despite strong long-term performance, including a year-to-date return of +22.22%. Increased investor participation indicates some are capitalizing on lower prices, but the stock underperformed its sector today.

As of 20-Dec, Nippon Life India Asset Management Ltd's stock price is currently falling, with a change of -23.65 (-2.59%). This decline can be attributed to several factors observed in today's trading performance. The stock opened with a loss of -2.17% and reached an intraday low of Rs 876.1, reflecting a decrease of -3.95%. Additionally, the stock underperformed its sector by -3.47% today.<BR><BR>Despite these short-term challenges, the stock has shown strong long-term performance, with a year-to-date return of +22.22% compared to the Sensex's +8.69%. Over the past three years, it has delivered an impressive +233.13% return, significantly outperforming the benchmark. However, the current price drop indicates a negative sentiment in the market, possibly influenced by the stock's recent performance relative to its sector and the broader market conditions. <BR><BR>Investor participation has increased, with a notable rise in delivery volume, suggesting that while some investors may be taking advantage of lower prices, the immediate market reaction has been negative, contributing to the stock's decline.

Which are the latest news on Nippon Life Ind.?