ScoreWhy is Life Insurance Corporation of India ?
1
The company is Net-Debt Free
2
Flat results in Jun 26
- PAT(Q) At Rs 13,584.25 cr has Fallen at -5.4% (vs previous 4Q average)
- EPS(Q) Lowest at Rs 10.74
3
With ROE of 32.5, it has a Very Attractive valuation with a 3 Price to Book Value
- Over the past year, while the stock has generated a return of -6.34%, its profits have risen by 23.3% ; the PEG ratio of the company is 0.4
4
Majority shareholders : Promoters
5
Below par performance in long term as well as near term
- Along with generating -6.34% returns in the last 1 year, the stock has also underperformed BSE500 in the last 3 years, 1 year and 3 months
6
With its market cap of Rs 5,33,956 cr, it is the second biggest company in the sector (behind Bajaj Finance)and constitutes 8.85% of the entire sector
- Its annual Sales of Rs 994,087.99 are 38.29% of the industry
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Life Insurance should be less than 10%
- Overall Portfolio exposure to Insurance should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Insurance)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Life Insurance for you?
Medium Risk, Medium Return
Absolute
Risk Adjusted
Volatility
Life Insurance
-6.5%
-0.26
25.39%
Sensex
-4.1%
-0.30
13.47%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
7.75%
EBIT Growth (5y)
81.52%
EBIT to Interest (avg)
100.00
Debt to EBITDA (avg)
Net Debt is too low
Net Debt to Equity (avg)
-0.41
Sales to Capital Employed (avg)
18.83
Tax Ratio
12.93%
Dividend Payout Ratio
15.71%
Pledged Shares
0
Institutional Holding
1.43%
ROCE (avg)
402.06%
ROE (avg)
47.72%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
9
Industry P/E
0
Price to Book Value
3.02
EV to EBIT
9.52
EV to EBITDA
9.52
EV to Capital Employed
4.42
EV to Sales
0.46
PEG Ratio
0.38
Dividend Yield
2.37%
ROCE (Latest)
44.29%
ROE (Latest)
32.53%
Loading Valuation Snapshot...
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Mildly Bullish
Bearish
Moving Averages
Mildly Bullish (Daily)
KST
Bullish
Bearish
Dow Theory
Mildly Bullish
Mildly Bullish
OBV
No Trend
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
PAT(Latest six months)
At Rs 37,051.43 cr has Grown at 23.52%
PBDIT(Q)
Highest at Rs 14,024.27 cr.
PBT LESS OI(Q)
At Rs 14,011.68 cr has Grown at 20.3% (vs previous 4Q average
-2What is not working for the Company
PAT(Q)
At Rs 13,584.25 cr has Fallen at -5.4% (vs previous 4Q average
EPS(Q)
Lowest at Rs 10.74
Loading Valuation Snapshot...
Here's what is working for Life Insurance
Operating Profit (PBDIT) - Quarterly
Highest at Rs 14,024.27 cr.
in the last five quartersMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (Rs Cr)
Profit Before Tax less Other Income (PBT) - Quarterly
At Rs 14,011.68 cr has Grown at 20.3% (vs previous 4Q average)
over average PBT of the previous four quarters of Rs 11,644.22 CrMOJO Watch
Near term PBT trend is positive
PBT less Other Income (Rs Cr)
Here's what is not working for Life Insurance
Profit After Tax (PAT) - Quarterly
At Rs 13,584.25 cr has Fallen at -5.4% (vs previous 4Q average)
over average PAT of the previous four quarters of Rs 14,363.29 CrMOJO Watch
Near term PAT trend is negative
PAT (Rs Cr)
Earnings per Share (EPS) - Quarterly
Lowest at Rs 10.74
in the last five quartersMOJO Watch
Declining profitability; company has created lower earnings for shareholders
EPS (Rs)
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