Buy Max Financial Services; target of Rs 1020: Sharekhan

Sharekhan is bullish on Max Financial Services has recommended buy rating on the stock with a target price of Rs 1020 in its research report dated August 02, 2022.

Broker Research

August 04, 2022 / 22:05 IST

The research firm ICICI Securities believes earnings of apparel brands and retail companies under their coverage may surprise positively from Q3FY22E as the likely demand recovery may result in better than expected margin performance. Some of the costs savings achieved during pandemic may sustain and coupled with high operating leverage may lead to higher than pre-covid margins from Q3FY22E. Stocks like Trent, V-Mart and Aditya Birla Fashion and Retail are the preferred picks backed by their strong and consistent track record of execution.

26 Aug, 2025 12:21

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Sharekhan's research report on Max Financial Services

Max Life Insurance reported strong new business premiums (on APE basis) growth of 15% y-o-y and down by 45% q-o-q to Rs. 1,009 crore, driven by strong growth in PAR and ULIP sales. Protection business grew by a moderate 7% y-o-y. VNB grew by ~24% y-o-y to Rs.213 crore. VNB margin stood at 21.1%, up by 140 bps y-o-y, aided by better margins of new products across categories. Company reiterated its strategy to focus on annuity segment (was up by 125% y-o-y in Q1FY23) going ahead. It reiterated VNB margin guidance at 25-26% by FY23.

Outlook

We maintain a Buy on the stock with a revised price target (PT) of Rs. 1,020.

For all recommendations report, click here