Emkay Global Financial's report on SBI Life Insurance
SBILIFE reported an impressive set of numbers in FY22, with VNB margin improving 2.6ppts to 25.9% and operating RoEV of 16.4% (19.5% after adjusting for excess Covid-19 mortality). With all its distribution channels firing, expanding product offerings and widening acceptance, we expect robust growth to continue in FY23 and beyond. The formidable combination of brand and distribution reach in terms of geography and demography makes SBILIFE a formidable force in the Indian life insurance sector. Based on the risk-reward proposition, SBILIFE remains our top pick in the sector.
We reiterate our Buy rating with a revised target price of Rs1,645.