Moneycontrol PRO

Hold ICICI Prudential Life Insurance Company; target of Rs 438: Prabhudas Lilladher

Prabhudas Lilladher recommended hold rating on ICICI Prudential Life Insurance Company with a target price of Rs 438 in its research report dated October 28, 2020.

October 30, 2020 / 01:32 PM IST
  • bselive
  • nselive
Todays L/H

Prabhudas Lilladher's research report on ICICI Prudential Life Insurance Company

ICICI Pru Life’s delivered a strong uptick in margins to 27.4% in Q2FY21 & 26.3% on H1FY21 basis which was up 295bps QoQ improvement and is up 188bps up from Q1FY21 to H1FY21 basis. Tailwinds on margins have been on healthy mix change towards non-par savings & protection, while re-pricing benefit & opex control also help deliver margins. Protection share is now 19% in APE mix, although it is still lagging to peers with de-growth of 18% YoY in Q2FY21 & 10% YoY in H1FY21. Though margins have been strong, we believe margins will not sustain due to recovery in ULIP post Q4FY21, retraction of some repricing on protection due to competition & non-par savings growth will slow and hence see margins at 25-26% but are higher than 24% estimated earlier.


We upgrade to HOLD from Reduce revised TP of Rs438 (from Rs425) based on 1.9x Sep-22 EV & 15x NBP.

For all recommendations report, click here


Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on are their own, and not that of the website or its management. advises users to check with certified experts before taking any investment decisions.

Broker Research
ISO 27001 - BSI Assurance Mark