Up to 36% upside? HDFC Life share price target raised post Q4 results, dividend 2026 - Here’s why
HDFC Life Q4 results: Alongside the financial results, the life insurer board recommended a final dividend of Rs 2.10 per share of face value of 10 for the financial year 2025-26. The company has set Friday, June 19, 2026, as the record date.
- Apr 17, 2026,
- Updated Apr 17, 2026 11:46 AM IST
HDFC Life Insurance Company Ltd reported a 4 per cent year-on-year (YoY) rise in its standalone net profit to Rs 495.65 crore for the March quarter of the financial year 2025-26 (Q4FY26), up from Rs 476.54 crore reported in the corresponding quarter last year.
Following the earnings announcement, the stock faced some selling pressure. In Friday’s trade, HDFC Life stock was trading 3.02 per cent lower at Rs 612.45 apiece on the BSE, down from its previous close of Rs 631.55 per share.
Dividend details
Alongside the financial results, the life insurer board recommended a final dividend of Rs 2.10 per share of face value of 10 for the financial year 2025-26. The company has set Friday, June 19, 2026, as the record date. If approved, the payout would be processed on or after July 20, 2026.
What brokerage say
Several brokerages have raised their target prices for HDFC Life stock. Based on the current market price of Rs 612.45, the stock offers a potential upside of up to 36 per cent.
PL Capital has retained a ‘Buy’ rating on HDFC Life with a revised target price of Rs 835 from Rs 820 earlier, implying a 36 per cent upside from current levels. The brokerage noted that "growth falls short; FY27 to see recovery" and pointed out "muted APE growth amid NPAR drag; outlook remains watchful".
“Q4/ FY26 VNB margin contracted to 24.0%/ 24.2% due to higher fixed costs (~90 bps) and a drag from GST exemption (~110 bps). We build a gradual expansion in VNB margin to 24.7% /25.2% in FY27/28E (back to FY25 levels) as the share of protection/ annuity increases and the impact of GST neutralizes,” PL Capital said.
While JM Financial maintained its ‘Add’ rating on the stock, it upped its target price to Rs 670 from Rs 644 earlier.
“The stock trades at a mouth-watering valuation of 1.8/1.6x Mar’27/Mar’28 EVPS, and we believe any further weakness should be seen as an opportunity to add quality onto the portfolio,” the brokerage said.
Furthermore, Nirmal Bang has a ‘Hold’ stance but raised the target price to Rs 700 from a previous target of Rs 680. "Robust retail protection growth, a sharp contraction in non-PAR savings, and a significant top-line shortfall were the key highlights," the brokerage said.
HDFC Life Insurance Company Ltd reported a 4 per cent year-on-year (YoY) rise in its standalone net profit to Rs 495.65 crore for the March quarter of the financial year 2025-26 (Q4FY26), up from Rs 476.54 crore reported in the corresponding quarter last year.
Following the earnings announcement, the stock faced some selling pressure. In Friday’s trade, HDFC Life stock was trading 3.02 per cent lower at Rs 612.45 apiece on the BSE, down from its previous close of Rs 631.55 per share.
Dividend details
Alongside the financial results, the life insurer board recommended a final dividend of Rs 2.10 per share of face value of 10 for the financial year 2025-26. The company has set Friday, June 19, 2026, as the record date. If approved, the payout would be processed on or after July 20, 2026.
What brokerage say
Several brokerages have raised their target prices for HDFC Life stock. Based on the current market price of Rs 612.45, the stock offers a potential upside of up to 36 per cent.
PL Capital has retained a ‘Buy’ rating on HDFC Life with a revised target price of Rs 835 from Rs 820 earlier, implying a 36 per cent upside from current levels. The brokerage noted that "growth falls short; FY27 to see recovery" and pointed out "muted APE growth amid NPAR drag; outlook remains watchful".
“Q4/ FY26 VNB margin contracted to 24.0%/ 24.2% due to higher fixed costs (~90 bps) and a drag from GST exemption (~110 bps). We build a gradual expansion in VNB margin to 24.7% /25.2% in FY27/28E (back to FY25 levels) as the share of protection/ annuity increases and the impact of GST neutralizes,” PL Capital said.
While JM Financial maintained its ‘Add’ rating on the stock, it upped its target price to Rs 670 from Rs 644 earlier.
“The stock trades at a mouth-watering valuation of 1.8/1.6x Mar’27/Mar’28 EVPS, and we believe any further weakness should be seen as an opportunity to add quality onto the portfolio,” the brokerage said.
Furthermore, Nirmal Bang has a ‘Hold’ stance but raised the target price to Rs 700 from a previous target of Rs 680. "Robust retail protection growth, a sharp contraction in non-PAR savings, and a significant top-line shortfall were the key highlights," the brokerage said.