LIC share price target: Should you buy, sell or hold as stock tanks 4% after Q2 results?
LIC shares fell over 4% after Q2 results despite profit growth. Check brokerage views, revised price targets and the outlook for LIC stock.
- Nov 6, 2026,
- Updated Nov 6, 2026 1:31 PM IST
LIC share price target: Domestic brokerage firms remain positive on Life Insurance Corporation of India (LIC), the country's largest life insurer, following its quarterly results, even as the stock fell more than 4 per cent on Friday. However, some analysts have raised their price targets, indicating potential upside of up to 33 per cent.
LIC reported a 20 per cent year-on-year (YoY) jump in net profit to Rs 12,115 crore, while net premium income rose 16.2 per cent YoY to Rs 1.47 lakh crore. Single premium income increased 34 per cent YoY to Rs 68,425 crore, while renewal premium income grew 5 per cent to Rs 68,718 crore. However, first-year premium income declined 4 per cent YoY to Rs 10,484 crore.
Net investment income increased 38 per cent YoY to Rs 2,855 crore, while assets under management (AUM) stood at Rs 59.60 lakh crore, up 4.16 per cent year-on-year. The solvency ratio improved to 2.35, while gross non-performing assets (NPAs) stood at 1.16 per cent for the quarter.
Shares of LIC fell 4.25 per cent to Rs 390.60 on Friday, taking its market capitalisation below Rs 5 lakh crore. The stock had hit a 52-week low of Rs 361 in April 2026. It has declined more than 17 per cent over the period specified in the latest market data and has remained broadly flat over the past year.
LIC reported 17 per cent YoY growth in value of new business (VNB) in Q2FY27, even as annualised premium equivalent (APE) growth remained subdued at 4 per cent. Individual APE declined 4 per cent YoY, while group APE rose 17 per cent. Individual APE remained flat in H1FY27 despite 14.5 per cent growth in weighted received premium (WRP), as a 40 per cent fall in unit-linked insurance plan (ULIP) APE offset gains in other products, said JM Financial.
"LIC looks well placed under the proposed IRDAI distribution norms: 92 per cent of individual NBP is agency-led and management is comfortable with the proposed commission caps given its low expense ratio of 10.4 per cent. We maintain 8–10 per cent growth expectations and raise target price to Rs 520, valuing the stock at 0.6 times September 2028E EVPS of Rs 855," it added.
LIC reported a sequential decline in VNB margin and subdued growth during the quarter, primarily due to weak ULIP demand. However, margins continued to expand year-on-year, supported by a higher contribution from non-participating (non-par) business and improving product-level margins, said Motilal Oswal Financial Services.
"The growth trajectory is expected to improve as ULIP regains momentum. We have cut our VNB margin estimates by 20 bps for FY27/28 considering the performance in 2QFY27. We expect operating RoEV in the range of 11.5-12 per cent," it added, reiterating its 'buy' rating with a target price of Rs 470.
ULIP APE remained subdued amid weak equity market sentiment and LIC's strategic shift towards higher-ticket policies, with the share of monthly-mode ULIP business declining from 24 per cent to 14 per cent. Group business continued to report healthy growth, supported by traction in group annuity and other products, said Systematix Institutional Equities.
"Management expects APE growth to improve in H2FY27, supported by a recovery in ULIPs, continued traction in non-par savings and protection, and recently launched products. The embedded value stood at Rs 7.98 lakh crore, down 2 per cent YoY. We maintain our 'buy' rating for the company with a revised price target of Rs 470," it added.
LIC share price target: Domestic brokerage firms remain positive on Life Insurance Corporation of India (LIC), the country's largest life insurer, following its quarterly results, even as the stock fell more than 4 per cent on Friday. However, some analysts have raised their price targets, indicating potential upside of up to 33 per cent.
LIC reported a 20 per cent year-on-year (YoY) jump in net profit to Rs 12,115 crore, while net premium income rose 16.2 per cent YoY to Rs 1.47 lakh crore. Single premium income increased 34 per cent YoY to Rs 68,425 crore, while renewal premium income grew 5 per cent to Rs 68,718 crore. However, first-year premium income declined 4 per cent YoY to Rs 10,484 crore.
Net investment income increased 38 per cent YoY to Rs 2,855 crore, while assets under management (AUM) stood at Rs 59.60 lakh crore, up 4.16 per cent year-on-year. The solvency ratio improved to 2.35, while gross non-performing assets (NPAs) stood at 1.16 per cent for the quarter.
Shares of LIC fell 4.25 per cent to Rs 390.60 on Friday, taking its market capitalisation below Rs 5 lakh crore. The stock had hit a 52-week low of Rs 361 in April 2026. It has declined more than 17 per cent over the period specified in the latest market data and has remained broadly flat over the past year.
LIC reported 17 per cent YoY growth in value of new business (VNB) in Q2FY27, even as annualised premium equivalent (APE) growth remained subdued at 4 per cent. Individual APE declined 4 per cent YoY, while group APE rose 17 per cent. Individual APE remained flat in H1FY27 despite 14.5 per cent growth in weighted received premium (WRP), as a 40 per cent fall in unit-linked insurance plan (ULIP) APE offset gains in other products, said JM Financial.
"LIC looks well placed under the proposed IRDAI distribution norms: 92 per cent of individual NBP is agency-led and management is comfortable with the proposed commission caps given its low expense ratio of 10.4 per cent. We maintain 8–10 per cent growth expectations and raise target price to Rs 520, valuing the stock at 0.6 times September 2028E EVPS of Rs 855," it added.
LIC reported a sequential decline in VNB margin and subdued growth during the quarter, primarily due to weak ULIP demand. However, margins continued to expand year-on-year, supported by a higher contribution from non-participating (non-par) business and improving product-level margins, said Motilal Oswal Financial Services.
"The growth trajectory is expected to improve as ULIP regains momentum. We have cut our VNB margin estimates by 20 bps for FY27/28 considering the performance in 2QFY27. We expect operating RoEV in the range of 11.5-12 per cent," it added, reiterating its 'buy' rating with a target price of Rs 470.
ULIP APE remained subdued amid weak equity market sentiment and LIC's strategic shift towards higher-ticket policies, with the share of monthly-mode ULIP business declining from 24 per cent to 14 per cent. Group business continued to report healthy growth, supported by traction in group annuity and other products, said Systematix Institutional Equities.
"Management expects APE growth to improve in H2FY27, supported by a recovery in ULIPs, continued traction in non-par savings and protection, and recently launched products. The embedded value stood at Rs 7.98 lakh crore, down 2 per cent YoY. We maintain our 'buy' rating for the company with a revised price target of Rs 470," it added.