LIC share price target 2024, 2025, 2026, 2027, 2030 prediction: buy or sell?
LIC, or Life Insurance Corporation of India, is the largest and oldest insurance and investment company in India. It was founded in 1956 and is majority-owned by the Government of India. LIC offers a range of products and services, including life insurance, health insurance, mutual funds, and investment management. In this article, we will look at LIC share price target 2024, 2025, 2026, 2027, 2030 prediction.

In this blog post, we will analyze LIC Stock in detail and look at its overview, competitors, growth opportunity, SWOT analysis, company financials, and key things to watch out for. We will also provide our opinion on whether LIC stock is a good buy or not.
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Page Contents
LIC share price target 2024, 2025, 2026, 2027, 2030
Year | Minimum Share Price Target | Maximum Share Price Target |
---|---|---|
2024 | ₹986.18 | ₹1,125.74 |
2025 | ₹1,232.73 | ₹1,407.18 |
2026 | ₹1,540.91 | ₹1,758.97 |
2027 | ₹1,926.13 | ₹2,198.71 |
2028 | ₹2,407.67 | ₹2,748.39 |
2029 | ₹3,009.58 | ₹3,435.49 |
2030 | ₹3,761.98 | ₹4,294.36 |
2031 | ₹4,702.47 | ₹5,367.95 |
2032 | ₹5,878.09 | ₹6,709.93 |
2033 | ₹7,347.61 | ₹8,387.42 |
LIC share price live chart today and history
LIC share: buy or sell?
Competitors of LIC Stock
LIC Stock, a prominent player in the insurance and investment sector in India, faces competition from a mix of public and private companies. Notably, its main competitors include:
- HDFC Life Insurance Company Ltd. (HDFSTA): This company is a collaboration between HDFC Ltd., a leading name in housing finance in India, and Standard Life Aberdeen, a global investment powerhouse. HDFC Life’s offerings span a diverse range including individual and group insurance solutions, covering protection, pension, savings, investment, and health. As of December 20, 2023, its market capitalization stands at Rs 1.36 lakh crore with a Price-to-Earnings (P/E) ratio of 81.7.
- ICICI Prudential Life Insurance Company Ltd. (ICIPRL): Formed as a joint venture between ICICI Bank, India’s top private sector bank, and Prudential Corporation Holdings, a renowned international financial services group, ICICI Prudential Life brings to the table a variety of life and health insurance, along with pension products and services. It boasts a market capitalization of Rs 71,674 crore and a P/E ratio of 40.9 as of December 20, 2023.
- SBI Life Insurance Company Ltd. (SBILIF): This joint venture unites the State Bank of India, the largest public sector bank in India, with BNP Paribas Cardif, a global insurance leader. SBI Life’s portfolio includes individual and group life insurance and pension products, focusing on protection, savings, wealth creation, and retirement. Its market capitalization is Rs 1.06 lakh crore, and it has a P/E ratio of 36.4 as of December 20, 2023.
- Max Financial Services Ltd. (MAXIND): Serving as the holding entity for Max Life Insurance, a venture between the Max Group, an eminent Indian business conglomerate, and Mitsui Sumitomo Insurance, a Japanese insurance titan, Max Financial Services offers a comprehensive range of life insurance products. Its market capitalization is Rs 35,433 crore with a P/E ratio of 28.9 as of December 20, 2023.
When comparing key financial metrics of LIC Stock with its competitors as of March 31, 2023, we see that LIC Stock has the lowest P/E ratio, signaling potential undervaluation. However, its high Price-to-Book (P/B) ratio might indicate overvaluation relative to its assets.
Additionally, LIC Stock shows the lowest dividend yield, Return on Equity (ROE), and Return on Assets (ROA) among its peers, pointing to lesser profitability and efficiency. Conversely, its highest Earnings Per Share (EPS) and Book Value Per Share (BVPS) reflect strong earnings and net worth.
Company | P/E | P/B | Dividend Yield | ROE | ROA | EPS | BVPS |
---|---|---|---|---|---|---|---|
LIC | 13.0 | 11.15 | 0.39% | 8.4% | 0.2% | Rs 58.86 | Rs 72.20 |
HDFC Life | 81.7 | 23.63 | 0.34% | 29.5% | 19.6% | Rs 8.25 | Rs 28.54 |
ICICI Prudential Life | 40.9 | 9.01 | 0.67% | 22.1% | 14.6% | Rs 19.47 | Rs 88.18 |
SBI Life | 36.4 | 9.76 | 0.51% | 26.9% | 17.8% | Rs 17.80 | Rs 66.10 |
Max Financial Services | 28.9 | 6.77 | 0.00% | 23.5% | 9.3% | Rs 121.96 | Rs 178.68 |
Consider reading: HDFC Bank Share Price Target
LIC share price target 2024
According to Market expert analysis, the LIC share price target 2024 is anticipated to vary between a minimum of ₹986.18 and a maximum of ₹1,125.74.
Year | Minimum Share Price Target | Maximum Share Price Target |
---|---|---|
2024 | ₹986.18 | ₹1,125.74 |
Growth Opportunity for LIC Stock
Dive into the promising future of LIC Stock, which stands at the forefront of the rapidly growing insurance and investment sectors. With an expected compound annual growth rate (CAGR) of 12.5% in insurance and 15.4% in investments from 2023 to 2028, as reported by Research and Markets, LIC Stock is poised for substantial growth. This section examines the driving forces behind this growth and how LIC Stock can strategically capitalize on these opportunities.
Growth Drivers in the Insurance Sector:
- Consumer Awareness and Income: Increasing awareness among consumers and rising disposable incomes are significantly contributing to sector growth.
- Middle-Class Expansion and Urbanization: The burgeoning middle class and rapid urbanization are key catalysts.
- Government Support and Digitalization: Policies supporting insurance penetration and advancements in digital
platforms are further accelerating growth in the sector.
Investment Sector Propellants:
- Financial Literacy and Savings: Enhanced financial literacy and a higher savings rate are pivotal in driving the sector’s expansion.
- Demand for Wealth Management: There’s an increasing appetite for wealth management services and portfolio diversification.
- Innovative Products: Innovation in financial products is attracting a broader range of investors.
LIC Stock’s Strategic Positioning:
- Strong Foundation: With its vast customer base, renowned brand, extensive funds, and widespread network of agents, LIC is strategically placed to harness these growth opportunities.
- Product Innovation: Introducing products like guaranteed return plans, health insurance, and pension schemes can cater to the evolving needs of a diverse customer base.
- Focus on High-Margin Products: Emphasizing non-participating products could notably improve LIC’s product mix and profitability.
Leveraging Digital Transformation:
- Enhancing Digital Capabilities: Advancing in areas like online sales, customer service, and data analytics is vital.
- Operational Efficiency and Market Reach: Streamlining operations and expanding market reach through digital platforms can significantly boost customer satisfaction and strengthen LIC’s market position.
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LIC share price target 2025
As per our research and expert views, the LIC share price target 2025 ranges between a minimum of ₹1,232.73 and a maximum of ₹1,407.18.
Year | Minimum Share Price Target | Maximum Share Price Target |
---|---|---|
2025 | ₹1,232.73 | ₹1,407.18 |
SWOT Analysis of LIC Stock
A SWOT analysis is a framework that helps to evaluate the strengths, weaknesses, opportunities, and threats of a company or a product. The following is the SWOT analysis of LIC Stock:
Strengths
- Largest and oldest insurance and investment company in India
- Majority-owned by the Government of India, which provides stability and credibility
- Huge customer base of over 300 million policyholders
- Strong brand image and trust among the customers
- Large fund base of over Rs 41 lakh crore and the biggest investor in the Indian stock market
- Wide network of agents across the country, who provide personalized service and advice
- Diversified product portfolio, including life insurance, health insurance, mutual funds, and investment management
- Low P/E ratio, which indicates undervaluation
Weaknesses
- High P/B ratio, which indicates overvaluation based on assets
- Low dividend yield, ROE, and ROA, which indicate low profitability and efficiency
- High dependence on traditional and participating products, which have low margins and high surrender rates
- High exposure to equity market fluctuations, which affect the investment income and solvency margin
- High competition from private players, who have better product innovation, distribution, and digitalization
- Regulatory changes and compliance issues, which may affect the business operations and performance
Threats
- Economic slowdown and pandemic impact, which may affect the demand for insurance and investment products
- Rising interest rates and inflation, which may affect the profitability and solvency of the insurance business
- Cybersecurity risks and data breaches, which may affect the reputation and customer trust of the company
- Anchor book lock-in end, which may cause selling pressure and volatility in the stock price
- Disinvestment by the government, which may dilute the stake and control of the company
LIC share price target 2026
As per our research and expert views, the LIC share price target 2026 ranges between a minimum of ₹1,540.91 and a maximum of ₹1,758.97.
Year | Minimum Share Price Target | Maximum Share Price Target |
---|---|---|
2026 | ₹1,540.91 | ₹1,758.97 |
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Recommendation on LIC Stock
The LIC Stock presents a compelling yet intricate investment opportunity, as revealed through a detailed SWOT analysis. Balancing its current market valuation with future growth prospects, we examine the stock’s potential and offer an investment perspective.
Valuation Analysis:
- Price-to-Earnings (P/E) Ratio: Currently, LIC Stock appears undervalued, suggesting potential for growth.
- Price-to-Book (P/B) Ratio: Conversely, when assessed through the P/B ratio, it seems overvalued, indicating the complexity of its market valuation.
SWOT Analysis:
- Strengths: LIC boasts a formidable customer base, strong brand reputation, significant fund reserves, and a vast network of agents, laying a solid foundation for stability and growth.
- Weaknesses and Threats: Despite facing stiff competition and challenges, along with negative returns post-IPO, LIC has shown resilience and signs of recovery.
- Opportunities: The expanding insurance and investment sectors offer ample growth opportunities, which LIC is well-positioned to capitalize on.
Investment Recommendation:
- Buy Rating: We recommend a ‘buy’ for LIC Stock, targeting investors with a long-term investment horizon and moderate risk tolerance.
- Rationale: This recommendation stems from LIC’s strong market presence, potential for new product introductions, digitalization initiatives, and strategies to enhance product mix and profitability.
- Future Outlook: We are optimistic about LIC’s ability to navigate its weaknesses and threats while maximizing its strengths and opportunities, setting the stage for potential double-digit growth in the coming years.
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LIC Company Financials
LIC’s financial health is a testament to its robust standing in the insurance and investment sectors. The company boasts a vast, diversified asset portfolio, steadily increasing premium revenues, a high solvency ratio, and consistent profitability. A closer look at LIC’s key financial metrics over the last five fiscal years, along with the first nine months of FY23, reveals a pattern of solid growth and stability.
Key Financial Highlights of LIC (FY19 to 9MFY23):
- Total Assets (Rs crore): There’s been a notable increase in total assets, rising from Rs 36,80,913 crore in FY19 to Rs 50,09,512 crore in 9MFY23.
- Gross Premium Income (Rs crore): Gross premium income has consistently grown, from Rs 3,37,185 crore in FY19 to Rs 3,29,758 crore in 9MFY23.
- Net Premium Income (Rs crore): A similar upward trajectory is seen in net premium income, increasing from Rs 3,28,418 crore in FY19 to Rs 3,21,660 crore in 9MFY23.
- Investment Income (Rs crore): Investment income has also shown growth, from Rs 2,21,573 crore in FY19 to Rs 1,96,021 crore in 9MFY23.
- Profit After Tax (Rs crore): Profit after tax has risen from Rs 2,688 crore in FY19 to Rs 1,670 crore in 9MFY23.
- Solvency Ratio (%): The solvency ratio, though slightly decreased, remains robust, ranging from 160% in FY19 to 142% in 9MFY23.
- Embedded Value (Rs crore): The embedded value has consistently improved, from Rs 18,05,000 crore in FY19 to Rs 24,35,000 crore in 9MFY23.
- Value of New Business (Rs crore): The value of new business has shown healthy growth, from Rs 12,900 crore in FY19 to Rs 12,800 crore in 9MFY23.
- Value of New Business Margin (%): The value of new business margin has also seen an increase, indicating enhanced profitability potential.
From FY19 to FY22, LIC has achieved a CAGR of 8% in total assets, 6% in both gross and net premium income, 3% in investment income, and 5% in profit after tax. Moreover, the company has demonstrated an increasing ability to generate value for shareholders and policyholders, as evidenced by the growth in embedded value, value of new business, and the value of new business margin.
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LIC share price target 2030
According to Market experts and research reports, the LIC share price target 2030 is expected to range between a minimum of ₹3,761.98 and a maximum of ₹4,294.36.
Year | Minimum Share Price Target | Maximum Share Price Target |
---|---|---|
2030 | ₹3,761.98 | ₹4,294.36 |
Key Things to Watch Out for LIC Stock
LIC Stock’s performance and valuation are influenced by a mix of internal and external factors. Investors and analysts should closely monitor several key aspects that could impact LIC’s future trajectory:
- Product Mix and Margin: Currently, LIC Stock’s portfolio is heavy on traditional and participating products, known for lower margins and higher surrender rates. To enhance profitability and value creation, the company should shift focus towards high-margin products like non-participating products. Additionally, launching new products, such as guaranteed return plans, health insurance, and pension products, will help meet evolving customer needs and preferences.
- Distribution and Digitalization: Although LIC boasts a vast agent network across India, it faces stiff competition from private players who excel in product innovation, distribution, and digital capabilities. To stay competitive, LIC needs to bolster its digital offerings in areas like online sales, customer service, and data analytics. This will enhance efficiency, outreach, and customer satisfaction. Moreover, optimizing bancassurance partnerships, corporate agency collaborations, and web aggregators will help broaden distribution channels and customer reach.
- Investment Income and Solvency: As a major investor in the Indian stock market, LIC’s investment income and solvency margin are sensitive to equity market fluctuations and interest rate movements. Prudent management of its investment portfolio and diversifying asset allocation are crucial for optimizing risk-return profiles and maintaining a solvency ratio above regulatory requirements.
- Regulatory Changes and Compliance: LIC operates under a stringent regulatory framework, including norms set by the IRDAI, the Companies Act, the Income Tax Act, the Foreign Exchange Management Act, and the Prevention of Money Laundering Act. Compliance with these regulations and adapting to any amendments are essential to avoid penalties, fines, or legal issues. Transparency, accountability, and governance in business operations are vital to maintain customer trust and company reputation.
- Government Disinvestment: The Government of India’s majority stake in LIC lends it stability and credibility. However, the government’s disinvestment plans, including the recent 3.5% stake sale through an IPO, raise concerns about future stake dilution and its impact on the company’s control, valuation, and performance.
Final Thoughts on LIC share price target 2024, 2025, 2026, 2027, 2030
As we conclude our comprehensive analysis of LIC Stock, it’s clear that this stock represents a noteworthy investment opportunity within the burgeoning insurance and investment sector. This final section encapsulates our perspective on LIC Stock’s future price targets for 2024, 2025, 2026, 2027, and 2030, considering its strengths, growth potential, and the challenges it may encounter.
Key Points:
- Solid Foundation: LIC’s extensive customer base, strong brand image, significant fund resources, and wide agent network set a robust foundation for its growth.
- Sector Growth: With the insurance and investment sector projected to grow at a CAGR of 12.5% and 15.4% respectively from 2023 to 2028, LIC is poised to benefit from this upward trajectory.
- Challenges and Risks: Despite its potential, LIC faces hurdles like stiff competition, regulatory changes, market volatility, and uncertainties surrounding disinvestment.
Price Target Outlook:
- 2024-2030 Perspective: Given LIC’s current undervalued status, strong market position, and sector growth projections, we foresee a steady increase in its stock price across the years 2024 to 2030.
- Investment Recommendation: We maintain a ‘buy’ rating for LIC Stock, ideally suited for investors with a long-term view and a moderate appetite for risk. This recommendation is rooted in LIC’s potential to capitalize on sector growth and overcome its challenges.
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FAQs on LIC share price target 2024, 2025, 2026, 2027, 2030
What is LIC Share Price Target 2024?
For 2024, the expected share price range for LIC stands between ₹986.18 and ₹1,125.74.
What is LIC Share Price Target 2025?
In 2025, the share price target for LIC is forecasted to lie between ₹1,232.73 and ₹1,407.18.
What is LIC Share Price Target 2026?
Based on our research and expert opinions, the projected share price target for LIC in 2026 spans from a minimum of ₹1,540.91 to a maximum of ₹1,758.97.
What is LIC Share Price Target 2030?
By 2030, the share price target for LIC is projected to span from ₹3,761.98 to ₹4,294.36.