HDFC Securities is bullish on ICICI Prudential Life has recommended buy rating on the stock with a target price of Rs 380 in its research report dated January 23, 2019.
HDFC Securities' research report on ICICI Prudential Life
9MFY19 VNB margins declined to 17.0% (-50bps vs. 1HFY19 and +50bps vs. FY18) on account of 9MFY19 APE decline of 4.2% YoY to Rs 53.4bn. Management stated that margins declined despite costs being within budget due to unexpected APE decline (2.1% YoY) in 3QFY19. This resulted in 9MFY19 cost/TWRP ratio increasing to 15.4% (+140bps YoY). We had highlighted high margin and growth expectations in our 1Q and 2Q earnings releases.
Outlook
We maintain BUY with a lowered TP of Rs 380 (FY20 EV + 18.2x FY21E VNB).
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Read More
