On October 5, 2024, LIC’s share price is currently at ₹971, reflecting a modest increase of 0.39% as of 2:40 PM. The stock opened at ₹973 and has seen a high of ₹982.80 and a low of ₹955.70. With a market capitalization of ₹6,14,252.15 crore, LIC continues to be a key player in the Indian insurance market. Investors are weighing whether this uptick signals a buying opportunity or suggests it might be time to sell.
LIC Share in Today’s Market
- Current Price: ₹971 (up 0.39%)
- Market Cap: ₹6,14,252.15 crore
- Volume: 1,345,161 shares
- 52-Week High: ₹1,222
- 52-Week Low: ₹597.35
Company Financial Overview
LIC’s financial health remains robust, with several positive indicators:
- Enterprise Value: ₹5,79,731.10 crore
- P/B Ratio: 6.64
- Dividend Yield: 1.03%
- Cash Reserves: ₹34,521.05 crore
- Debt: ₹0 crore (no debt)
- Promoter Holding: 96.5%
- EPS (TTM): ₹65.76
With consistent profit growth of 11.75% and a return on equity (ROE) of 63.61%, LIC remains a solid investment option.
Company Pros and Cons
Pros:
- Strong cash reserves and zero debt.
- High profit growth and return ratios.
- Strong market presence with significant promoter holding.
Cons:
- Moderate dividend yield, which may not appeal to income-focused investors.
- The stock’s volatility, indicated by a beta of 1.42, poses risks for short-term traders.
India Hood Recommendation
- Long-term Investors: Consider buying on dips, especially if the stock approaches its 52-week low. LIC’s strong fundamentals support long-term growth.
- Short-term Traders: While there are opportunities for minor fluctuations, caution is advised due to the stock’s volatility.
- Dividend Seekers: With a dividend yield of 1.03%, this may not be the best option for high-income investors.
Conclusion
LIC’s current stock performance indicates resilience and stability in the insurance sector. While it presents an attractive long-term investment, short-term traders should exercise caution. Always conduct your research or consult a financial advisor before making any investment decisions.
