HDFC Life Insurance Company Limited

BSE:540777 Stock Report

Market Cap: ₹1.3t

HDFC Life Insurance Valuation

Is 540777 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of 540777 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Discounted Cash Flow
Simply Wall St
₹108.15
Fair Value
474.0% overvalued intrinsic discount
34
Number of Analysts

Below Fair Value: 540777 (₹620.75) is trading above our estimate of fair value (₹108.15)

Significantly Below Fair Value: 540777 is trading above our estimate of fair value.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for 540777?

Key metric: As 540777 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for 540777. This is calculated by dividing 540777's market cap by their current earnings.
What is 540777's PE Ratio?
PE Ratio76.5x
Earnings₹17.47b
Market Cap₹1.34t

Price to Earnings Ratio vs Peers

How does 540777's PE Ratio compare to its peers?

The above table shows the PE ratio for 540777 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Averagen/a

Price-To-Earnings vs Peers: 540777 is expensive based on its Price-To-Earnings Ratio (76.5x) compared to the peer average (71.4x).

Price to Earnings Ratio vs Industry

How does 540777's PE Ratio compare vs other companies in the Insurance Industry?

0 CompaniesPrice / EarningsEstimated GrowthMarket Cap
No. of Companies0PE048121620
0 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: 540777 is expensive based on its Price-To-Earnings Ratio (76.5x) compared to the Asian Insurance industry average (10.8x).

Price to Earnings Ratio vs Fair Ratio

What is 540777's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

540777 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio76.5x
Fair PE Ratio43.3x

Price-To-Earnings vs Fair Ratio: 540777 is expensive based on its Price-To-Earnings Ratio (76.5x) compared to the estimated Fair Price-To-Earnings Ratio (43.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst 540777 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹620.75
₹778.24
+25.4%
8.7%₹900.00₹570.00n/a34
Jan ’26₹617.15
₹804.64
+30.4%
8.2%₹900.00₹585.00n/a33
Dec ’25₹657.55
₹808.27
+22.9%
8.0%₹900.00₹585.00n/a33
Nov ’25₹723.75
₹808.27
+11.7%
8.0%₹900.00₹585.00n/a33
Oct ’25₹710.50
₹769.79
+8.3%
9.4%₹900.00₹585.00n/a33
Sep ’25₹738.80
₹747.67
+1.2%
7.8%₹840.00₹585.00n/a33
Aug ’25₹713.45
₹741.67
+4.0%
7.6%₹840.00₹560.00n/a33
Jul ’25₹600.65
₹723.88
+20.5%
7.5%₹840.00₹560.00n/a33
Jun ’25₹550.10
₹731.19
+32.9%
6.7%₹840.00₹610.00n/a32
May ’25₹583.35
₹731.19
+25.3%
6.7%₹840.00₹610.00n/a32
Apr ’25₹633.90
₹743.35
+17.3%
6.6%₹850.00₹635.00n/a31
Mar ’25₹589.95
₹743.35
+26.0%
6.6%₹850.00₹635.00n/a31
Feb ’25₹586.65
₹742.09
+26.5%
6.5%₹850.00₹635.00n/a32
Jan ’25₹648.00
₹747.06
+15.3%
7.1%₹830.00₹556.00₹617.1531
Dec ’24₹681.55
₹745.61
+9.4%
6.9%₹830.00₹556.00₹657.5531
Nov ’24₹620.30
₹737.47
+18.9%
7.9%₹830.00₹556.00₹723.7532
Oct ’24₹637.50
₹735.81
+15.4%
8.5%₹820.00₹556.00₹710.5032
Sep ’24₹641.45
₹733.94
+14.4%
8.4%₹820.00₹556.00₹738.8032
Aug ’24₹642.55
₹728.94
+13.4%
8.8%₹820.00₹556.00₹713.4532
Jul ’24₹650.75
₹652.72
+0.3%
10.8%₹820.00₹485.00₹600.6529
Jun ’24₹582.20
₹637.34
+9.5%
8.6%₹752.00₹485.00₹550.1029
May ’24₹529.75
₹637.34
+20.3%
8.6%₹752.00₹485.00₹583.3529
Apr ’24₹499.35
₹631.52
+26.5%
11.0%₹780.00₹470.00₹633.9029
Mar ’24₹489.70
₹649.20
+32.6%
12.2%₹800.00₹460.00₹589.9530
Feb ’24₹515.50
₹706.67
+37.1%
8.3%₹890.00₹590.00₹586.6530
Jan ’24₹566.45
₹682.52
+20.5%
6.4%₹800.00₹590.00₹648.0031
Analyst Price Target
Consensus Narrative from 34 Analysts
₹777.92
Fair Value
20.2% undervalued intrinsic discount
34
Number of Analysts

Analyst Forecast: Target price is more than 20% higher than the current share price and analysts are within a statistically confident range of agreement.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2025/01/23 03:40
End of Day Share Price 2025/01/23 00:00
Earnings2024/12/31
Annual Earnings2024/03/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

HDFC Life Insurance Company Limited is covered by 53 analysts. 11 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Supratim DattaAmbit Capital
Mohit MangalAnand Rathi Shares and Stock Brokers Limited
null nullAntique Stockbroking Ltd.