Max Financial Services Limited

NSEI:MFSL Stock Report

Market Cap: ₹408.8b

Max Financial Services Valuation

Is MFSL 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 MFSL when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: MFSL (₹1173.5) is trading above our estimate of fair value (₹176.33)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for MFSL. This is calculated by dividing MFSL's market cap by their current earnings.
What is MFSL's PE Ratio?
PE Ratio117.1x
Earnings₹3.44b
Market Cap₹408.78b

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for MFSL vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average74.2x
STARHEALTH Star Health and Allied Insurance
31.2x18.4%₹271.5b
ICICIPRULI ICICI Prudential Life Insurance
111.9x1.7%₹989.9b
HDFCLIFE HDFC Life Insurance
85.8x16.0%₹1.5t
SBILIFE SBI Life Insurance
67.9x11.6%₹1.5t
MFSL Max Financial Services
117.1x22.9%₹408.8b

Price-To-Earnings vs Peers: MFSL is expensive based on its Price-To-Earnings Ratio (117.1x) compared to the peer average (74.2x).

Price to Earnings Ratio vs Industry

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

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
MFSL 117.1xIndustry Avg. 11.0xNo. of Companies45PE0816243240+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: MFSL is expensive based on its Price-To-Earnings Ratio (117.1x) compared to the Asian Insurance industry average (11x).

Price to Earnings Ratio vs Fair Ratio

What is MFSL'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.

MFSL PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio117.1x
Fair PE Ratio39.2x

Price-To-Earnings vs Fair Ratio: MFSL is expensive based on its Price-To-Earnings Ratio (117.1x) compared to the estimated Fair Price-To-Earnings Ratio (39.2x).

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 MFSL forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,173.50
₹1,422.35
+21.2%
7.3%₹1,660.00₹1,240.00n/a17
Nov ’25₹1,286.25
₹1,422.35
+10.6%
7.3%₹1,660.00₹1,240.00n/a17
Oct ’25₹1,185.75
₹1,252.06
+5.6%
8.0%₹1,400.00₹1,080.00n/a17
Sep ’25₹1,074.85
₹1,226.39
+14.1%
8.0%₹1,400.00₹1,030.00n/a18
Aug ’25₹1,103.05
₹1,205.83
+9.3%
8.5%₹1,400.00₹1,030.00n/a18
Jul ’25₹995.70
₹1,210.47
+21.6%
8.1%₹1,400.00₹1,020.00n/a17
Jun ’25₹918.15
₹1,211.65
+32.0%
7.9%₹1,400.00₹1,040.00n/a17
May ’25₹1,010.90
₹1,205.00
+19.2%
7.7%₹1,400.00₹1,040.00n/a16
Apr ’25₹1,017.65
₹1,161.93
+14.2%
7.5%₹1,350.00₹1,020.00n/a15
Mar ’25₹968.45
₹1,150.60
+18.8%
7.2%₹1,350.00₹1,020.00n/a15
Feb ’25₹900.45
₹1,119.47
+24.3%
8.7%₹1,350.00₹970.00n/a15
Jan ’25₹955.20
₹1,102.80
+15.5%
9.3%₹1,350.00₹900.00n/a15
Dec ’24₹1,020.30
₹1,096.13
+7.4%
8.1%₹1,250.00₹900.00n/a15
Nov ’24₹883.80
₹1,070.47
+21.1%
5.9%₹1,200.00₹900.00₹1,286.2515
Oct ’24₹909.75
₹1,054.80
+15.9%
6.3%₹1,200.00₹900.00₹1,185.7515
Sep ’24₹937.25
₹1,054.80
+12.5%
6.3%₹1,200.00₹900.00₹1,074.8515
Aug ’24₹810.25
₹933.85
+15.3%
10.3%₹1,150.00₹800.00₹1,103.0513
Jul ’24₹810.85
₹901.67
+11.2%
12.0%₹1,150.00₹750.00₹995.7012
Jun ’24₹703.20
₹896.67
+27.5%
11.3%₹1,150.00₹750.00₹918.1512
May ’24₹639.75
₹900.67
+40.8%
9.2%₹1,050.00₹780.00₹1,010.9012
Apr ’24₹635.00
₹906.92
+42.8%
8.8%₹1,050.00₹780.00₹1,017.6512
Mar ’24₹699.60
₹928.69
+32.7%
8.3%₹1,050.00₹760.00₹968.4513
Feb ’24₹752.95
₹1,001.29
+33.0%
9.7%₹1,200.00₹760.00₹900.4514
Jan ’24₹677.50
₹954.36
+40.9%
13.0%₹1,200.00₹690.00₹955.2014
Dec ’23₹701.25
₹960.07
+36.9%
13.2%₹1,200.00₹690.00₹1,020.3014
Nov ’23₹717.40
₹967.21
+34.8%
14.7%₹1,300.00₹690.00₹883.8014

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

Discover undervalued companies

Star Health and Allied Insurance

₹271.5b

Provides health insurance products in India.

543412

₹462.05

7D

-1.0%

1Y

-17.5%

Star Health and Allied Insurance

₹271.5b

Provides health insurance products in India.

STARHEALTH

₹462.10

7D

-1.0%

1Y

-17.7%

General Insurance Corporation of India

₹651.4b

Provides reinsurance services in India and internationally.

540755

₹371.50

7D

6.4%

1Y

38.2%