SBI Life Insurance Company Limited

NSEI:SBILIFE Stock Report

Market Cap: ₹1.6t

SBI Life Insurance Valuation

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

Valuation Score

2/6

Valuation Score 2/6

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

Below Fair Value: SBILIFE (₹1562.3) is trading above our estimate of fair value (₹293.88)

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

Key Valuation Metric

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

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

The above table shows the Price to Earnings ratio for SBILIFE. This is calculated by dividing SBILIFE's market cap by their current earnings.
What is SBILIFE's PE Ratio?
PE Ratio71.8x
Earnings₹21.82b
Market Cap₹1.57t

Price to Earnings Ratio vs Peers

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

The above table shows the PE ratio for SBILIFE vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average89.5x
HDFCLIFE HDFC Life Insurance
88.3x16.0%₹1.5t
ICICIPRULI ICICI Prudential Life Insurance
114.5x1.7%₹1.0t
MFSL Max Financial Services
123x22.9%₹423.6b
STARHEALTH Star Health and Allied Insurance
32.2x18.3%₹278.0b
SBILIFE SBI Life Insurance
71.8x11.7%₹1.6t

Price-To-Earnings vs Peers: SBILIFE is good value based on its Price-To-Earnings Ratio (71.8x) compared to the peer average (89.5x).

Price to Earnings Ratio vs Industry

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

6 CompaniesPrice / EarningsEstimated GrowthMarket Cap
SBILIFE 71.8xIndustry Avg. 11.0xNo. of Companies44PE0816243240+
6 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: SBILIFE is expensive based on its Price-To-Earnings Ratio (71.8x) compared to the Asian Insurance industry average (11x).

Price to Earnings Ratio vs Fair Ratio

What is SBILIFE'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.

SBILIFE PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio71.8x
Fair PE Ratio35.2x

Price-To-Earnings vs Fair Ratio: SBILIFE is expensive based on its Price-To-Earnings Ratio (71.8x) compared to the estimated Fair Price-To-Earnings Ratio (35.2x).

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 SBILIFE forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current₹1,562.30
₹1,992.88
+27.6%
8.5%₹2,500.00₹1,700.00n/a32
Nov ’25₹1,628.85
₹2,000.77
+22.8%
8.3%₹2,500.00₹1,700.00n/a31
Oct ’25₹1,834.20
₹1,969.23
+7.4%
9.2%₹2,450.00₹1,700.00n/a31
Sep ’25₹1,850.30
₹1,912.94
+3.4%
8.0%₹2,450.00₹1,700.00n/a31
Aug ’25₹1,767.25
₹1,903.74
+7.7%
7.8%₹2,450.00₹1,700.00n/a31
Jul ’25₹1,501.85
₹1,808.45
+20.4%
8.6%₹2,450.00₹1,580.00n/a31
Jun ’25₹1,386.40
₹1,787.81
+29.0%
10.4%₹2,450.00₹1,250.00n/a31
May ’25₹1,436.55
₹1,787.81
+24.5%
10.4%₹2,450.00₹1,250.00n/a31
Apr ’25₹1,489.95
₹1,724.52
+15.7%
11.0%₹2,450.00₹1,250.00n/a31
Mar ’25₹1,542.15
₹1,714.35
+11.2%
11.1%₹2,450.00₹1,250.00n/a31
Feb ’25₹1,432.75
₹1,699.56
+18.6%
10.9%₹2,450.00₹1,250.00n/a32
Jan ’25₹1,432.10
₹1,612.65
+12.6%
13.4%₹2,230.00₹760.00n/a31
Dec ’24₹1,423.65
₹1,609.42
+13.0%
13.4%₹2,230.00₹760.00n/a31
Nov ’24₹1,336.05
₹1,585.55
+18.7%
13.5%₹2,230.00₹760.00₹1,628.8531
Oct ’24₹1,305.40
₹1,582.03
+21.2%
9.7%₹2,230.00₹1,306.00₹1,834.2031
Sep ’24₹1,320.55
₹1,573.00
+19.1%
8.4%₹2,080.00₹1,306.00₹1,850.3031
Aug ’24₹1,279.95
₹1,578.73
+23.3%
8.5%₹2,080.00₹1,306.00₹1,767.2530
Jul ’24₹1,306.90
₹1,521.76
+16.4%
9.2%₹1,900.00₹1,275.00₹1,501.8529
Jun ’24₹1,207.75
₹1,521.72
+26.0%
9.1%₹1,900.00₹1,275.00₹1,386.4029
May ’24₹1,140.10
₹1,521.72
+33.5%
9.1%₹1,900.00₹1,275.00₹1,436.5529
Apr ’24₹1,101.10
₹1,532.70
+39.2%
10.0%₹1,900.00₹1,230.00₹1,489.9530
Mar ’24₹1,118.15
₹1,550.53
+38.7%
10.2%₹1,900.00₹1,225.00₹1,542.1532
Feb ’24₹1,109.40
₹1,636.00
+47.5%
8.0%₹2,100.00₹1,230.00₹1,432.7533
Jan ’24₹1,231.30
₹1,608.41
+30.6%
8.0%₹1,940.00₹1,140.00₹1,432.1032
Dec ’23₹1,290.75
₹1,598.35
+23.8%
8.4%₹1,940.00₹1,140.00₹1,423.6531
Nov ’23₹1,268.75
₹1,577.24
+24.3%
9.4%₹1,940.00₹1,140.00₹1,336.0533

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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