SBI Life stock price target lowered to INR2,180 by JPMorgan on growth outlook

Published 25/07/2025, 06:18
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Investing.com - JPMorgan has lowered its price target on SBI Life Insurance (NSE:SBIL) Co Ltd (SBILIFE:IN) to INR2,180.00 from INR2,380.00 while maintaining an Overweight rating on the stock.

The adjustment follows SBI Life’s first-quarter fiscal 2026 results, which JPMorgan described as a "clean beat" with value of new business (VNB) growth of 12% year-over-year, slightly exceeding the firm’s estimate of 11%.

SBI Life reported a VNB margin of 27.4%, ahead of JPMorgan’s expectation of 27.0%, driven by balanced mix improvement toward participating, non-participating, and protection products, with particular strength in group protection.

The company’s distribution channels beyond its traditional network showed robust performance, with brokers, other bank partners, and web sales growing 47% year-over-year in the first quarter, while SBI Life continues investing in agency channel development by increasing branch numbers and agency headcount.

JPMorgan projects VNB growth of 17% year-over-year for SBI Life in both fiscal years 2026 and 2027, citing ongoing mix enhancement, growth across channels, and increasing product-level margins from improved rider attachment rates and dynamic re-pricing of non-participating products.

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