After growing by almost one-third in 1 year, SBI Life shares poised for 27% further upside? Check out Morgan Stanley's target

SBI Life Insurance Company (SBILIFE) Share Price: SBI Life Insurance shares have grown by 27 per cent so far in 2024 and nearly 33 per cent over the past year, and counting. As of September 16, the stock has risen almost eight per cent in one month alone while the headline index has risen about three per cent. Should you add positions now for a further upside or wait? Many analysts have positive views on the life insurer with hopes of sustained double-digit growth in Value of the New Business (VNB)—a key measure of profitability for insurance businesses—on the back of product launches. 

On Monday, the SBI Life stock declined 1.3 per cent to end at Rs 1,821.4 apiece on BSE, declining for the third session in a row. Some analysts believe this dip can be utilised to pick the stock from a long-term perspective. 

SBI Life Insurance Company Shares | What analysts say

Zee Business Analyst Kushal Gupta has a 'buy' call on SBI Life Insurance Company shares with a one-year target price of Rs 2,100. 

At the current market price, Gupta's target implies an upside of more than 15 per cent in the stock. 

Morgan Stanley has maintained its 'overweight' rating for the insurance stock and raised its target by Rs 110, or five per cent, to Rs 2,305, suggesting an upside of 26.6 per cent from Monday's close. 

Axis Securities also has a 'buy' call for the stock, with a target of Rs 1,955.

In July, KRChoksey tweaked its FY25 VNB margin estimate for SBI Life Insurance from 28.5 per cent to 28.0 per cent based on its expectations of strong APE growth and continued cost leadership at the life insurer.

The brokerage has a 'buy' call on SBI Life Insurance with a target price of Rs 1,985.

Earnings

For the first quarter of the current financial year, SBI Life registered 20.1 per cent year-on-year growth in APE to Rs 3,640 crore with an 11.5 per cent increase in its value of new business at Rs 970 crore.

Its quarterly gross premium earned—a key measure of income—increased 14.9 per cent to Rs 15,570 crore, according to a regulatory filing. 

Stock performance

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