- HDFC Life's Q4 FY26 net profit rose 4.7% to Rs 497 crore year-on-year
- Shares fell nearly 4%, trading 3.8% lower at Rs 607.35 apiece in morning trade
- 35 of 39 analysts have 'buy' rating, with target prices from Rs 745 to Rs 950
Shares of HDFC Life Insurance Co Ltd. are in focus after it closed FY26 on a subdued note, with brokerages flagging a weak Q4 marked by a miss on value of new business (VNB) and regulatory disruptions. The company reported a 4.7% rise in its consolidated net profit for the fourth quarter for FY26, as per an exchange filing on Thursday. The company has declared a final dividend of Rs 2.10 per share. The company's net profit stood at Rs 497 crore on year-on-year (YoY) basis, compared to last fiscal's Rs 475 crore.
HDFC Life shares touched a low of 3.99% in early trade, and are currently trading around 3.8% lower at Rs 607.35 apiece, as of 9:30 am. The stock has fallen 18.89% year-to-date.
Of the 39 analysts tracking HDFC Life, 35 have a buy call on it, and four have a hold view on the stock.
The street remains constructive, maintaining positive ratings with target prices ranging between Rs 745 and Rs 950, signalling confidence in a medium-term recovery.
Morgan Stanley maintained an Overweight rating with a target price of Rs 745, highlighting an 8% year-on-year decline in Q4 VNB. Despite near-term pressures, Morgan Stanley continues to see the stock as an attractive play within the insurance space. Citi remains the most bullish, maintaining a Buy rating with a target price of Rs 950. Citi believes that margin expansion is likely to drive the next leg of growth. It expects recovery to be led by protection and annuity segments, alongside better operating efficiency.
Macquarie Group maintained an Outperform rating with a target price of Rs 900, calling FY26 both a “tough quarter and a tough year.” It attributed the weakness to regulatory impacts, including surrender charges and GST changes, as well as slower banca channel growth.
ALSO READ: HDFC Life Insurance Q4 Results: Profit Rises Nearly 5%; Dividend Declared
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