Hello User
Sign in
Sign Out
Next Story
Business News/ Markets / Stock Markets/  LIC share price hits 52-week high. Can the stock cross over its issue price of 949 per share?

LIC share price hits 52-week high. Can the stock cross over its issue price of ₹949 per share?

  • LIC share price bottomed out at 530 per share levels at the end of March 2023

LIC share price may witness sharp upside if it manages to sustain above 750 apiece levels for next few sessions.

LIC share price: Life Insurance Corporation or LIC share price has been in uptrend after hitting life-time low of 530.05 on NSE on 31st March 2023. LIC shares bottomed out at the end of FY23 and witnessed huge buying interest among Dalal Street bulls. However, it seems that LIC shares still posses some steam in it.

LIC share price today opened upside and went on to hit new 52-week high of 791.90 per share by mid session on Thursday. However, LIC share price is still far away from its issue price of 949 per share.

According to stock market experts, LIC share price has given breakout at 698 per share levels and it has been witnessing sharp upside movement after sustaining above 700 levels. They said that market is expecting better Q3 and Q4 numbers from the insurance behemoth as insurance companies report better quarterly numbers in second half of the financial year.

Also Read: Paytm share price hits 20% lower circuit on brokerage downgrades

Market experts went on to add that LIC shares are looking strong to touch 840 per share levels in short term whereas in medium term, it is expected to hit 940 to 950 apiece levels, the price at which LIC IPO's upper price band was fixed ( 949).

Insurance business in focus

On why LIC share price is in uptrend, Saurabh Jain, Vice President — Research at SMC Global Securities said, "LIC of India is the biggest insurer in India and there is no doubt about the strength of LIC as a company. Generally, insurance companies garner better business volume in third and fourth quarter of a financial year as people buy new insurance policy to keep their income tax outgo at lower levels. So, market is expecting LIC to report better numbers in second half of current financial year. As LIC shares were available at discounted price, investors are betting high on LIC shares these days."

“Apart from this, LIC has huge equity portfolio as well. As stock market has been hitting new highs for the last five days, market is expecting some benefit on its investment in current quarter," Jain said.

LIC share price target

Expecting further upside in LIC shares, Ganesh Dongre, Senior Manager — Technical Research at Anand Rathi said, "LIC shares have been in uptrend after giving breakout at 698 apiece levels. Current uptrend may further continue if the stock closes above 750 levels and it reopens on tomorrow above 750 levels. In that case, LIC share price is expected to touch 805 and 840 levels in short term."

Also Read: Adani Wilmar, Adani Power, Adani Total Gas other group stocks gain up to 10%

"On breaching 840 per share levels, we may expect LIC share price to touch 940 to 950 levels in next two to three months," Anand Rathi expert maintained.

On suggestion to LIC shareholders and fresh buyers, Ganesh Dongres of Anand Rathi said, "Those who have LIC shares in their stock portfolio, they are advised to maintain stop loss at 725 whereas fresh entry is allowed only when the stock opens above 750 on tomorrow. If it opens above 750 levels, then one can buy LIC shares maintaining stop loss at 725 per share levels for the above-mentioned targets."

LIC IPO details

The initial public offering (IPO) of Life Insurance Corporation of India was launched in May 2022 at a price band of 902 to 949 per equity share. The public issue listed on BSE and NSE at a discounted price of 867 per share levels on BSE and 872 per equity share on NSE. However, this was not the end of allottees' pain as LIC share price further crashed and went on to touch life-time low of 530.05 apiece at the end of March 2023.

Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before taking any investment decision.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!


Asit Manohar

Chief Content Producer at Live Mint Digital Team
Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
Get the latest financial, economic and market news, instantly.