LIC share price falls 1.6% ahead of Q2 results 2025. What to expect and how to trade the PSU stock?

Life Insurance Corporation of India (LIC) shares fell 1.6% to ₹892.65 apiece on Thursday, November 6, ahead of its second-quarter earnings announcement.

The insurance giant's stock has remained volatile in the near term. LIC share price has surged nearly 14% in six months; however, it has declined by over 6% in one year.

LIC Q2 results preview

Analysts largely expect the PSU insurance giant to report a positive financial performance in the second quarter of the current fiscal year, led by steady growth in net premium income, supported by a stable value of new business (VNB) and a robust product mix.

Kotak Institutional Equities (KIE) projects LIC’s Annual Premium Equivalent (APE) at ₹16,380 crore — a marginal 0.5% decline year-on-year but a strong 29% sequential increase.

The brokerage noted that the minor YoY dip reflects LIC’s subdued performance during the first two months of the quarter, as indicated in its monthly disclosures. However, sequentially, the company is anticipated to record healthy growth, fueled by seasonal demand for insurance products and stronger traction in the non-par and group segments.

Meanwhile, brokerage firm Motilal Oswal expects APE growth of 7.3% YoY in the second half of FY26 compared to 2.6% YoY growth in the first half of FY26, with continued traction towards non-par products.

“LIC maintains its industry-leading position and focuses on achieving growth recovery through wider product offerings, higher ticket sizes, a shift in the product mix toward non-par, agency channel expansion, and increasing contribution from bancassurance and alternate channels. We expect APE growth of 7.3% YoY in 2HFY26 compared to 2.6% YoY growth in 1HFY26, with continued traction towards non-par products. A shift toward higher-margin non-par products and improvement in persistency will boost its VNB margin going forward. The company is also working on enhancing its digital capabilities for cost optimisation. VNB margin for 2HFY26 is expected to improve to 18.6% from 16.3% in 1HFY26 owing to this shift,” the firm said in a note.

LIC share price: Should you buy or sell ahead of Q2 results?

According to Anshul Jain, Head of Research at Lakshmishree, LIC stock is forming a 50-week-long IPO base in the shape of a bullish cup and handle pattern, with the breakout point placed above 950.

“A decisive move and sustain above this level will trigger both an IPO base breakout and a cup and handle breakout, opening the way for a strong uptrend. Volumes throughout the base have remained accumulative, indicating steady institutional participation. As long as the upcoming results don’t disappoint, the probability of a successful breakout remains high, and a move above 950 could unlock a fresh bullish phase for the stock,” Jain said.

Disclaimer: This story is for educational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified experts before making any investment decisions.