Good News For LIC Investors! Shares Cross Retail IPO Price For First Time

The Life Insurance Corporation of India has touched 5.71 trillion market capitalisation.

New Delhi: The Life Insurance Corporation of India (LIC) stock price have seen good surge in the past couple of months, with the company's shares crossing retail IPO price of Rs 904 for the first time today (Wednesday, January 17)

LIC shares have hit intraday high of Rs 919.45 (52-week high Rs 919.45) on BSE, rising 73.41 percent from 52-week low of 530.20. Shares of LIC have risen 12.85 percent in the last one month and 28.17 in the last one year. 

The price range for LIC`s issue was set between 902 and 949 rupees per share. LIC offered a discount to employees and retail investors of 45 rupees per share, while policyholders were given a discount of 60 rupees per share.

LIC shares had listed at 867 on BSE on May 17, 2022, falling nearly 8 percent on its market debut, despite the country`s largest ever IPO being oversubscribed at the top of the price range.

The insurance behemoth has touched 5.71 trillion market capitalisation. Analysts believe that the strong market capitalisation was witnessed on the back of LIC's Jeevan Utsav plan which is an Individual, Savings, Whole Life Insurance plan with Guaranteed Additions throughout Premium Paying Term. 

Gaurav Goel, Founder - Director, Fynocrat Technologies told Zee News, "The Life Insurance Corporation of India has regained its status as the most valuable publicly listed state-owned enterprise, surpassing the market capitalization of the State Bank of India. In 2023, LIC stock price experienced a growth of more than 22%, and as of 2024, it has already seen a 7.5% increase. The stock is in an overall Bullish trend and the rise in the stock price can be attributed to the overall rally in the stocks of the different PSU sectors and due to good fundamentals and compelling valuations compared to its peers." 

"Also, the government-backed insurance company has announced its intention to introduce three to four new products in the upcoming months to achieve double-digit growth in new business premiums for the current fiscal year. Chairman Siddhartha Mohanty's recent interview stating this has conveyed confidence in attaining this target, attributing it to a rise in individual retail business," Goel added.