Posts in category All News
HDFC Bank’s share price plunges over 4% after weak Q1FY25 numbers (05-07-2024)
JLR Q1 FY25 retail sales up 9% on YoY basis (05-07-2024)
Adani Wilmar Q1 Update: Volumes grow 13% YoY on sustained market-specific strategies (05-07-2024)
NCW initiates legal action against Mahua Moitra for her remarks against Rekha Sharma (05-07-2024)
Aditya Birla Sunlife AMC (ABSL AMC)- An Underrated AMC (05-07-2024)
I have already mentioned in the comment. Leading insurance companies like SBI life and HDFC life has gone through derating from a median 4-5 times embedded value to 2.5 times embedded value now.
To be specific about HDFC life, its embedded value was 15200 Cr in Mar-2018 and mkt cap was 98000 cr. i.e.,6.4XEV but now EV=47500 cr and mkt cap=130000 cr which is 2.7X but the embedded value CAGR is a whooping 25% during this span of 6 yrs. Similar pattern observed in SBI life too (trades at 2.6XEV).
ABCL’s valuation consists of insurance business which is not listed but go through this derating and hence ABCL has not outperformed in the last few years.
The reasons for this derating is discussed enough in other threads. In my opinion, the overvaluation in 2017 IPO of SBI life, HDFC life and ABCL is slowly but surely reaching nominal valuation now.
Raymond – The Complete Man (05-07-2024)
Yes, I attended the call. The CFO indicated it would take 15-16 months for the new Raymond Realty Ltd to get listed as it has to go through the NCLT, SEBI processes