I think Indian life insurance companies especially HDFC life will command a premium over it’s global peers simply because Indian life insurance market is expected to grow several times faster than global average.
The exception is Chinese market which is also growing at fast rate but companies command a EV multiple between 2 & 3.
But for some unknown reason Indian stock traded at 20% premium to Chinese market between 2010 & 2020 in spite of China clocking average GDP growth of 7.8% and India doing a average growth of 6.9%.
Therefore we may conclude that Indian life insurance companies will take at around 20% premium to their Chinese counter which brings an average EV multiple of 3.12 for HDFC life.
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