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.
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.”
