Go Digit General Insurance Limited

Financial Services — Insurance - Property & Casualty · NSE

₹286.60+₹3.25 (+1.15%)

DalalBaazaar Score

60 / 100

🟢 Good

Verdict

CAUTION

Risk

Moderate

Driven by a very high earnings multiple, which leaves little margin for disappointment, falling profits.

In simple words: Reasonable but unspectacular business quality, though profits are falling even as sales grow. Valuation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:02 pm

Understanding the Business

Company site ↗

The 60-second version of Go Digit General Insurance Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Go Digit General Insurance Limited provides various insurance products and services in India.

IndustryInsurance - Property & Casualty

SectorFinancial Services

Employees4,589

Annual revenue₹10,583 Cr

How does it make money?

Turns over ₹10,583 Cr a year. Of every ₹100 of sales, about ₹5 reaches shareholders as profit, with ₹7 left at the operating level before interest, tax and depreciation. Each of its 4,589 employees supports ₹2.31 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹2.31 Cr

Who are its competitors?

The closest listed comparisons in its industry are HDFC LIFE INS CO LTD, SBI LIFE INSURANCE CO LTD, ICICI PRU LIFE INS CO LTD, ICICI LOMBARD GIC LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Not assessable from these ratios

For a lender, returns on capital are shaped by leverage and funding cost rather than by pricing power, so the usual financial signature of an advantage does not apply. Judge this one on deposit franchise, cost of funds and asset quality — none of which are in this data.

Peer median ROE13.6%

What is the outlook?

8 analysts covering the stock expect revenue to grow about 19.0% and earnings to grow about 30.0% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+19.0%

Est. earnings growth+30.0%

Analysts8

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +76% while net margin moved +768% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+76%

Margin effect+768%

DalalBaazaar Score

60/ 100

Good

Weighted across six categories. Every point is explained below.

✗ EBITDA margin of 6.9% is thin — little cushion if costs rise
✗ Net margin of 4.8% is slim
• Revenue has compounded at 20.8% a year, which is the base these returns are earned on
• Lender: ROCE is excluded here because borrowing is raw material for this business, not leverage

Quality vs. Valuation

Company Quality

63/ 100

Average

How good the business is, ignoring the share price entirely.

Valuation

57/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

A reasonable business at a reasonable price — neither the quality nor the valuation stands out in either direction.

Historical Valuation

Current P/E

54.0x

3Y Median

77.6x

31 monthly readings · mean 180.9x · range 43.8x–904.8x

Sector Median

47.6x

median of 4 sector peers

🟢Current valuation is approximately 30% below its 3y median of 77.6x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟡Against its sector it is priced broadly in line with the peer median of 47.6x.

vs. its own history

Cheap

77.6x median over 31 months · -30%

vs. sector peers

Fair

47.6x median of 4 peers · +13%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

36.5x

PEG

0.36

What's Good / What's Bad

🟢 What's Going Well3

Margins are improving
EBITDA margin is up from 1.2% to 6.9% over 3 years.
Return on equity is rising
ROE has improved from 1.1% to 11.6%.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention0

Nothing stands out as clearly deteriorating on the years of data available.

Red Flags

No automated checks triggered

None of the automated financial checks below were triggered on the years of data available. That is not the same as a clean bill of health — see what could not be checked.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Margin expansion has further to run
EBITDA margin has risen from 1.2% to 6.9%. If that holds, profit compounds faster than sales and today's multiple looks cheaper in hindsight than it does now.
Priced below its own history
The stock trades 30% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 16% a year✓ 20.8% CAGR
Latest reported year was 8.6%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 5%✓ 6.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 10%✓ 11.6%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Valuation vs its own median of 77.6x✓ 54.0x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

5 / 10 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✗ Manageable leverage (Debt/Equity < 1.0)
✓ Revenue growing year-over-year
✗ Profit growing year-over-year
✗ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✓ Short-term technical trend isn't bearish

Price history

Quick Metrics

2 good · 5 neutral · 4 weak

Market Cap

₹26,496 Cr

Mid Cap

Mid-sized — more growth headroom, but sharper swings than large caps

P/E (Trailing)

54.0x

Expensive

Expensive — verify against sector peers

P/B Ratio

5.65x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹5.31

Profitable

Profitable on a per-share basis

ROE

11.6%

Moderate

Moderate capital efficiency

ROCE

Not meaningful

N/A for lenders

Banks and NBFCs don't report capital employed the way other businesses do

Debt/Equity

7.47x

High

High leverage

Revenue Growth (YoY)

8.6%

Modest

Modest growth

Profit Growth (YoY)

-37.6%

Falling

Profits are shrinking

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹2,008 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

33.9x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

4.7%

Weak

Thin margins leave little room for error

Net Margin

4.8%

Average

Average bottom-line conversion

Beta (vs Nifty)

0.22

Defensive

Steadier than the market

52W Range Position

39%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

261.6 / 260.0

Bullish alignment (short > long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

73.8

Overbought zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹5,998 Cr	₹8,666 Cr	₹9,714 Cr	₹10,583 Cr	+20.8%
EBITDA	₹72 Cr	₹239 Cr	₹515 Cr	₹729 Cr	+116.2%
EBITDA Margin	1.2%	2.8%	5.3%	6.9%	—
PAT (Net Profit)	₹36 Cr	₹182 Cr	₹425 Cr	₹544 Cr	+148.3%
EPS	₹0.39	₹1.98	₹4.62	₹5.88	+147.6%
ROE	1.1%	7.1%	9.2%	11.6%	—
Total Debt	—	₹350 Cr	₹350 Cr	₹350 Cr	—
Free Cash Flow	₹2,229 Cr	₹1,704 Cr	₹1,586 Cr	₹2,008 Cr	-3.4%

🟢 Revenue has grown at 20.8% a year over 3 years.

🟢 EBITDA has grown at 116.2% a year over 3 years.

🟢 EBITDA Margin has risen from 1.2% to 6.9% over 3 years (+5.7 pts).

🟢 PAT (Net Profit) has grown at 148.3% a year over 3 years.

🟢 EPS has grown at 147.6% a year over 3 years.

🟢 ROE has risen from 1.1% to 11.6% over 3 years (+10.6 pts).

🔴 Free Cash Flow has shrunk at 3.4% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹24,952 Cr

Total Liabilities

₹20,266 Cr

Cash & Equivalents

₹219 Cr

Operating Cash Flow

—

Capex

-₹17 Cr

Shareholding (proxy)

Institutional Holding

16.6%

Insider Holding

74.5%

Analyst Consensus

Recommendations

6 Buy · 2 Hold · 1 Sell

Target Price (Mean)

₹331.89

+15.8% vs CMP

Target Range

₹270 – ₹380

Peer Comparison

Company	P/E	ROE
HDFC LIFE INS CO LTD	58.4x	11.3%
SBI LIFE INSURANCE CO LTD	63.9x	13.7%
ICICI PRU LIFE INS CO LTD	36.7x	12.9%
ICICI LOMBARD GIC LIMITED	33.0x	13.6%

Recent News

1 positive2 mixed3 general

Go Digit General Insurance (GODIGIT.NS) Rises 2.40% to ₹279.4 as Buyers Defend ₹265 Support - Active ETF Flow

https://www.siam.in/, 12 Oct

IDBI Bank to become promoter in Go Digit General Insurance as Fairfax consolidates its ownership

Upstox, 16 Oct

Why Digit Fell Even As Sales Rose

Yahoo Finance, 15 OctResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Go Digit General Insurance Ltd Peer Comparison – Compare with Others

Value Research, 30 Aug

Go Digit General Insurance (GODIGIT) Share Price Falls 2.92%: What The Data Shows

Univest, 29 SeptPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Go Digit Insurance shares jump 9% after Rs 100 crore block deal attracts MFs, global investor

The Economic Times, 05 JunPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

Watch Items

This is a financial-sector business: borrowing is its raw material, not leverage in the usual sense. Debt/Equity and ROCE here aren't comparable to a manufacturer's — read them alongside NIM, GNPA and capital adequacy from the company's own disclosures.
Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in overbought territory — momentum entries here carry more short-term pullback risk.

DalalBaazaar Thesis

StrongFinancial Health · Growth

MiddlingProfitability · Risk

WeakBusiness Quality · Valuation

Points for each in the Score ↑

Unremarkable in both directions

A reasonable business at a reasonable price. Nothing here is alarming and nothing is compelling, which usually means the decision rests on things this data cannot see — the industry's direction, management's intent, and what else is available to you.

All 4 tripwires holding · see Key things to watch ↑