SBI Life Insurance Company Limited

Financial Services — Insurance - Life · NSE

₹1,656.80−₹5.00 (−0.30%)

DalalBaazaar Score

46 / 100

🟡 Moderate

Verdict

NEUTRAL

Risk

Low

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

In simple words: Reasonable but unspectacular business quality, with both sales and profits growing well. Valuation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 8:28 pm

Understanding the Business

Company site ↗

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

What does this company do?

SBI Life Insurance Company Limited operates as a life insurance company in India.

IndustryInsurance - Life

SectorFinancial Services

Employees27,653

Annual revenue₹1.10 L Cr

How does it make money?

Turns over ₹1.10 L Cr a year. Of every ₹100 of sales, about ₹2 reaches shareholders as profit, with ₹2 left at the operating level before interest, tax and depreciation. Each of its 27,653 employees supports ₹4.00 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹4.00 Cr

Who are its competitors?

The closest listed comparisons in its industry are HDFC LIFE INS 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 ROE12.9%

What is the outlook?

29 analysts covering the stock expect revenue to grow about 15.5% and earnings to grow about 17.3% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+15.5%

Est. earnings growth+17.3%

Analysts29

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +37% while net margin moved +5% 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+37%

Margin effect+5%

DalalBaazaar Score

46/ 100

Moderate

Weighted across six categories. Every point is explained below.

✗ Shareholders fund just 3.8% of the balance sheet — highly levered even by banking standards
• Capital adequacy, gross NPAs and provision coverage decide a lender's financial health, and none are available here — check the bank's own quarterly disclosure

Quality vs. Valuation

Company Quality

41/ 100

Weak

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

Valuation

39/ 100

Expensive

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

Weak on business quality and not cheap enough to compensate.

Historical Valuation

Current P/E

63.9x

3Y Median

81.6x

40 monthly readings · mean 81.9x · range 67.3x–102.1x

Sector Median

36.7x

median of 3 sector peers

🟢Current valuation is approximately 22% below its 3y median of 81.6x. 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 trades 74% above the peer median of 36.7x.

vs. its own history

Cheap

81.6x median over 40 months · -22%

vs. sector peers

Expensive

36.7x median of 3 peers · +74%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

61.2x

PEG

4.99

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention1

Receivables growing faster than sales
Receivables are up 246% against revenue growth of 37% — customers are taking longer to pay.

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?

Priced below its own history
The stock trades 22% 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?

A premium to the sector to defend
It trades 74% above the peer median. That premium needs a reason that persists, or it closes.

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

1Revenue growth stays above 8% a year✓ 11.1% CAGR
Latest reported year was 18.8%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 0%✓ 2.4%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Return on equity stays above 12%✓ 13.7%
For a lender this is the cleanest single read on whether the book is being grown profitably.
4Valuation vs its own median of 81.6x✓ 63.9x today
A re-rating above its own history needs a reason; without one it is just a higher price.

Investment Checklist

6 / 10 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Adequate short-term liquidity (Current Ratio ≥ 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

5 good · 4 neutral · 2 weak

Market Cap

₹1.66 L Cr

Large Cap

Large, widely-covered business — typically the steadiest of the bands

P/E (Trailing)

63.9x

Expensive

Expensive — verify against sector peers

P/B Ratio

8.26x

Rich

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

EPS (TTM)

₹25.92

Profitable

Profitable on a per-share basis

ROE

13.7%

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

Not available

No data

Source didn't return this field

Revenue Growth (YoY)

18.8%

Healthy

Healthy top-line growth

Profit Growth (YoY)

21.8%

Healthy

Profits growing at a healthy clip

Dividend Yield

0.16%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

₹34,338 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

48.0x

Improving

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

ROA

0.3%

Weak

Assets generate little profit

Operating Margin

1.7%

Weak

Thin margins leave little room for error

Net Margin

2.1%

Weak

Very little revenue reaches the bottom line

Current Ratio

1.06

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.36

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

1713.5 / 1743.3

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

34.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹80,639 Cr	₹1.31 L Cr	₹1.15 L Cr	₹1.10 L Cr	+11.1%
EBITDA	₹1,851 Cr	₹2,027 Cr	₹2,590 Cr	₹2,664 Cr	+12.9%
EBITDA Margin	2.3%	1.5%	2.2%	2.4%	—
PAT (Net Profit)	₹1,721 Cr	₹1,894 Cr	₹2,413 Cr	₹2,470 Cr	+12.8%
EPS	₹17.18	₹18.9	₹24.07	₹24.62	+12.7%
ROE	13.2%	12.7%	14.2%	12.9%	—
Free Cash Flow	₹28,593 Cr	₹29,007 Cr	₹25,440 Cr	₹34,338 Cr	+6.3%

🟢 Revenue has grown at 11.1% a year over 3 years.

🟢 EBITDA has grown at 12.9% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 2.4% over 3 years.

🟢 PAT (Net Profit) has grown at 12.8% a year over 3 years.

🟢 EPS has grown at 12.7% a year over 3 years.

🟡 ROE has held roughly flat at 12.9% over 3 years.

🟢 Free Cash Flow has grown at 6.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹5.00 L Cr

Total Liabilities

₹4.81 L Cr

Total Debt

—

Cash & Equivalents

₹3,188 Cr

Operating Cash Flow

—

Capex

-₹185 Cr

Shareholding (proxy)

Institutional Holding

31.0%

Insider Holding

58.8%

Corporate Actions

Next Earnings

23 Oct 2026

Dividend Rate

₹2.7

Ex-Dividend Date

06 Mar 2026

Analyst Consensus

Recommendations

34 Buy · 1 Hold · 0 Sell

Target Price (Mean)

₹2,291.39

+38.3% vs CMP

Target Range

₹1,050 – ₹2,790

Peer Comparison

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

Recent News

1 mixed5 general

SBI Life Insurance Company Ltd. Share Price Live Today

CNBC TV18, 16 Oct

SBI Life Insurance (NSEI:SBILIFE) Stock Price

Simply Wall Street, 15 Oct

SBILIFE Outlook for the Week

Equitypandit, 09 Oct

SBI confirms no encumbrance on SBI Life Insurance shares in FY26

scanx.trade, 14 Oct

HDFC Life Share Price Declines as Metrics Stay in Focus

Univest, 16 OctPrice 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.

SBI Life Insurance Company Ltd Hits Intraday Low Amid Price Pressure

MarketsMojo, 14 Oct

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
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.
1 metric couldn't be retrieved for this stock — this is more common for smaller or thinly-covered listings.

DalalBaazaar Thesis

StrongGrowth · Risk

WeakBusiness Quality · Financial Health · Profitability · Valuation

Points for each in the Score ↑

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation.

All 4 tripwires holding · see Key things to watch ↑