Buy it if get any discount listing . Its a great company to hold as have assets worth 40 lakh crore . It's LIC and not loss making Paytm where people fear. Do not listen to people negative comments. They are adding fear because they did not apply and want to buy shares tomorrow in any downfall . Just don't look this stock for atleast 6 months to 1 year and you will make good money
I have 4 lots..and i don't feel like selling it.. I am hopeful for the digitization of LIC policies, that where revenue breakout will be.
1461.7. PSR| Link| Bookmark|
May 17, 2022 6:21:40 AM
IPO Guru (1200+ Posts, 700+ Likes)
Mr. IPOANALYSIS,
With due respect to your post I slightly differ. Now, the P.E. is around 200. Even profit is doubled, P.E. would be 100. Can it double the profit in very near future? Most unlikely. Hence, P.E. likely to be more than 100 for number of years right from now. Is it advisable, to hold/purchase shares of PSU, whose P.E. is likely to be more than 100 for quite number of years? I don't think so. Of course, reasoning differs from person to person. Further, I am also holding LIC shares.
@PSR PE ratio and PEG are popular and important valuation parameters, no doubt. But, 1. Profit hai to PE hai! There are n number of companies which are running only on future promise, yet to deliver even 1 quarter of profit. 2. There are over 300 listed companies (that's more than 5% listed companies) having 3-digit PE.
@PSR So far LIC was distributing it's profit 95:5 between policy holders and share holders. Now it has decided to change distribution in the ratio of 90:10. So the profit available for share holders is double hence forth. Further Insurance companies are not valued at PE but multiple of Embeded Value. LIC present issue price is 1.1X of EV, which is one of the lowest in entire world (Excluding China) . In India other listed Insurance companies are trading at 2.5X to 3.5X of EV.
Just to add to conversation, it can easily increase the profits accrued to investors by flipping it's huge investment portfolio like PE companies do. It's churn ratio is very low, imagine if it sells reliance 1%. I know policy holders will be short charged and investors will be given priority, because government want to offload more of lic.
I have applied for LIC ipo under policyholders category and amount deducted at 889 per share.... But received under Retail category with price of 904.. Listed under NSE.. ZERODHA ACCOUNT.. How to get this fixed?
1452.1. antarix| Link| Bookmark|
May 17, 2022 8:54:08 AM
IPO Guru (1100+ Posts, 700+ Likes)
Zerodha will rectify this issue itself. Sometimes, with with new issues, there are some problems which are corrected in a day or two.
I really want Lic to list with some premium and stay in green through out the day.. If lic goes down to red it will spoil the whole market sentiments and market along with recently listed IPO will fall drastically.. Big IPO stories are like that .. they hve too much impact on market.
1450. jajo| Link| Bookmark|
May 17, 2022 8:59:11 AM
Top Contributor (300+ Posts, 200+ Likes)