SBI Life is Motilal Oswal’s preferred pick in the life insurance space. Once Max Financial makes progress in structure simplification and sees revival in growth, its share price should witness sustained re-rating, said Emkay Global. ICICI Securities believes focusing more on value-for-money brand to cater to rural markets will pave the way for strong growth for Havells India in next decade. Colgate-Palmolive intends to acheive value growth through product premiumisation, but Nuvama Institutional Equities, for now, is neutral on the stock. Here’s what brokerages said on the four stocks in their latest reports:
Motilal Oswal said SBI Life has witnessed strong traction in premium growth across all products segments (barring PAR) with agency and banca channel contributing to overall growth in FY22. It noted that trends in H1FY23 are strong with the company gaining further market share among private players. It expects this trend to continue on the back of wider product offerings combined with robust distribution capabilities.
Calling SBI Life its preferred pick in the life insurance space, Motilal Oswal reiterated its BUY rating on the stock with a revised target of Rs 1,600, based on 2.5 times September 2024E EV.
Emkay Global hosted Max Financial Services’ management in Mumbai on December 12, for meetings with DIIs to discuss the company’s business performance and growth trajectory as well as investor concerns. Amrit Singh – CFO (Max Life and MAXF) and Ankur Gupta from Investor Relations represented the company.
ICICI Securities noted that rural markets are just 5-6 per cent of Havells Consumer sales. With improving availability of electricity, India’s rural markets offer huge growth tailwinds to Havells, it said.
Colgate hosted its first analyst call post the joining of its new MD & CEO Prabha Narasimhan. Nuvama Institutional Equities, which attended the meet said the focus was on growing volumes first, then value. Among the key highlights, it noted that the company’s contribution from premium products is near double-digits and that value growth is intended to be achieved through product premiumisation.