HDFC Life (HDFCLIFE IN): Buy: Calibrating expectations

研报英文原文证据摘录

HDFC Life (HDFCLIFE IN): Buy: Calibrating expectations

g, TP of INR690.00: We cut FY27-29e APE forecasts by 1.6-2.2% to 830.00

reflect softer growth from the parent bank channel, and now model a c13% total APE

CAGR over FY26-29e. VNB margin assumptions are largely unchanged. As a result, we 670.00

reduce VNB estimates by c2% over FY27-29e. We forecast a c16% VNB CAGR (FY26- 510.00

07/25 01/26 07/26

29e) and average operating RoEV of c15.3% (FY27-29e). Our INR690.00 TP is Target price: 690.00

High: 796.55 Low: 545.25 Current: 568.75

unchanged due to marginal impact on EV. We maintain a Buy rating and continue to

Source: LSEG IBES, HSBC estimates

prefer HDFCLIFE given a healthy medium-term compounding profile. Any improvement in

the operating environment could provide further upside. Rahil Shah*

Analyst, India Financials

Key observations from the 1QFY27 results: HSBC Securities and Capital Markets (India) Private Limited

rahil.shah@hsbc.co.in

◆ Total APE was up 9% y-o-y, driven by healthy growth in agency and direct channel. +91 22 6628 3719

Bancassurance growth was muted due to softer growth in parent’s bank business. Abhishek Murarka*

Senior Analyst, India Financials

◆ Margin was down 10bp y-o-y. Favourable product mix largely offset margin pressure HSBC Securities and Capital Markets (India) Private Limited

from GST impact. Absolute VNB growth was in line with APE growth. abhishek.murarka@hsbc.co.in

+91 73049 07567

Highlights from management commentary: HDFCLIFE guided to outpacing industry Gaurav Sharma*

growth (it expects industry APE to grow c15% y-o-y) and delivering VNB growth in Analyst, India Financials

HSBC Securities and Capital Markets (India) Private Limited

line with APE growth.