Brokerages remain bullish on SBI Life Insurance following its Q1FY26 results, with Motilal Oswal, CLSA, and Nuvama all maintaining a ‘Buy’ stance on the stock. Their recommendations are backed by a strong margin performance and consistent growth visibility in the company’s core metrics. Based on their revised target prices, the upside potential ranges from 17.8% to 24% from the current market price of ₹1,817.
Motilal Oswal: Buy | Target Price ₹2,140 | Upside: 17.8%
Motilal Oswal retained its ‘Buy’ rating on SBI Life, citing the company’s strong VNB (Value of New Business) margin outlook. It highlighted the company’s shift in product mix towards non-linked products, which is expected to sustain margins in the 26–28% range. SBI Life reaffirmed its mid-teen APE (Annualized Premium Equivalent) growth guidance for FY26 and is projected to deliver 16% APE and 19% VNB CAGR over FY25–27.
CLSA: Outperform | Target Price ₹2,180 | Upside: ~20%
CLSA maintained an ‘Outperform’ call and expects around 20% upside from current levels. The brokerage noted a strong 60 bps YoY improvement in VNB margin to 27.4% in Q1FY26, driven by a continued shift away from ULIPs towards higher-margin products. Though APE growth was modest at 9% YoY, dragged by a flat agency channel, CLSA remains optimistic about the company’s product mix and margin trajectory.
Nuvama: Buy | Target Price ₹2,250 | Upside: 24%
Nuvama also reiterated its ‘Buy’ view while increasing the target price from ₹2,100 to ₹2,250. The firm highlighted strong margins that led to an earnings beat. It cited SBI Life’s efforts in revamping the protection portfolio and the upcoming launch of a new money-back product in the PAR segment as positive developments. The VNB guidance for FY26E remains at 26–28%, with valuation multiple revised to 2.3x FY27E P/EV.
All three brokerages are aligned in their positive outlook on SBI Life, citing a healthy product mix shift, sustained margin performance, and confidence in management’s long-term growth guidance.
Disclaimer: The views and investment recommendations expressed above are those of the respective brokerage firms. They do not represent the views of this publication. Investors are advised to consult their financial advisor before taking any investment decisions.
