Overall Fundamental outlook

Business Operations:

Sector: Financial Services
Industry: Insurance - Life

HDFC Life Insurance Company Limited provides individual and group insurance solutions in India. It offers insurance and investment products, such as protection, pension, savings, investment, annuity, and health, as well as term, retirement, children, and unit linked insurance plans. The company was formerly known as HDFC Standard Life Insurance Company Limited changed its name to HDFC Life Insurance Company Limited in January 2019. HDFC Life Insurance Company Limited was incorporated in 2000 and is headquartered in Mumbai, India. HDFC Life Insurance Company Limited is a subsidiary of HDFC Bank Limited.

Revenue projections:

Revenue projections for HDFCLIFE
Revenue projections for HDFCLIFE

HDFCLIFE is projected to see a decline in revenue compared to last year, which could lead to investor caution. A drop in earnings is often viewed as a negative signal for profitability, making it more difficult for the company to maintain investor confidence in its financial health.

Financial Ratios:

currentRatio 1.22300
forwardPE 65.93884
debtToEquity 18.26100
earningsGrowth 0.15900
revenueGrowth -0.13800
grossMargins 0.08470
operatingMargins 0.02555
trailingEps 8.42000
forwardEps 6.30000

The current ratio for HDFCLIFE is 1.223, indicating that the company can service its short-term debt using available cash and assets. This suggests HDFCLIFE has strong liquidity, with more than enough resources to meet its immediate financial commitments.
HDFCLIFE's forward PE ratio is too high, raising concerns that future price increases may be restricted and a correction could be imminent. It's essential to weigh this parameter carefully in conjunction with other fundamentals to get a clearer picture of the stock's valuation.
HDFCLIFE's low Debt-to-Equity ratio signals the company is not over-leveraged, meaning it has a conservative approach to debt. This reduces financial risk and indicates a stable financial foundation, providing flexibility and security, which can appeal to investors seeking lower-risk investments.
HDFCLIFE's low earnings and revenue growth highlight potential profit shrinkage. This suggests that the company may struggle to maintain its financial performance, raising concerns about its future profitability.
HDFCLIFE's negative gross and operating margins highlight potential financial struggles, as the company is not covering its production or operational expenses. This could lead to broader concerns about its ability to achieve profitability.
HDFCLIFE's lower forward EPS compared to trailing EPS suggests the company's earnings are expected to decline. This indicates that HDFCLIFE may be less profitable in the upcoming year, raising questions about its financial trajectory.

Price projections:

Price projections for HDFCLIFE
Price projections for HDFCLIFE

Over time, price projections for HDFCLIFE have been gradually revised upward, reflecting increasing optimism about the company's future performance. This trend suggests analysts are growing more confident in HDFCLIFE's ability to deliver strong results and achieve higher market value.

Recommendation changes over time:

Recommendations trend for HDFCLIFE
Recommendations trend for HDFCLIFE


The recent buy bias for HDFCLIFE from analysts signals strong confidence in the stock's potential. This positive sentiment could encourage investors to see HDFCLIFE as a smart place to invest their money, especially those looking for stable, long-term returns in a well-established company.