LIC stock price on Friday: Life Insurance Corporation shares reached the lowest point on Friday because the period of locking regulations in the given shares ended. LIC stock fell 1.62 percent to RS 710 each on Friday morning. This is the ninth session of the decline in LIC’s stock prices. During this period, the script has lost 15 percent. Stocks have fallen 34 percent below their problem price. The LIC market capitalization has fallen to Rs 4.52 Lakh Crore compared to Rs 6 Lakh Crore at the top of the ribbon RS 949 respectively at the time of the list.
LIC shares have removed nearly a quarter of their wealth from the price of RS 949. LIC shares have been registered on May 17, and since then there are only four sessions when the shares have been closed with profits, data shows data. For the rest of today, it has been destroyed under sales pressure.
The locked period for anchor investors is expected to end on June 13, which will allow these investors to sell their shares in the market.
One of the interesting observations that can be witnessed is that the lower made on the first day of trading after the 30 -day investor anchor locking period can act as a strong support for further rally for quality stocks. If the fundamental is strong, this is the right time to buy in such a sauce, “said Santosh Meena, Head of Research, Swastika Investmart Ltd., said.
Among the main investors who have participated in the IPO including the Singapore government, SBI Mutual Dana, HDFC mutual funds, HDFC mutual funds and AXIS mutual funds.
Domestic mutual funds are heavy buyers in the public edition, who already have a bad start to live in the public market. A total of 99 schemes of buying LIC shares worth RS 4,000 Crore in an anchor edition.
What should investors do?
Overall, sentiments for companies have changed harmless with several brokers that show that the company will continue to misery because the company faces challenges to improve the ongoing non-partial policy and market volatility.
Meena, said: “We believe the Indian life insurance market which is very less served is still in a period of growth and has a good position to utilize enormous growth potential. LIC has several competitive advantages, including strong brand values, large agent networks, and distribution networks that should be imitated. Furthermore, the company has a plan to overcome concerns with companies such as low VNB margin, losses in market share, high dependence on agency channels, etc. In addition, company problems are valued at a price to 1.1x, which already exists with discounts compared to its global and Indian colleagues, and the current decline provides further convenience of assessment. Another point we want to convey is that investors must realize that insurance is a long -term business; Therefore the development of wealth and compounding occurs only from time to time. “
Ravi Singh, Vice President and Head of Research, Sharing India, said: “LIC stock prices can go down to 700 levels, and investors are advised earlier to get out of their position and wait for the sentiment turnover. High -risk taste investors can hold their position. It is hoped that in the long run, LIC business metrics will increase steadily. Investments made at a lower level will provide a good return in the long run. “