Established in 2001 and it is the largest private sector general insurance company in India.
A joint venture between ICICI- Bank – India’s second largest bank & Fair fax financial holding limited-a Financial services company based in Toronto.
ICICI bank has 64%stake in the venture.
It is engaged in general insurance, reinsurance, insurance claims management and investment management.
It markets assurance products including Car insurance, Health insurance, International travel insurance, Overseas student travel insurance, Two wheeler insurance, Home insurance and Weather insurance.
ICICI Lombard has 273 branches and 840 virtual offices spread across the nation.
MARKET SHARE:
FINANCIAL KEY METRICS:
TECHNICAL ANALYSIS AS ON 1st AUGUST 2021
CHART
9 DAYS & 21 DAYS MOVING AVERAGES
SUPER TREND
Let’s see the business features of ICICI Lombard share.
Table of Contents
BUSINESS ANALYSIS
ICICI Lombard General Insurance Company Ltd was established in 2001 and it is the largest private sector general insurance company in India.
ICICI bank has 64%stake in the venture while Fair fax has 36% in the joint venture.
ICICI Lombard has 273 branches and 840 virtual offices spread across the nation.
In 2015, ICICI Lombard received the Golden Peacock Innovation Management Award.
At the 5th annual edition of the Indian Insurance Award 2015 they conferred with the ‘E- Business Leader’ Award in the General Insurance category.
Now, coming to the Financials of ICICI Lombard General Insurance Company Ltd.
FINANCIAL ANALYSIS
The Market Capitalization of ICICI Lombard is Rs 68,217 Cr.
The price to earnings ratio of the stock is 55.6 which is lesser than the industry price to earnings ratio of 80.6.
The P/E ratio is lesser that means the stock is undervalued and there is a scope of brilliant future.
ICICI Lombard share has a great return on capital employed of 26.9% which shows that the company is making good progress year on year.
The return on equity is 21.7% which is also decent as per the valuation of ICICI Lombard share price.
The debt to equity of ICICI Lombard share is 0.06 which indicates that the company is almost debt free.
Company has delivered a good profit growth of 23.75% CAGR in the last 5 years.
Company has been maintaining a healthy dividend of 17.22%
Based on market capitalization, ICICI Lombard share stands tall at 1st position.
From the last 4 quarters (Sep 2020, Dec 2020, Mar 2021, Jun 2021) the sales of ICICI Lombard shares have increased from Rs 2995 Cr to Rs 3404 Cr.
The operating profit was -15 Cr in March 2021 quarter due to Covid pandemic situation, but it drastically increased to Rs 192 Cr in June 2021 quarter.
The earning per share of the company is Rs 3.34.
From the last 3 years (Mar 2019, Mar 2020 and Mar 2021) the net profit has increased from Rs 1049 Cr to Rs 1473 Cr.
The share capital of ICICI Lombard share is Rs 455 Cr.
In the year 2021, the reserves have increased to Rs 7320 Cr from Rs 6981 Cr in the year 2020.
The Net cash flow of the company is Rs 195 Cr.
Promoters have a holding of 51.87% till June 2021.
The Flls have a 29.75% holding.
The Dlls have a 11.69% holding while only 6.69% is with the public.
The company is in safe hands and their growth is outstanding.
This is a brief overview of the financials of ICICI Lombard share which shows the dominance in their respective market.
Now, let’s deep dive into the technical of the ICICI Lombard share.
Technical analysis is one of the most important factor of investing and trading. This analysis deals in technical chart patterns and technical indicators. The technical indicators like moving average and super trend helps to make an investors judgement more precise.
CHART PATTERN ANALYSIS
If we take a closer look on the chart in a daily time frame, there is a formation of cup and handle pattern.
ICICI Lombard share price has fallen near to its support area 1. As the financials are superb it is likely that the stock will rally in upward direction in a very short span.
For ICICI Lombard share price there are two targets as stated in the above image.
The ICICI Lombard share price on 01st August 2021 is Rs 1,475 which would definitely change in the upcoming future.
MOVING AVERAGE
For ICICI Lombard share price analysis, we are taking 9 days and 21 days moving average.
The 9 days moving average will cross the 21 days moving average after a certain interval of time.
The red line indicates the 9 days moving average while blue shows the 21 days moving average.
SUPER TREND
Right now there is a selling signal in ICICI Lombard shares but this is the right time to accumulate this share as it is available at a discounted price.
DISCLAIMER:
Disclaimer is mentioned at the bottom of this page.
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