HDFC Life Insurance Intrinsic Value

HDFCLIFE • Insurance
Current Stock Price
₹758.15
Primary Intrinsic Value
₹227.44
Market Cap
₹1632.3K Cr
-70.0% Downside
Median Value
₹227.44
Value Range
₹152 - ₹900
Assessment
Trading Above Calculated Value
Safety Margin
-100.0%

HDFCLIFE Valuation Methods Summary

Method Type Intrinsic Value Range Upside/Downside Details
P/E Based Valuation earnings ₹227.44 ₹181.95 - ₹272.93 -70.0% EPS: ₹8.32, Sector P/E: 12x
Book Value Method asset ₹151.63 ₹136.47 - ₹166.79 -80.0% Book Value/Share: ₹75.03, P/B: 1.0x
Revenue Multiple Method revenue ₹282.81 ₹254.53 - ₹311.09 -62.7% Revenue/Share: ₹353.52, P/S: 0.8x
Simple DCF (5Y) dcf ₹899.69 ₹719.75 - ₹1079.63 +18.7% CF Growth: 12.6%, Discount: 15%
PEG Ratio Method growth ₹227.44 ₹204.70 - ₹250.18 -70.0% EPS Growth: 8.0%, Fair P/E: 6.4x
Growth Adjusted P/E growth ₹227.44 ₹204.70 - ₹250.18 -70.0% Revenue Growth: 6.0%, Adj P/E: 8.2x
ROE Based Valuation profitability ₹379.07 ₹341.16 - ₹416.98 -50.0% ROE: 11.1%, P/E Multiple: 12x
Graham Defensive Method conservative ₹227.44 ₹204.70 - ₹250.18 -70.0% EPS: ₹8.32, BVPS: ₹75.03
Method Types: Earnings Asset DCF Growth Dividend Conservative

Want to compare with current market value? Check HDFCLIFE share price latest .

Valuation Comparison Chart

HDFCLIFE Intrinsic Value Analysis

What is the intrinsic value of HDFCLIFE?

Based on our comprehensive analysis using 8 different valuation methods, the estimated intrinsic value of HDFC Life Insurance (HDFCLIFE) is ₹227.44 (median value). With the current market price of ₹758.15, this represents a -70.0% variance from our estimated fair value.

The valuation range spans from ₹151.63 to ₹899.69, indicating ₹151.63 - ₹899.69.

Is HDFCLIFE undervalued or overvalued?

Based on our multi-method analysis, HDFC Life Insurance (HDFCLIFE) appears to be trading above calculated value by approximately 70.0%.

Financial Health Analysis

Financial Metric Current Value Industry Benchmark Assessment Impact on Valuation
Current Ratio 0.03 Industry Standard: 2.0+ Below 1.5 Measures short-term liquidity capacity
Debt to Equity Ratio 21.03 Industry Standard: <0.5 Above 1.0 Indicates financial leverage level
Return on Equity 11.1% Industry Standard: 15%+ Above 10% Measures shareholder return efficiency
Operating Margin -8.0% Industry Standard: 20%+ Below 10% Indicates operational efficiency level
Asset Turnover Ratio 0.22x Industry Standard: 1.0x+ Below 0.5x Measures asset utilization efficiency

Cash Flow Quality Analysis

Period Operating Cash Flow Free Cash Flow Cash Flow Quality Sustainability Score
March 2025 ₹15,597 Cr ₹8,781 Cr Positive Free Cash Flow 8/10
March 2024 ₹10,721 Cr ₹3,910 Cr Positive Free Cash Flow 7/10
March 2023 ₹6,883 Cr ₹1,848 Cr Positive Free Cash Flow 7/10
March 2022 ₹5,943 Cr ₹5,543 Cr Positive Free Cash Flow 8/10
March 2021 ₹9,703 Cr ₹5,227 Cr Positive Free Cash Flow 8/10