LIC stock bull run historic high, surges 8.8% to surpass ₹1,000 Mark

LIC shares reached a historic high, surpassing the ₹1,000 mark with an impressive 8.8% surge, touching ₹1,028 apiece in today's trading session. This milestone has propelled LIC's market capitalization to ₹6.50 lakh crore, solidifying its position as the sixth-largest listed company in India and the leading among government-listed PSU companies.

Since its listing on May 17, 2022, at ₹875.25 per share compared to the issue price of ₹949, LIC's shares had initially shown a subdued performance. However, a notable upswing began in November, culminating in a substantial gain of 12.83%. This positive trend continued with a remarkable rise of 22.52% in December and an additional 14% in January.

On January 23, the company's shares surpassed the IPO price, reaching ₹949 per share, marking a significant post-listing milestone. The stock has since maintained its upward momentum, consistently achieving new record highs. This sustained surge has proven lucrative for early investors who retained their positions.

With a market capitalization now at ₹6.50 lakh crore, LIC's stature as a key player in the Indian market is further solidified. In December, the government granted LIC a one-time exemption to achieve the required 25% minimum public shareholding (MPS) within 10 years, originally slated for 2027. As of the end of Q3 FY24, the government held a 96.5% stake, with retail investors and domestic institutional investors holding 2.4% and 1% stake, respectively.

The company is set to announce its Q3 FY24 earnings on February 9, 2024. For H1FY24, LIC reported a net profit of ₹17,469 crore, up from ₹16,635 crore in the same period a year ago. The new business premium (individual) for H1FY24 increased by 2.65% to ₹25,184 crore, while assets under management (AUM) rose to ₹47,43,389 crore, marking a 10.47% year-on-year increase from ₹42,93,778 crore in the same period last year.

As of noon, the stock was trading at ₹1,006.80 apiece, reflecting a gain of 6.57%. Investors are advised to consult certified experts before making any investment decisions.