After a 20% Rally in a Month, LIC Shares Turn Positive for 2023; Can It Retest Its IPO Price?

Life Insurance Corporation of India Ltd. (LIC) shares saw a gain of almost 20% during the previous month, and they are now positive for 2023. On Monday, the stock finished 7% higher.

Following a year of range trading and a 52-week low of ₹530 on March 29, LIC’s shares had their largest one-day increase since its May 2022 IPO on November 24.

The 10% increase followed Chairman Siddhartha Mohanty’s statement to news agency PTI that he expects new business premiums to soar by double digits in the fiscal year 2024.

Following its increase on November 24, LIC’s market capitalization surpassed ₹4 lakh crore. At present, it is valued at ₹4.54 lakh crore.

The shares of LIC were listed in May 2022 at a price lower than 8.5% of their ₹949 issue price. It hasn’t been able to reach its IPO price since then.

Some of the largest trading volumes for the stock since it went public were during the spike on November 24 and December 4.