Insurance stocks 2026: Nuvama sets 4 BUY targets

Indian life insurance stocks were in focus after Nuvama Institutional Equities retained BUY ratings on four listed names and published updated target prices. The brokerage highlighted April business momentum through annual premium equivalent (APE) and retail weighted received premium (RWRP) trends for SBI Life, HDFC Life, Max Financial and ICICI Prudential Life. The note also flagged valuation comfort using price-to-embedded value (P/EV) estimates for FY27E and FY28E.

The data points matter because monthly new business numbers often shape near-term sentiment in insurance stocks, especially when growth is driven by retail protection versus group business. In April, Nuvama’s commentary pointed to sharp divergences across companies and segments, with SBI Life standing out on headline growth.

What Nuvama said: ratings and targets remain positive

Nuvama retained a BUY view on all four insurers in its coverage list mentioned in the note: SBI Life, HDFC Life, Max Financial and ICICI Prudential Life. Alongside the ratings, it assigned target prices for each stock, based on its assessment of growth and valuation.

For investors tracking the sector, the note also provided FY27E and FY28E P/EV trading multiples for each company. These multiples are commonly used in life insurance valuation because embedded value is a key balance-sheet metric for insurers.

SBI Life: APE up 120% YoY to ₹2,090 crore

Nuvama called SBI Life the “standout performer” in April. The brokerage said overall APE grew 120% year-on-year to ₹2,090 crore, supported by growth in both retail and group segments. Retail APE was up 18% YoY to ₹990 crore, while the group segment saw a sharp jump of 875% YoY to ₹1,100 crore.

On valuation, Nuvama said SBILIFE trades at FY27E/FY28E P/EV of 2.0x/1.7x. It maintained a BUY rating with a target price (TP) of ₹2,390.

Separately, market data in the provided text showed SBI Life at ₹1,872.10, down 0.10 or 0.01%, “as on 08 May, 2026 | 03:59”. The day range was ₹1,865.20 to ₹1,885.00 and the 52-week range in that snapshot was ₹1,693.10 to ₹2,132.00.

HDFC Life: APE up 24% YoY to ₹950 crore

For HDFC Life, Nuvama highlighted healthy premium growth supported by a favourable base. The brokerage said overall APE grew 24% YoY to ₹950 crore. It also reported RWRP growth of 24% YoY to ₹790 crore.

Nuvama’s valuation snapshot said HDFCLIFE trades at FY27E/FY28E P/EV of 1.9x/1.6x. It retained BUY and set a target price of ₹850.

The broader context in the supplied text also referenced another Nuvama mention where the brokerage “retained ‘Buy’ on each” with a target of ₹920 on HDFC Life and ₹2,250 on SBI Life. Since both sets of targets appear in the input, readers should note that multiple target prices are cited across different excerpts.

Max Financial: APE at ₹440 crore, RWRP at ₹430 crore

Nuvama retained a positive view on Max Financial Services as well. It said Max Financial posted overall APE of ₹440 crore in Apr-26, up 15% YoY. RWRP was reported at ₹430 crore, up 21% YoY.

On valuation, Nuvama said MAXF trades at FY27E/FY28E P/EV of 2.1x/1.7x. It maintained BUY with a target price of ₹2,070.

ICICI Prudential Life: APE up 24% YoY to ₹620 crore

For ICICI Prudential Life, Nuvama said growth was supported by a weak base. It reported 24% YoY growth in APE to ₹620 crore, while RWRP rose 25% YoY to ₹420 crore.

Nuvama’s valuation indicated IPRU trades at FY27E/FY28E P/EV of 1.4x/1.2x. It maintained BUY with a target price of ₹750.

A second brokerage view: Nirmal Bang’s 2026 targets and upsides

The input text also included a separate set of “Insurance Stocks to Buy Now” targets attributed to Nirmal Bang Institutional Equities Research. In that list, Canara HSBC Life was given a target price of ₹200 with a BUY rating, with CMP of ₹144.85 on BSE and an indicated upside of 38.07%.

In the same list, ICICI Prudential Life had a target price of ₹650 (BUY) versus CMP of ₹547.05, showing 18.82% upside. HDFC Life had a target of ₹680 with a HOLD rating versus CMP of ₹619.65, indicating 9.74% upside. Max Financial had a target of ₹1,980 (BUY) versus CMP of ₹1,645.85, indicating 20.31% upside. SBI Life had a target of ₹2,360 (BUY) versus CMP of ₹1,914.35, indicating 23.28% upside.

Other SBI Life targets cited across broker notes

The supplied text listed multiple SBI Life calls and targets from other brokerages, alongside “Reco Price” levels. These included: Motilal Oswal (Reco Price ₹1,884.75, Target ₹2,350), Emkay Global Financial Services (Reco Price ₹1,827.45, Target ₹2,250), ICICI Securities (Reco Price ₹1,827.45, Target ₹2,345), and Prabhudas Lilladher (Reco Price ₹1,827.45, Target ₹2,200). It also mentioned Motilal Oswal targets of ₹2,400 (Reco Price ₹1,932.05) and ₹2,570 (Reco Price ₹2,052.60) in other entries.

Because these targets are drawn from different notes and dates in the input, they are best read as a range of published estimates rather than a single consensus.

Key numbers table: Nuvama’s April business and valuation snapshot

Market impact: what the numbers change and what they don’t

At a sector level, the April APE and RWRP metrics cited in the note frame how growth is being distributed across retail and group lines. SBI Life’s headline APE growth, driven by a sharp rise in group APE, stands out against the more moderate but steady expansion cited for HDFC Life, Max Financial and ICICI Prudential Life.

On stock narratives, target prices and valuation multiples can influence near-term positioning, but the input also shows that different brokerages can publish meaningfully different targets for the same stock. For SBI Life alone, the cited targets span from ₹2,200 to ₹2,570 across multiple entries, while Nuvama’s cited targets include ₹2,390 in one excerpt and ₹2,250 in another.

Analysis: why P/EV and product mix stay central

Life insurers are frequently compared on embedded value-linked multiples, which Nuvama summarised through FY27E and FY28E P/EV ranges. In the extracted data, ICICI Prudential Life shows the lowest cited P/EV (1.4x/1.2x), while SBI Life, HDFC Life and Max Financial are cited at higher levels.

Just as important, the growth mix matters. Retail growth tends to be viewed as more durable, while group business can be more volatile month to month. Nuvama’s SBI Life commentary explicitly split growth into retail and group APE, which helps explain why the brokerage emphasised that result as the standout.

Conclusion

Nuvama’s latest snapshot kept BUY ratings on SBI Life, HDFC Life, Max Financial and ICICI Prudential Life, supported by April APE and RWRP trends and FY27E/FY28E P/EV valuation markers. Alongside it, the input also cited Nirmal Bang’s 2026 targets across the sector, including Canara HSBC Life, and multiple other broker targets for SBI Life. The next set of monthly business disclosures will remain a key checkpoint for whether these growth patterns persist.