Buy Star Health and Allied Insurance Company, target price Rs 805: ICICI Securities

ICICI Securities has buy call on Star Health and Allied Insurance Company with a target price of Rs 805. The current market price of Star Health and Allied Insurance Company is Rs 603.

Star Health and Allied Insurance Company, incorporated in the year 2005, is a Large Cap company (having a market cap of Rs 34793.57 Crore) operating in Financial Services sector.

Star Health and Allied Insurance Company key Products/Revenue Segments include Premiums Earned, Interest & Dividend and Income From Sale Of Share & Securities for the year ending 31-Mar-2022.


Financials
For the quarter ended 30-09-2022, the company has reported a Standalone Total Income of Rs 3002.62 Crore, up 3.79 % from last quarter Total Income of Rs 2892.91 Crore and up 10.83 % from last year same quarter Total Income of Rs 2709.24 Crore. Company has reported net profit after tax of Rs 93.10 Crore in latest quarter.

The company’s top management includes Mr.Venkatasamy Jagannathan, Mr.Utpal Hemendra Sheth, Mr.Deepak Ramineedi, Mr.Berjis Minoo Desai, Mr.Rajeev Krishnamuralilal Agarwal, Mr.Rajni Sekhri Sibal, PadmashriKaarthikeyan Devarayapuram Ramasamy, Ms.Anisha Motwani, Mr.Rohit Bhasin, Mr.Anand Shankar Roy, Dr.Subbarayan Prakash, Mr.Sumir Chadha. Company has V Sankar Aiyar & Co. as its auditors. As on 30-06-2022, the company has a total of 58 Crore shares outstanding.

Investment Rationale
The key elements of Star Health’s strategy revolve around improving and expanding distribution of health insurance, claims management and product offerings. The brokerage maintains buy with the unchanged target price of Rs 805 based on 40x FY24E EPS of Rs20.1.

Promoter/FII Holdings
Promoters held 58.84 per cent stake in the company as of 30-Jun-2022, while FIIs owned 34.7 per cent, DIIs 2.11 per cent.