LICI - IntraDay Trade Analysis with Live Signals

Last Updated Time : 20 Dec 25, 07:03 am

IntraDay Trade Rating: 3.5

📊 Analysis: LICI is trading at ₹852, below both its 50 DMA (₹884) and 200 DMA (₹889), reflecting short-term weakness. RSI at 33.9 indicates oversold conditions, while MACD (-13.0) confirms bearish undertone. Intraday volume (43,20,163) is significantly higher than the 1-week average (18,20,029), showing strong participation. Fundamentals remain robust with EPS at ₹80.8, ROCE at 53.4%, and ROE at 46.0%, though quarterly PAT declined slightly (₹10,987 Cr. → ₹10,053 Cr.). Valuation is attractive with a P/E of 10.5 vs industry 84.3, but intraday signals lean cautious.

💡 Optimal Buy Price: ₹845–852 if price stabilizes near support.

🎯 Profit-Taking Exit Levels: ₹865 (minor resistance), ₹880 (closer to 50 DMA).

🛡️ Stop-Loss: ₹835 to protect against downside risk.

⏱️ If Already Holding: Exit intraday if price fails to hold above ₹845 or RSI dips below 33 with weakening volume. A bounce above ₹865 can be used for profit booking.

Positive

• 📈 EPS at ₹80.8 reflects strong earnings
• 💰 Attractive P/E (10.5) compared to industry average (84.3)
• 🏦 ROCE (53.4%) and ROE (46.0%) highlight operational efficiency
• 📊 Strong intraday volume above weekly average
• 💡 Debt-free structure ensures financial stability

Limitation

• ⚠️ RSI at 33.9 indicates oversold momentum
• 📉 MACD (-13.0) confirms bearish trend
• 📊 Price below both 50 DMA and 200 DMA
• 🔻 Slight decline in quarterly PAT

Company Negative News

• 📉 PAT declined from ₹10,987 Cr. to ₹10,053 Cr.
• ⚠️ Weak intraday momentum despite strong fundamentals
• 🔻 Decline in DII holdings (-0.02%)

Company Positive News

• 📈 EPS and profitability remain strong
• 💡 FII holdings increased (+0.02%)
• 💰 Dividend yield of 1.42% supports shareholder returns

Industry

• 🏦 Insurance sector supported by rising demand for life and health coverage
• 📊 Industry PE at 84.3, much higher than company valuation
• 🌍 Long-term demand outlook remains positive with financial inclusion and insurance penetration

Conclusion

⚖️ LICI shows strong fundamentals and undervaluation but weak intraday momentum. Suitable for cautious intraday trades near support with strict stop-loss. A breakout above ₹865–880 could trigger short-term upside, but oversold RSI and bearish MACD warrant caution.

Would you like me to extend this into a peer benchmarking overlay comparing LICI against SBI Life, HDFC Life, and ICICI Prudential for intraday positioning?