Star Health Share Price Target 2026: Brokergaes have reviewed the performance of Star Health and Allied Insurance Company and suggested revised share price targets. Recently, the insurance firm declared its Q4 quarterly earnings for financial year 2025-26, where itreported a multi-fold jump in net profit to Rs 111 crore for the fourth quarter ended March 2026.
- Premium growth in 4QFY26 has been strong, especially in the retail health segment, backed by GST exemption
- Underwriting performance strengthens
- Largely maintained IFRS estimates, considering a strong underwriting performance witnessed in 4QFY26
- Expect IFRS PAT to post a 32% CAGR over FY26-28
- Fresh business growth supported by the new-to-insurance customers
Remain optimistic about the overall prospects of company, backed by:
1) consistent growth in retail health
2) improving agency and banca productivity
3) steady growth in specialized products and deepening presence
- Claims ratio improved ~440bps YoY, lower than estimate
- Combined ratio improved to 94.8%, primarily driven by the improved claims ratio
- Management confident of continued improvement in the claims ratios
- Expense ratio at was flat YoY and was marginally higher than estimate
- Management aims for premium growth in the high-teens and ROEs in the mid to-high-teens range
- PAT ahead of estimate driven by higher investment income and improved underwriting performance
- Increased GWP estimates by ~2% and cut COR estimates by ~70-90bps
- Consistent improvement in the claims ratio à key to drive a stock re-rating
MOSL has maintained a Buy rating with a target price of Rs 640 (earlier 560). Emkay too has maintained BUY with a TP of Rs 650 (Upside ~22%).
Star Health Q4 Results FY26
Star Health and Allied Insurance Company on Tuesday (April 28) reported a multi-fold jump in net profit to Rs 111 crore for the fourth quarter ended March 2026.
The standalone health insurer posted a net profit of Rs 50 lakh during the same quarter of the previous year.
During the reporting quarter, total income increased to Rs 4,545 crore from Rs 3,989 crore in the same period a year ago.
The company’s gross written premium during the quarter rose to Rs 5,968 crore against Rs 5,138 crore in the year-ago period, it said.
At the same time, the net premium also increased to Rs 5,599 crore as compared to Rs 4,820 crore in the same quarter a year ago.
The underwriting loss during the period came down to Rs 154 crore as against Rs 275 crore in the year ago.
(Disclaimer: The above article is meant for informational purposes only, and should not be considered as any investment advice. ET NOW DIGITAL suggests its readers/audience to consult their financial advisors before making any money related decisions.)
