All-Time High Dividend of Rs 6: June 7 - Record Date, Payable By July 10; A Stock To Bet?

ICICI Lombard General Insurance Company with a market capitalization of Rs 81,777.01 Cr, is the foremost private general insurance provider in the nation. For the year that ended on March 31, 2024, the company issued over 36.2 million policies, carried out over 2.9 million claims, and had a Gross Written Premium (GWP) of Rs 255.94 billion. As of March 31, 2024, ICICI Lombard employed 13,670 employees across 312 branches.

ICICI Lombard General Insurance Company Dividend

"The Board of Directors of the Company, at their Meeting held on April 17, 2024, had recommended a final dividend of Rs 6.0/- per equity share i.e. at the rate of 60% of face value of Rs 10/- each for the financial year ended March 31, 2024, subject to approval of Members of the Company at the ensuing AGM. Pursuant to Regulation 42 and other applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Company has fixed Friday, June 7, 2024 as the Record date for determining eligibility of Members to receive final dividend for FY2024. The final dividend, if approved at the AGM, will be paid subject to deduction of tax at source, on or before Wednesday, July 10, 2024," said the company in a stock exchange filing.

ICICI Lombard General Insurance Company News

"We wish to inform you that 24th Annual General Meeting ("AGM") of the Members of the Company will be held on Tuesday, June 25, 2024 at 2:00 p.m. (IST) through Video Conferencing (VC)/Other Audio Visual Means (OAVM)," the company informed the stock exchanges.

ICICI Lombard General Insurance Company Financials

Compared to FY2023's Rs 17.29 billion, profit after tax (PAT) jumped by 11.0% to Rs 19.19 billion in FY2024. PAT climbed from Rs 4.37 billion in Q4 FY2023 to Rs 5.20 billion in Q4 FY2024, an 18.9% growth. The company's Gross Direct Premium Income (GDPI) shot up by 17.8% to Rs 247.76 billion in FY2024 from Rs 210.25 billion in FY2023, outpacing the industry growth of 12.8%.

The company's GDPI rose 22.0% to Rs 60.73 billion in Q4 FY2024 from Rs 49.77 billion in Q4 FY2023. In FY2024, Return on Average Equity (ROAE) was 17.2% which was 17.7% in FY2023. In Q4 FY2024, ROAE was 17.8% as against 17.2% in Q4 FY2023. As of March 31, 2024, the solvency ratio was 2.62x, up from 2.57x on December 31, 2023 Its solvency ratio on March 31, 2023, was 2.51x.

ICICI Lombard General Insurance Company Share Price Target

Deven Mehata - Equity Research Analyst at Choice Broking said, "ICICIGI is currently trading at 1670 levels, exhibiting a sideways trading pattern within the range of 1615-1729 for the past 15 weeks. This prolonged period of consolidation indicates a well-defined support at the lower boundary of 1615 and a strong resistance near the upper boundary at 1729. The stock's proximity to its short-term (20 Day) and medium-term (50 Day) Exponential Moving Average (EMA) levels further corroborates the sideways movement observed on the daily chart. The sustained trading within this range suggests that ICICIGI is in a phase of sideways move, where buying and selling pressures are balanced."

"Investors holding the stock from lower levels should maintain a trailing stop loss at 1615 levels to protect their gains, considering this is a critical support level. A decisive breakout above the 1729 resistance could signal the beginning of a new upward trend, potentially attracting fresh buying interest. Conversely, a breakdown below 1615 could lead to a downside correction. Therefore, monitoring these key levels is crucial for making informed investment decisions. Investors looking to enter the stock might consider waiting for a breakout above 1729 for a clearer indication of upward momentum or a dip towards 1615 for potential buying opportunities, provided the support holds," the analyst predicted.

Disclaimer

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