Anand Rathi Picked Midcap Insurance Stock, Recommends Buy, Sees Up to 38% Strong Gains

Anand Rathi in its recent report on Star Health and Allied Insurance Company Ltd (STARHEALTH) recommends "Buy" for a target price of Rs 723 apiece. STARHEALTH hosted an analyst meet on 29th March to share the process of claim settlement and outlook on its retail health insurance segment. Below are the key takeaways:

Stock Current Market Price, Stock Performance, Potential Returns

The current market price of STARHEALTH's stock is Rs 527.25 apiece on NSE, up 1.73% from its previous close. If you buy the stock at the given current mark price, it can fetch up to 38% return, considering the given target price.

The stock traded the 52 week high on 6 September 2022 at Rs 780 apiece and 52 week low on 1 July 2022 at Rs 469.05 apiece, respectively. The stock has given 2.79% negative return in the past 1 week. It has given 6.58% negative return in 1 month and 9.78% in 3 months, respectively. It has given 29.12% negative return in the past 1 year.

Buy Stock of Star Health and Allied Insurance Company with Target Price of Rs. 723/share

According to Anand Rathi, STARHEAL's management team has demonstrated promising potential for future growth, particularly in the area of Retail Health, which is expected to drive overall gross premiums to a healthy CAGR over the next couple of years. Additionally, the claims ratios are expected to normalize, which should help the company return to profitability over the same time period. Based on these factors, the evaluators are optimistic about the prospects of STARHEAL's business model and have maintained a "BUY" rating on the stock, with a target price of Rs 723.

Disclaimer - The stock has been picked from the brokerage report of Anand Rathi. Greynium Information Technologies, the Author, and the respective Brokerage house are not liable for any losses caused as a result of decisions based on the article. Goodreturns.in advises users to consult with certified experts before making any investment decision.