Life Insurance Nepal (XNEP:LICN) Earnings Yield %: 1.67% (As of Aug. 01, 2026)

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Director of Data and Quant Analytics at GuruFocus
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XNEP:LICN Life Insurance Corp Nepal Ltd XNEP:LICN
82 GF Score
Price NPR787.90
GF Value NPR891.53
Valuation Modestly Undervalued
! 4 Warning Signs
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What is Life Insurance Nepal Earnings Yield %?

Life Insurance Nepal XNEP:LICN -0.01% 82 Earnings Yield % is 1.67% as of Aug. 01, 2026. GuruFocus rates XNEP:LICN with a GF Score™ of 82/100 and a GF Value™ of NPR891.53 (Modestly Undervalued). The stock has 4 warning signs investors should review.

The earnings yield is an indication of how much return shareholders' investment in the company earned over the past 12 months. The higher the earnings yield is, the better.

As of today (2026-08-01), the stock price of Life Insurance Nepal is NPR787.90. Life Insurance Nepal's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 was NPR13.19. Therefore, Life Insurance Nepal's earnings yield of today is 1.67%.

The earnings yield does not consider the growth of the business. A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %. Life Insurance Nepal's Forward Rate of Return (Yacktman) % for the quarter that ended in Apr. 2026 was 0.00%. The Forward Rate of Return uses the normalized Free Cash Flow of the past five years, and considers growth. The forward rate of return can be thought of as the return that investors buying the stock today can expect from it in the future.


Life Insurance Nepal  (XNEP:LICN) Earnings Yield % Explanation

If the P/E ratio is an indication of how many years it takes for the company to earn back the stock price shareholders pay to buy the shares, the earnings yield is an indication of how much return shareholders' investment in the company earned over the past 12 months. The higher the earnings yield is, the better.

If a company loses money, the earnings yield is negative. This gives a more straightforward indication that the company is losing money. This is an advantage of using earnings yield instead of the P/E ratio in valuation. For valuation purposes, the P/B Ratio and the P/S Ratio should be used for companies that are losing money.

Like the P/E ratio, the earnings yield can be used to compare investments in different industries. It can even be used to compare the attractiveness of different asset classes such as bonds and cash. Of course, the earnings yield should not be the only factor in deciding which asset classes to invest.

Also similar to the P/E ratio, the earnings yield does not consider the growth of the business. A growing company with the same earnings yield should be more attractive than a company that has the same earnings yield but does not grow.

A better indicator of the attractiveness of an investment which takes growth into account is the Forward Rate of Return (Yacktman) %.

Be Aware

Just like the P/E Ratio, non-recurring items such as selling part of the business, selling a previous investment, etc., can affect earnings yield dramatically. The earning yield is also a poor indication for cyclical companies. When a cyclical stock has a high earnings yield it is usually at the peak of its cycle.


Life Insurance Nepal Earnings Yield % Related Terms

XNEP:LICN
82GF Score
Life Insurance Corp Nepal Ltd XNEP:LICN
Earnings Yield % is just one metric. See GF Score™, valuation, warning signs, and more.
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Life Insurance Nepal Earnings Yield % Calculation

Earnings yield is the reciprocal of the P/E Ratio.

Life Insurance Nepal's Earnings Yield for today is calculated as

Earnings Yield=Earnings per Share (Diluted) (TTM)/Share Price
=13.189/787.90
=1.67 %

Life Insurance Nepal's Earnings per Share (Diluted) for the trailing twelve months (TTM) ended in Apr. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was NPR13.189 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

It can also be calculated from the numbers for the whole company:

Earnings Yield=Net Income /Market Cap

The earnings in the calculation is the Trailing Twelve Months earnings.

Frequently Asked Questions Learn more about Earnings Yield % →
What does a Earnings Yield % of 1.67% mean?
Life Insurance Nepal (XNEP:LICN) has a Earnings Yield % of 1.67% as of Aug. 01, 2026. Earnings Yield equals per-share earnings divided by share price. It is the inverse of the price-earnings ratio. View historical data on Life Insurance Nepal and its competitors.
Is Life Insurance Nepal's Earnings Yield % too high?
Life Insurance Nepal's current Earnings Yield % is 1.67%. Overall, Life Insurance Nepal has a GF Score™ of 82/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Life Insurance Nepal's Earnings Yield % compare to AFL and MET?
Life Insurance Nepal's Earnings Yield % of 1.67% can be compared against companies in the Insurance industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Earnings Yield % for an Insurance company?
A good Earnings Yield % depends on the Insurance industry context. However, Earnings Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Earnings Yield % mean?
A high Earnings Yield % can signal that a stock is expensive relative to its fundamentals. Earnings Yield equals per-share earnings divided by share price. It is the inverse of the price-earnings ratio. View historical data on Life Insurance Nepal and its competitors. Life Insurance Nepal's current Earnings Yield % is 1.67%. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Life Insurance Nepal stock overvalued right now?
Based on GuruFocus' analysis, Life Insurance Nepal (XNEP:LICN) is currently considered Modestly Undervalued. The stock's GF Value™ is NPR891.53, compared to a current price of NPR787.90 — trading 11.6% below its estimated fair value. The current Earnings Yield % is 1.67%. Life Insurance Nepal's overall GF Score™ is 82/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Earnings Yield % calculated?
Earnings Yield % is calculated from a company's financial statements. For Life Insurance Nepal (XNEP:LICN), the current Earnings Yield % is 1.67% as of Aug. 01, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Life Insurance Nepal (XNEP:LICN) Overvalued in 2026?

Based on GuruFocus' analysis, Life Insurance Nepal stock appears to be undervalued. The current stock price of NPR787.90 is trading 11.6% below its estimated GF Value™ of NPR891.53. GuruFocus considers Life Insurance Nepal to be Modestly Undervalued.

Key valuation signals for XNEP:LICN:

  • Earnings Yield %: 1.67%
  • GF Value™: NPR891.53 vs. price of NPR787.90 (11.6% below fair value)
  • GF Score™: 82/100 with 4 warning signs

No single metric tells the full story. See the XNEP:LICN stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Life Insurance Nepal Business Description

Address Star Mall, PO Box No 21905, 4th Floor, Putalisadak, Kathmandu, NPL
Life Insurance Corp Nepal Ltd is engaged in the life insurance business in Nepal, providing participating and non-participating life insurance products through its provincial offices, branches, sub-branches, and network of agents. Its product portfolio includes endowment plans, child plans, and money-back plans, and it provides services such as reviving lapsed policies, policy loans, nominations, and bonuses to policyholders. Revenue is mainly generated from premiums and investments, including regular and single-premium collections, returns from investments in equities, bonds, and other financial instruments, service-related fees, and commission on reinsurance ceded.
82GF Score

Get the complete analysis for XNEP:LICN

Earnings Yield % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

NPR787.90
Price
NPR891.53
GF Value