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Life Insurance of IndiaNSE:LICI -8.68%78 Return-on-Tangible-Equity is 53.24% as of Mar. 2026, which is 3% below its 10-year median of 54.78. GuruFocus rates NSE:LICI with a GF Score™ of 78/100 and a GF Value™ of ₹479.08 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 495 Insurance companies, Life Insurance of India ranks better than 88.28% on this metric.
Return-on-Tangible-Equity is calculated as Net Income divided by its average total shareholder tangible equity. Total shareholder tangible equity equals to Total Stockholders Equity minus Intangible Assets. Life Insurance of India's annualized net income for the quarter that ended in Mar. 2026 was ₹938,687 Mil. Life Insurance of India's average shareholder tangible equity for the quarter that ended in Mar. 2026 was ₹1,763,112 Mil. Therefore, Life Insurance of India's annualized Return-on-Tangible-Equity for the quarter that ended in Mar. 2026 was 53.24%.
The historical rank and industry rank for Life Insurance of India's Return-on-Tangible-Equity or its related term are showing as below:
NSE:LICI'
s Return-on-Tangible-Equity Range Over the Past 10 Years
Min: 37.89 Med: 54.78 Max: 136.45
Current: 38.71
During the past 8 years, Life Insurance of India's highest Return-on-Tangible-Equity was 136.45%. The lowest was 37.89%. And the median was 54.78%.
NSE:LICI's Return-on-Tangible-Equity is ranked better than 88.28% of 495
companies
in the Insurance industry
Industry Median: 13.55
vs NSE:LICI: 38.71
Life Insurance of India (NSE:LICI) Return-on-Tangible-Equity Explanation
Return-on-Tangible-Equity measures the rate of return on the ownership interest (shareholder's tangible equity) of the common stock owners. It measures a firm's efficiency at generating profits from every unit of shareholders' tangible equity (shareholders equity minus intangibles). Return-on-Tangible-Equity shows how well a company uses investment funds to generate earnings growth. Return-on-Tangible-Equitys between 15% and 20% are considered desirable.
Be Aware
Net Income is used.
Because a company can increase its Return-on-Tangible-Equity by having more financial leverage, it is important to watch the leverage ratio when investing in high Return-on-Tangible-Equity companies. Like Return-on-Tangible-Asset, Return-on-Tangible-Equity is calculated with only 12 months data. Fluctuations in company's earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective.
Asset light businesses require very few assets to generate very high earnings. Their Return-on-Tangible-Equitys can be extremely high.
Life Insurance of India Return-on-Tangible-Equity Related Terms
Life Insurance of India Return-on-Tangible-Equity Historical Data
* Premium members only.
The historical data trend for Life Insurance of India's Return-on-Tangible-Equity can be seen below:
* 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.
Life Insurance of India Return-on-Tangible-Equity Chart
NSE:LICI vs AFL, MET, PRU: Return-on-Tangible-Equity Comparison
For the Insurance - Life subindustry, Life Insurance of India's Return-on-Tangible-Equity, along with its competitors' market caps and Return-on-Tangible-Equity data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Life Insurance of India Return-on-Tangible-Equity vs Insurance Industry
For the Insurance industry and Financial Services sector, Life Insurance of India's Return-on-Tangible-Equity distribution charts can be found below:
* The bar in red indicates where Life Insurance of India's Return-on-Tangible-Equity falls into.
* 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.
In the calculation of annual Return-on-Tangible-Equity, the net income of the last fiscal year and the average total shareholder tangible equity over the fiscal year are used. In calculating the quarterly data,
the net income data used here is four times the quarterly (Mar. 2026) net income data.
Return-on-Tangible-Equity is displayed in the 10-year financial page.
What does a Return-on-Tangible-Equity of 53.24% mean?
Life Insurance of India (NSE:LICI) has a Return-on-Tangible-Equity of 53.24% as of Mar. 2026. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Life Insurance of India and its competitors. This is near median its historical median of 54.78. Over the past decade, Life Insurance of India's Return-on-Tangible-Equity has ranged from 37.89 to 136.45. According to the industry distribution chart, Life Insurance of India ranks #58 out of 495 companies in the Insurance industry, placing it in the top 11.7%.
Is Life Insurance of India's Return-on-Tangible-Equity too high?
Life Insurance of India's current Return-on-Tangible-Equity of 53.24% is near median its 10-year median of 54.78. Over the past 10 years, this metric has ranged from a low of 37.89 to a high of 136.45. The Insurance industry median Return-on-Tangible-Equity is 13.55. Life Insurance of India's value of 53.24% is 292.9% above this industry median. Based on the distribution chart, Life Insurance of India ranks #58 out of 495 companies in the Insurance industry, which is in the top quartile — a strong position relative to peers. Overall, Life Insurance of India has a GF Score™ of 78/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Life Insurance of India's Return-on-Tangible-Equity compare to AFL and MET?
According to the Insurance industry distribution chart, Life Insurance of India ranks #58 out of 495 companies for Return-on-Tangible-Equity. This places Life Insurance of India in the top 12% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Equity is 13.55. Life Insurance of India's value of 53.24% is 292.9% above this benchmark. Historically, Life Insurance of India's own Return-on-Tangible-Equity has ranged from 37.89 to 136.45 over the past decade. While the company's 10-year median is 54.78 vs. the industry median of 13.55, Life Insurance of India has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Equity for an Insurance company?
The median Return-on-Tangible-Equity among Insurance companies is 13.55, based on 495 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Equity significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Life Insurance of India's current Return-on-Tangible-Equity of 53.24% is 292.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Equity mean?
A high Return-on-Tangible-Equity can signal that a stock is expensive relative to its fundamentals. Return on tangible equity is the ratio of current-period net income to average two-period tangible equity. View historical data on Life Insurance of India and its competitors. For the Insurance industry, the median Return-on-Tangible-Equity is 13.55 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Life Insurance of India's current Return-on-Tangible-Equity is 53.24%, which is near median its own 10-year median of 54.78. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Life Insurance of India stock overvalued right now?
Based on GuruFocus' analysis, Life Insurance of India (NSE:LICI) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹479.08, compared to a current price of ₹391.30 — trading 18.3% below its estimated fair value. The current Return-on-Tangible-Equity is 53.24%, which is near median its 10-year median of 54.78 and 292.9% above the Insurance industry median of 13.55. Life Insurance of India's overall GF Score™ is 78/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Equity calculated?
Return-on-Tangible-Equity is calculated from a company's financial statements. For Life Insurance of India (NSE:LICI), the current Return-on-Tangible-Equity is 53.24% as of Mar. 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 of India (NSE:LICI) Overvalued in 2026?
Based on GuruFocus' analysis, Life Insurance of India stock appears to be undervalued.
The current stock price of ₹391.30 is trading 18.3% below its estimated GF Value™ of ₹479.08.
GuruFocus considers Life Insurance of India to be Modestly Undervalued.
Key valuation signals for NSE:LICI:
Return-on-Tangible-Equity: 53.24% (near median its 10-year median of 54.78)
GF Value™: ₹479.08 vs. price of ₹391.30 (18.3% below fair value)
Industry Position: 292.9% above the Insurance median (#58 of 495)
No single metric tells the full story. See the NSE:LICI stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Life Insurance Corporation of India is engaged in providing life insurance in India. The company offers diversified product portfolio covering various segments across individual products and group products.
78GF Score
Get the complete analysis for NSE:LICI
Return-on-Tangible-Equity is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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