Why SBI Life shares gained today

SBI Life shares gained today. The stock closed the day today, 27^th October, up by 3.16% at Rs 1,898 per share. Nifty 50 index closed the day, today, up by 0.69%. The stock was the second in the top gainers list at Nifty 50 today.

New business premium increased by 16.7% in the quarter

The stock gained today after the company declared its September quarter result on Friday, 24^th October, 2025. The high point of the result is that the value of new business premium (NBP) of the company in the quarter increased year-on-year (y-o-y) by 16.7%. NBP means the premium that SBI Life collected from the new insurance policies that it sold in the quarter. It indicates to the growth in business of the company in the quarter.

Premium on new pure protection policies (term insurance policies) increased year-on-year by 29% to Rs 2,211 crore in the quarter. SBI Life is focusing on increasing its pure protection policies business. The company’s profit after tax in the September quarter came down year-on-year by 6.8% to Rs 495 crore. This mainly because of higher operating expenses in the quarter. Expense ratio of the company increased to 11% in the quarter.

SBI Life shares have gained more than 35% in 2025

SBI Life shares have gained 35.93% year-to-date (YTD) in 2025. In the same period Nifty 50 has gained 9.30%. The stock has outperformed the Nifty 50 index by more than 26% in 2025. This makes it one of the best performing stocks in the year.

The stock is currently trading at a Price-to-Earnings (P/E) ratio of around 76. Under the new GST tax structure, GST on life insurance premiums has been reduced to 0% from 18%. This is expected to increase demand for life insurance products in the near and medium term. But due to high P/E ratio at which the stock is already trading, further upside may be limited.

Disclaimer : This content is only for informational purpose. It does not make any recommendation to act or invest.

Source: NSE, SBI Life