By Admin 
Health insurance company Niva Bupa made a strong jump in the stock market on Wednesday. The company’s stock rose by 11.5 per cent to 86.40, which is its highest high level in the last 17 weeks. Interestingly, NIVA BUPA shares have gained an increase in 8 out of the last 10 trading sessions and since April 7, a total of 40 percent has risen.
Brokerage house bullish
Market experts and brokerage houses look quite positive on the shares of NIVA BUPA. Motilal Oswal, the country’s leading brokerage company, has rated ‘BUY’ on the company’s stock and set a target price of 100. He believes that the company’s strong hold in the health insurance sector, rapid claim settlement and special focus on retail customers are proving to be helpful in the rapid development of the company.
According to the report of Motilal Oswal, NIVA Bupa has registered a growth of 34 per cent CAGR between FY22 to FY25 and has increased the highest market share in the retail health segment. The company’s gross premium between FY25 and FY28 has been estimated to have an annual growth of 25 per cent. Talking about the company’s product portfolio, the share of the retail and group health segment is 68 per cent and 31 per cent respectively, in which one third of the group business comes from the corporates.
Settlement ratio is strong
The company’s claim settlement ratio is also a compassion. It was 90 percent in FY24, which has become possible due to fast, transparent and AI-powered process. Not only this, Niva Bupa has also paid a lot of attention to quality in healthcare networks.
ICICI Securities have also recently given a ‘BUY’ rating on stock, and set a target price of 90. He said that the scope of health insurance in India is still very low and players like NIVA BUPA have the ability to take full advantage of this opportunity. The company’s retail market stake in FY19 was 4 per cent, which has increased to 9.4 per cent in 11MFY25.
What does the company do
Talking about the company, Niva Bupa Health Insurance is a joint venture between Bupa Group and Fettle Tone LLP. Through its mobile app and website, the company provides many healthcare services to the users on a platform.
NIVA Bupa entered the stock market on 14 November 2024, when its shares were listed at 78.14 on the NSE, which was 5.5 per cent above the issue price of its 74. The company’s IPO of 2,200 crore was opened from 7 to 11 November, with a bid for 31.13 crore shares against 16.3 crore shares, ie overall 1.9 times subscription.
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