Fitch Ratings has affirmed Thai Life Insurance Public Company Limited’s (SET: TLI) Insurer Financial Strength (IFS) Rating at ‘A-‘ (Strong) and National IFS Rating at ‘AAA(tha)’. The Outlooks are Stable.
The ratings reflect its ‘Favourable’ company profile, solid capital and ‘Strong’ financial performance with sound new business value (NBV) margin. However, the rating strength is offset by moderate asset and investment risk.
TLI has been trading below its IPO level since early November last year. The insurance company was first traded in the Thai bourse in July 2022 at a price of THB 16.00 per share. The stock rose as much as THB 17.80 per share in September last year and as low as THB 12.00 per share this month.
TLI closed at THB 12.40 per share, decreased THB 0.10 or 0.80% per share.
Still, analysts remain positive on TLI. Yuanta Securities expected the company to record higher revenue from premium income and lower cost. Meanwhile, the share price is trading at an attractive value.
Nomura stated that it has a slight positive outlook on TLI after the analysts meeting in late February, expecting First year premium, VONB, Net investment income and Embedded value to continue to grow, even though gross written premium would not expand as much, Nomura expected no impact to TLI’s bottom line as the company’s reserve ratio is declining as well.
