New India Assurance Co. Ltd. (NIACL) AI Stock Analysis

New India Assurance Co. Ltd.

(NSE:NIACL)

Select Model

Rating:58Neutral

Price Target:INR 165.00▲(3.90% Upside)

Action:reiterated

Date:10/13/26

The score is primarily driven by average financial performance: a strong, debt-free balance sheet is offset by thin/volatile profitability and historically inconsistent cash flow (the key risk despite FY2026 improvement). Technically, the stock is supported by being above key moving averages, but momentum signals are mixed. Valuation is the biggest headwind, with a high P/E and low dividend yield.

Positive Factors

Debt-Free Balance SheetThe absence of reported debt gives NIACL substantial financial flexibility and reduces interest-related pressure on earnings. This supports resilience through claims volatility, preserves capacity to invest in operations, and provides more options for managing capital over the next several quarters.

Negative Factors

Thin, Volatile MarginsLow and uneven margins leave limited protection against adverse claims experience, pricing pressure, or higher operating costs. The lack of a consistently improving profitability trend makes earnings less durable and constrains the amount of capital that can be reinvested for growth.

New India Assurance Co. Ltd. (NIACL) vs. iShares MSCI India ETF (INDA)

Market Cap: INR 261.93B
Dividend Yield: 0.95%
Average Volume (3M): 454.16K
Price to Earnings (P/E): 34.0
Beta (1Y): 1.95
Revenue Growth: 74.42%
EPS Growth: -146.09%
Country: India
Employees: 10,404
Sector: General
Sector Strength: 55
Industry: Insurance - Diversified

New India Assurance Co. Ltd. Business Overview & Revenue Model

Company Description

The New India Assurance Company Limited, operating with its subsidiaries, functions as a global general insurance provider, serving markets both within India and internationally. Its extensive portfolio encompasses a broad spectrum of insurance produ...

How the Company Makes Money

NIACL primarily makes money through (1) underwriting income and (2) investment income. Underwriting income is generated by collecting insurance premiums in advance and paying out claims and related expenses over time; profitability depends on pricing...

New India Assurance Co. Ltd. Financial Statement Overview

Summary

Income statement performance is decent but not strong: revenue grew ~4.4% in FY2026 and profitability remained positive, yet margins are thin and volatile (FY2026 net margin ~2.8%, EBIT margin ~2.4%). The balance sheet is a clear strength with no reported debt, but overall returns remain modest. Cash flow is the main drag due to multi-year negative operating/free cash flow (FY2022–FY2025) despite improvement to positive in FY2026.

Income Statement

62Positive

Balance Sheet

78Positive

Cash Flow

45Neutral

Financial statement breakdown
Breakdown	TTM	Mar 2026	Mar 2025	Mar 2024	Mar 2023	Mar 2022
Income Statement
Total Revenue	503.70B	507.40B	426.15B	431.28B	409.68B	365.32B
Gross Profit	287.90B	126.80B	398.96B	406.40B	386.34B	335.24B
EBITDA	6.50B	14.47B	11.74B	15.31B	13.72B	2.95B
Net Income	7.71B	14.14B	10.37B	11.16B	10.48B	1.95B
Balance Sheet
Total Assets	0	1.10T	1.10T	1.07T	982.23B	964.96B
Cash, Cash Equivalents and Short-Term Investments	0	192.90B	177.10B	171.92B	153.93B	138.19B
Total Debt	0	0	0	0	0	0
Total Liabilities	-385.93B	717.56B	655.40B	626.36B	588.69B	565.87B
Stockholders Equity	385.93B	385.41B	441.83B	454.39B	392.96B	398.54B
Cash Flow
Free Cash Flow	-41.05B	8.42B	-35.06B	-47.41B	-59.53B	-41.68B
Operating Cash Flow	-40.71B	9.22B	-33.90B	-46.72B	-58.55B	-40.52B
Investing Cash Flow	8.07B	-36.19B	46.91B	68.86B	53.87B	48.93B
Financing Cash Flow	-2.97B	-2.97B	-3.43B	-3.26B	-647.70M	-56.55M

New India Assurance Co. Ltd. Technical Analysis

Technical Analysis SentimentNegative

Last Price158.80

Price Trends

50DMA181.45Negative

100DMA178.80Negative

200DMA163.67Negative

Market Momentum

MACD-4.80Positive

RSI39.28Neutral

STOCH21.83Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:NIACL, the sentiment is Negative. The current price of 158.80 is below the 20-day moving average (MA) of 168.44, below the 50-day MA of 181.45, and below the 200-day MA of 163.67, indicating a bearish trend. The MACD of -4.80 indicates Positive momentum. The RSI at 39.28 is Neutral, neither overbought nor oversold. The STOCH value of 21.83 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:NIACL.

New India Assurance Co. Ltd. Peers Comparison

Overall Rating

UnderperformOutperform

Sector (55)

Financial Indicators

IN:NIACL against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
IN:ICICIGI	80Outperform	INR 785.59B	30.84	―	0.91%	13.84%	-9.23%
IN:GODIGIT	70Outperform	INR 241.09B	48.89	―	―	8.56%	6.40%
IN:STARHEALTH	69Neutral	INR 312.15B	29.61	―	―	20.54%	97.48%
IN:NIACL	58Neutral	INR 261.70B	33.96	―	0.95%	74.42%	-146.09%
Sector *	55Neutral	$6.65B	3.83	-15.92%	6.20%	10.91%	7.18%

* General Sector Average

Performance Comparison

IN:NIACL and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IN:NIACL	New India Assurance Co. Ltd.	158.80	-22.75	-12.53%
IN:GODIGIT	Go Digit General Insurance Limited	260.60	-102.05	-28.14%
IN:ICICIGI	ICICI Lombard General Insurance Co. Ltd.	1572.00	-419.34	-21.06%
IN:STARHEALTH	Star Health & Allied Insurance Co. Ltd.	530.30	43.00	8.82%

New India Assurance Co. Ltd. Corporate Events

New India Assurance Board Clears Q2 FY27 Unaudited Results

Oct 30, 2026

The New India Assurance Company Limited’s board met in Mumbai on 30 October 2026 via hybrid mode and approved the company’s unaudited financial results for the quarter and half year ended 30 September 2026. The results, along with the lim...

New India Assurance Revises Trading Window Closure Ahead of Q2 Results

Oct 23, 2026

New India Assurance Co. Ltd. has announced a revised closure period for its trading window under SEBI’s Prohibition of Insider Trading Regulations, 2015, applicable to all designated persons and their immediate relatives. The window will now re...

New India Assurance appoints two statutory auditors for FY 2026-27

Sep 9, 2026

New India Assurance Company Ltd. has announced the appointment of M/s S Ramanand Aiyar & Co and M/s Chokshi & Chokshi LLP as its statutory auditors for the financial year 2026-27, following their selection by the Comptroller & Auditor Gen...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Oct 13, 2026

New India Assurance Co. Ltd. AI Stock Analysis