Go Digit Insurance Performance Analyzed

Go Digit Insurance’s stock price jumped 3.2% on Tuesday, reaching ₹334.4 per share. The company’s overall share price was up 2.5% at ₹332 per share by 11:03 AM. This increase happened because Go Digit released its financial results for the last three months (Q3FY26), showing strong growth in several key areas.

Key Points

• Go Digit’s net profit grew by 20.9% to ₹140 crore.
• Gross direct premiums rose significantly, up 20.9% to ₹2,557 crore.
• Assets under management increased by 18.8% to ₹22,509 crore.
• The Combined Ratio (CoR) rose to 110.7%, impacting profitability.
• Analysts recommend ‘Sell’ with a target price of ₹290.
• High valuation (30x FY28E P/E) presents a risk.

During Q3FY26, Go Digit made ₹140 crore in profit – that’s a lot more than the ₹119 crore they made the year before. They sold more insurance policies, with gross direct premiums reaching ₹2,557 crore, which is a 20.9% jump compared to ₹2,115 crore in the same period last year. This growth shows the company is successfully attracting new customers and selling more policies.

Their gross written premiums – the total value of policies sold – also increased by 8.7% to ₹2,909 crore. Go Digit’s investments, or assets under management, grew by a healthy 18.8% to ₹22,509 crore, showing they are wisely using their money.

However, there were some challenges. Go Digit’s ‘Combined Ratio’ (CoR) – which measures how efficiently they’re running their business – went up to 110.7%. This means they spent more money on claims and operating costs than they earned from premiums.

An analyst at Emkay Global Financial Services suggested that the company’s growth looks weaker than other insurance companies, partly because of how they account for payments from a large government contract. They lowered their financial predictions and believe the company’s stock is currently too expensive.

Ultimately, Go Digit’s success depends on balancing growth with efficient operations.