How to value life insurance company? | Embedded value and distance to market cap

Life insurance companies are generally valued using the Price / Embedded value ratio. But the ratio can be extremely misleading when comparing large established firms with relatively small and newer firms.
In this video, I talk about an alternative to Price / Embedded value approach called as the distance to market approach.
You will learn this with real life example taking the IPO of Life Insurance Corporation.
In this video, we do a comparison of LIC IPO valuation with other listed insurance companies in India to understand the valuation aspect.

[@saibhargav4236]

Upload videos regularly sir related to finance , analytics many learners would benefit

[@aurillel6264]

Excellent

[@rameshamoily5524]

Hi Sir, This great content, can you please share saas metrics & saas valuation content ?

[@SanthishPSG]

Brilliant

[@PaulRichards1]

I would never buy an insurance company trading for more than Embedded Value. EV is the max value if the company was perfectly capital efficient in the future. That never happens. I would only buy a company if it was trading for like 25% - 50% of EV.