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Will the LIC Share Price jump back again?

The LIC IPO allotment was announced on May 12, 2022. However, the LIC shares fell 8.62% on market debut despite investors bidding for nearly three times the shares on offer! Will the LIC share price jump back again?
LIC, India’s biggest insurer ended trading at ₹875.25 on its debut and is valued at around ₹5.54 trillion, making it India’s fifth-most valuable company.
Current Evaluation of LIC
LIC’s tepid debut came in even as the broader stock market surged 2.54%, led by a rally in metal stocks.
LIC Performance vs Other Stocks
Due to attractive valuations & stability in the markets, analysts expect some buying interest in the stock both from retail and institutional investors.
What do Analysts Say about LIC stock?
While LIC debuted at a slight discount to its issue price, investors should not look to exit at current levels and hold the stock from a medium to long-term perspective.
Opinion of CEO of Axis Securities on LIC
LIC continues to be a good bet in the long term as it is a play on the growth story of the under-penetrated life insurance industry.
What do Experts Suggest?
Inherent volatility in embedded value in LIC is another big challenge, given a substantial portion of it constitutes marked-to-market unrealised equity gain.
Other Challenges
Its sustained market leadership position, robust pan-India distribution network, and shifting focus towards profitable products, will collectively make LIC an attractive pick.
Why Will the LIC Stocks Jump back?
LIC could perform well when there is a bounce in the market and positive performance in the insurance sector.
External factors for LIC to Boom
LIC’s stock debuted on exchanges at ₹867.20, a discount to its IPO allotment price of ₹949, as weak investor sentiment and market volatility in recent days took a toll on it.
Debut Price vs Allotment Price
Selling high-margin non-par products that provide policyholders a share of policyholder’s surplus requires a change in mindset and its agency force, which is LIC’s biggest challenge.
LIC’s Challenge to Scale Up?
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