Healthcare
Hospitals
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Global Health is a leading tertiary care service provider with a strong brand name in North and East India. We maintain a 'BUY' rating on MEDANTA with a target price of INR 1,750 per share, supported by a strong growth outlook, impressive ramp-up of new greenfield assets, and Noida emerging as the next growth engine.
Revenue grew 27% YoY driven by strong IP/OP volume growth and improved realizations, with EBITDA (ex-ESOP) growing 25% YoY and stable margins.
Q1FY27 was a record quarter with robust volume-driven revenue and EBITDA growth, while the Noida unit's narrowing losses clear a major overhang. We retain a Buy rating with a higher price target of 1683, valuing the stock at 53x 1-year forward P/E.
Global Health delivered a better-than-expected 1QFY27 financial performance driven by volume-led outperformance and faster ramp-up of new facilities. We raise our estimates and maintain BUY with a target price of INR1,670.
Medanta delivered a strong Q1FY27 performance with revenue rising 26.5% YoY, though margins were compressed on the Noida hospital ramp-up. Management's outlook remains focused on volume-led growth across its expansion pipeline, targeting a return of consolidated EBITDA margins to the 25-26% range as newer assets mature.
Ratings and target prices as published by each firm. Each summary condenses that firm's stated view in its own note and is attributed to it; no report text is reproduced.
