Dashboard/MEDANTA

MEDANTA

OVERVALUED

Global Health (Medanta)

Healthcare · NSE

↓ 172.7% vs fair value

52W Low

₹956

+8.2% from low

52W High

₹1,457

-28.9% from high

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Analyst Note

Today

Global Health (Medanta) trades at ₹1,034.85, significantly overvalued against a fair value of ₹379.46, with a -163.5% margin of safety. The stock sports an elevated PE of 52.3x and a concerning -24 Cr free cash flow, despite 18.8% revenue growth, while earnings have contracted 33.5% year-on-year despite strong 5-year growth. ROCE is improving at 17.1% and leverage remains moderate at 0.25x debt-to-equity, but the healthcare sector's rich valuations and paper profit quality suggest caution. Better suited for growth-focused investors with high risk tolerance and a long-term horizon.

Valuation Gauge

OVERVALUED-172.7% Margin of Safety

OVERVALUEDFAIRLY VALUEDUNDERVALUED

Current Price

₹1,035

Fair Value

₹379

Fair Value Analysis

₹379

Based on balance sheet strength analysis and earnings growth potential for Healthcare sector companies | Sector-expensive: P/E at 76th percentile vs sector peers. | ROCE improving (latest 21.6%) — capital allocation becoming more efficient.

Medium confidence

Balance Sheet Value

33% weight

₹244

Growth Valuation

67% weight

₹447

Price vs Market

MEDANTA

Nifty 50

Shareholding Pattern

Stock Health Score

B+

Financially Healthy

7.2 / 10

Profitability

8/10

ROE of 13.8% is acceptable for Healthcare sector (benchmark: 15%)

Debt & Leverage

10/10

D/E ratio of 0.3x is well within the Healthcare sector norm of 0.8x — strong balance sheet

Valuation vs Peers

10/10

P/E of 52.3x trades at a 67% discount to Healthcare sector median (160x) — attractively valued

Cash Flow

1/10

Negative FCF of ₹-24 Cr — company is consuming more cash than it generates

Earnings Growth

10/10

5yr EPS CAGR of 34.9% is well above the Healthcare sector average of 18.7% — strong growth

Dividend

4/10

Dividend yield of 0.1% is symbolic — low but positive

Sentiment Trend — Last 30 Days

Historical Returns

Key Ratios & Growth

FCF Yield

-0.4%

Free cash flow / market cap

Revenue Growth (YoY)

+18.9%

Year-on-year revenue change

Profit Growth (YoY)

-33.6%

Year-on-year PAT change

Operating Cash Flow

₹624 Cr

TTM cash from operations

Key Financials

EPS (TTM)

₹19.1

P/E Ratio

52.3x

P/B Ratio

7.2x

ROE

13.8%

ROCE

17.2%

Debt / Equity

0.25x

Beta

-0.02

Div Yield

FCF (Cr)

₹-24 Cr

Revenue (Cr)

₹3,637 Cr

EPS Growth 5Y

34.9%

Mkt Cap (Cr)

₹26,880 Cr

52W High

₹1,456.5

52W Low

₹956

Book Value/Share

₹138.2

Financial History

Period	Revenue	Op Profit	OPM%	PAT	EPS
TTM	₹4.2K Cr	₹920 Cr	22.0%	₹514 Cr	₹19.13
2025-03-31	₹3.7K Cr	₹886 Cr	24.0%	₹481 Cr	₹17.92
2024-03-31	₹3.3K Cr	₹809 Cr	25.0%	₹478 Cr	₹17.81
2023-03-31	₹2.7K Cr	₹637 Cr	24.0%	₹326 Cr	₹12.16
2022-03-31	₹2.2K Cr	₹458 Cr	21.0%	₹196 Cr	₹7.75
2021-03-31	₹1.4K Cr	₹197 Cr	14.0%	₹29 Cr	₹5.81
2020-03-31	₹1.5K Cr	₹192 Cr	13.0%	₹36 Cr	₹7.36
2019-03-31	₹1.5K Cr	₹172 Cr	12.0%	₹51 Cr	₹10.44
2018-03-31	₹1.3K Cr	₹125 Cr	9.0%	₹33 Cr	₹6.78
2016-03-31	₹1.4K Cr	₹301 Cr	22.0%	₹170 Cr	₹35.10

Compounded Growth Rates

Sales Growth

3Y+15.6%

5Y+23.6%

10Y—

Profit Growth

3Y+16.4%

5Y+77.7%

10Y—

EPS Growth

3Y+16.3%

5Y+26.9%

10Y—

Peer Comparison

Healthcare

Stock	Price	Fair Value	MoS%	P/E	ROE	Signal
ALPA Alpa Laboratories Limited	₹62.1	₹198.5	+68.7%	9.4	13.4%	FAIRLY_VALUED
ASTERDM Aster DM Healthcare	₹670	₹1,585.8	+57.8%	103.2	7.9%	UNDERVALUED
UNICHEMLAB Unichem Laboratories Limited	₹300	₹592.5	+49.4%	7.1	12.1%	FAIRLY_VALUED
DCAL Dishman Carbogen Amcis Limited	₹147.6	₹281.2	+47.5%	19.5	1.9%	FAIRLY_VALUED
VIMTALABS Vimta Labs Limited	₹414.8	₹722.6	+42.6%	24.6	16.6%	UNDERVALUED
MOREPENLAB Morepen Laboratories Limited	₹38.4	₹52.8	+27.2%	21	10.8%	FAIRLY_VALUED
INDRAMEDCO Indraprastha Medical Corporation Limited	₹410	₹462.6	+11.4%	20	20.6%	FAIRLY_VALUED
KRONOX Kronox Lab Sciences Limited	₹133	₹130.7	-1.8%	16.9	24.8%	FAIRLY_VALUED