healthcare

Apollo Hospitals

APOLLOHOSP · Nifty 50

8,427.5

Price 2026-06-17

BROAD EXPANSION73% confidence

At a Glance

ValuationPE 62.9 (56%ile of 5Y range 50-78). Trading near median.
Sector Positionhealthcare sector. Flow: neutral. is not among current leaders. Regime: BROAD EXPANSION (73%).
Fundamental Score100/100 (STRONG). 2 positive flags, 1 concerns.
Historical Context169 similar technical setups. Average outcome: -8.2% decline. 0% positive.
Revenue TrendRevenue growing at 18.1% YoY. Strong revenue growth — 18.1% YoY

Fundamental

100/100

STRONG

Trust

95/100

Verification

Coverage

89/100

HIGH

Quick Take

Apollo Hospitals scores 100/100 on fundamentals (strong). Apollo Hospitals: PE above historical average. BROAD EXPANSION regime.

Fundamental Score: 100/100 · STRONG · 2 signals detected

DuPont Analysis

ROE 19.6% broken into three drivers. Each shows how efficiently the company generates returns.

ROE19.6%=
7.6%Net Margin
×
1.1xTurnover
×
2.3xLeverage

ROE of 19.55% is moderate efficiency-driven and stable. Net margin of 7.6% × asset turnover of 1.1x × leverage of 2.3x.

What This Means

Net margin of 7.6% means the company keeps ₹7.6 as profit for every ₹100 of revenue. This is a moderate-margin business. Asset turnover of 1.10x means the company efficiently uses its assets to generate revenue. Leverage of 2.3x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.

Margin Structure

Gross

47.9%

Operating

12.1%

Net

7.6%

improving

Gross margin 47.9% → operating margin 12.1% → net margin 7.6%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.

Financial Health

Earnings Quality

STRONG

Cash flow covers net income 1.5x — earnings are HIGH QUALITY. The company converts profit to cash efficiently.

Debt Sustainability

COMFORTABLE

Interest covered 6.5x — very comfortable. Debt service is not a concern. Debt/EBITDA at 2.2x is moderate.

Free Cash Flow

STRONG

FCF margin at 3.6% — moderate. Generating cash after investments.

Peer Comparison

Apollo Hospitals is compared against 5 peers in the healthcare sector.

Key Watchpoints

🟢

Breaks above ₹8849 (+5%)

Trend reversal confirmation

🔴

Breaks below ₹8006 (-5%)

Further downside risk

🟡

PE reverts to 5Y median of 62.8

Valuation normalization

🟢

Healthcare sector entering leadership

Sector rotation signal

Detected Patterns

➡️ Leverage Slowly Rising: Debt growing faster (56.7%) than equity (15.4%)
✅ High Earnings Quality: Cash flow covers earnings 1.5x — strong cash conversion

Risk Flags

🔴 1 Critical2 Positive3 total flags
🔴Cash covers only 13% of current liabilities
Balance Sheet

Liquidity squeeze. Company may struggle to meet short-term obligations without refinancing.

Minimal unusual items — clean earnings
Earnings Quality

Profits are from core operations, not one-offs. High quality.

Strong analyst consensus: strong_buy (30 analysts)
Valuation

Mean recommendation: 1.4/5 (1=Strong Buy, 5=Strong Sell). Institutional confidence is high.

⚠️ 1 critical + 0 warning flags. Exercise caution.

Data Quality

95/100All ratios self-computed from verified sources. 🟢 5 years of financial data — sufficient for trend analysis

News Correlation

margin pressure (4)management outlook (4)
⚠️ Our margin analysis (improving) contradicts news reports of margin pressure — investigate

50 articles scanned for fundamental themes

Facts

P/E Ratio
62.9HIGH
P/B Ratio
12.9HIGH
ROE
21.5%HIGH
Market Cap
₹12218820.2L CrHIGH
From 52W High
98% of high
Promoter Holding
28.0%MODERATE
Institutional
50.5%
Sector Peers
5
Apollo Hospitals Stock Analysis, Valuation, Fundamentals & Intelligence | FynSight