healthcare
Max Healthcare
MAXHEALTH · Nifty 50
₹1,026.15
Price 2026-06-17
At a Glance
Fundamental
85/100
STRONG
Trust
95/100
Verification
Coverage
89/100
HIGH
Quick Take
Max Healthcare scores 85/100 on fundamentals (strong). Max Healthcare: PE below historical average. BROAD EXPANSION regime.
Fundamental Score: 85/100 · STRONG · 0 signals detected
DuPont Analysis
ROE 13.4% broken into three drivers. Each shows how efficiently the company generates returns.
ROE of 13.43% is moderate margin-driven and stable. Net margin of 17.2% × asset turnover of 0.49x × leverage of 1.6x.
What This Means
Net margin of 17.2% means the company keeps ₹17.2 as profit for every ₹100 of revenue. This is a healthy margin. Asset turnover of 0.49x means the company generates ₹0.49 of revenue for every ₹1 of assets. This is a capital-heavy business. Leverage of 1.6x means the company uses moderate debt. Returns are primarily driven by operations, not borrowing.
Margin Structure
Gross
78.6%
Operating
22.8%
Net
17.2%
Gross margin 78.6% → operating margin 22.8% → net margin 17.2%. Margins are IMPROVING. Strong pricing power with stable gross margins suggests the improvement is from operating leverage — sustainable.
Financial Health
Earnings Quality
ADEQUATECash flow covers net income 1.1x — earnings are ADEQUATE quality. Cash conversion is reasonable.
Debt Sustainability
COMFORTABLEInterest covered 8.1x — very comfortable. Debt service is not a concern. Debt/EBITDA at 1.5x is low — balance sheet has capacity.
Free Cash Flow
MODERATEFCF margin at 1.8% — barely positive. Limited cash after capex.
Peer Comparison
Max Healthcare is compared against 5 peers in the healthcare sector.
Key Watchpoints
Breaks above ₹1077 (+5%)
Trend reversal confirmation
Breaks below ₹975 (-5%)
Further downside risk
PE reverts to 5Y median of 68.7
Valuation normalization
Healthcare sector entering leadership
Sector rotation signal
Risk Flags
Tight liquidity. Monitor cash position and access to credit lines.
High revenue multiple. Market pricing in significant growth or margins expansion.
Profits are from core operations, not one-offs. High quality.
➡️ 3 flags — 1 positive, 2 warning. Mixed profile.
Data Quality
News Correlation
50 articles scanned for fundamental themes