Apollo Hospitals (APOLLOHOSP)

FairStock Score: 57/100 — STEADY

Score breakdown: P/E: 0/3 · ROCE: 1/2 · Growth: 2/2 · Dividend: 0/1

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

I wear two hats: Buffett's desire for durable quality and Graham's insistence on margin of safety. Apollo's quality signals are real: ROE 21.94%, ROCE 16.64%, sales growth 22.85%, profit growth 25.51%, five-year revenue CAGR 14.15%, Piotroski F-Score 8/9, and Altman Z-Score 5.40. The latest quarter showed Sales ₹6,477 Cr and Net Profit ₹516 Cr, while promoter holding is 28.02%. That suggests a steady hospital compounder with capital efficiency and reasonable financial health. But I cannot ignore the price. At ₹8,920.50, market cap ₹1.28 lakh Cr, P/E 61.35, P/B 13.53, PEG 2.79, and EV/EBITDA 173.75, the market is already paying richly for future growth. Graham would recoil: Graham Number is ₹1,268.95, leaving a margin of safety of -516.38%. The balance sheet carries Debt/Equity 0.85, and Free Cash Flow is negative ₹1,245 Cr, so growth is not yet funding itself. Dividend yield is only 0.22%, and the stock trades near its 52-week high of ₹9,099.95. A P/E of 61.35 and EV/EBITDA of 173.75 leave no room for execution mistakes. Debt/Equity 0.85 is not alarming by itself, but with negative free cash flow it deserves watching. FairStock Score 57/100 STEADY captures it: good business, not a bargain. If I owned it, I would demand proof that profit growth continues and free cash flow turns positive. If I did not, I would wait for Mr. Market to offer a Graham-style discount. Quality yes; price no.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data from BSE/NSE filings. AI analysis is for educational purposes only — not investment advice. Scoring methodology · Disclaimer