Global Health (MEDANTA)

FairStock Score: 56/100 — STEADY

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

Key Financials

AI Analysis

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

I look at Global Health (Medanta) as a hospital business whose price demands a lot. The balance sheet is not stretched: debt/equity is only 0.30, Altman Z-score is 6.06, and Piotroski F-score is 7/9, so solvency and accounting quality look reasonable. Returns are decent, not magical: ROE 15.17% and ROCE 19.74%. Revenue has compounded at 19.74% over five years, and latest quarter sales were ₹1,121 Cr with net profit ₹95 Cr. That tells me the business can grow. But the latest picture is mixed. Sales growth is 21.81%, yet profit growth is -9.65%. That gap suggests costs or margins are under pressure; a true moat should let a hospital grow revenue and profit together. Free cash flow is negative ₹97 Cr, so growth is consuming cash. Dividend yield is only 0.04%, and promoter holding is 33.01%, leaving outside shareholders with a meaningful stake but not a controlling promoter. Valuation is the biggest hurdle. At ₹1,422.60, market cap is ₹38,228 Cr, P/E is 68.96, and P/B is 9.65 versus book value of ₹147.47. Graham's number is only ₹234.33, giving a margin of safety of -385.99%. EV/EBITDA is -8.76, which I would not treat as comforting. The 52-week range is ₹956–₹1,525.65, so the market already prices a lot of future success. FairStock score 56/100 says steady, not wonderful. I would categorise it as a Stalwart: a quality-ish hospital operator with growth history but current earnings pressure. I would not buy at this price. I would wait for profit growth to turn positive, free cash flow to improve, and valuation to offer a margin of safety.

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