Max Healthcare Institute Ltd.
NSE: MAXHEALTHMax Healthcare Institute Ltd.: A 30-second snapshot
Max Healthcare (₹1,094.75) is a hospital operator trading at a trailing PE of 74.22, the highest among the 6-stock Pharma peer group, with a forward PE of 45.12 implying meaningful earnings growth expectations. The stock is above its 50-DMA (₹1,010.96) and 200-DMA (₹1,064.34) after a 14.86% gain over 3 months, though it remains 16.7% below its 52-week high and 10.66% lower than 12 months ago.
P/E
74.2
Forward P/E
45.1
ROE
+14.3%
Debt / Equity
32.37
Profit Margin
+17.2%
Div. Yield
+0.1%
5Y ROE > 15%
0/5
5Y FCF > 0
4/5
Quality
52/100
News
8 headlines · 2 positive · 0 negative
Stock Radar: After a 24% correction, Max Healthcare breaks key resistance level; analysts see long-term po - The Economic Times
The Economic Times
Buy Max Healthcare Institute; target of Rs 1175: Prabhudas Lilladher - TradingView
TradingView
Max Healthcare Sets AGM Date, Record Date and Details Tax Rules on Final Dividend - TipRanks
TipRanks
Max Healthcare Sets AGM Date and Record Date for Final Dividend - TipRanks
TipRanks
Why Max Healthcare Institute's Saket Super Speciality Hospital keeps drawing serious patients - AD HOC NEWS
AD HOC NEWS
Recent context
- ·Max Healthcare announced its AGM date and record date for a final dividend (0.14% yield), with corporate-action filings noted across multiple sources in mid-June 2026.
- ·Prabhudas Lilladher issued a named action on Max Healthcare with a stated target of ₹1,175 (reported by TradingView, May 2026); this is a broker-attributed item and does not represent VivaTrades analysis.
- ·An Economic Times article (June 1, 2026) noted that the stock broke a key resistance level following a 24% correction, with the price recovery coinciding with the stock crossing its 200-DMA in recent weeks.
Strengths
- +Free cash flow positive in 4 of the available fiscal years, suggesting the hospital business generates cash despite capital-intensive expansion.
- +Forward PE of 45.12 represents a 39% compression from the trailing PE of 74.22, reflecting market expectations of significant earnings acceleration.
- +Revenue has grown at a 12.2% 5-year CAGR alongside a 17.23% net profit margin, indicating a profitable growth trajectory relative to the hospital-operator peer set.
- +Mean analyst rating of 2.0 across 25 analysts (1–5 scale, lower = more constructive), reflecting notable coverage depth for this segment.
Weaknesses
- −Debt-to-equity of 32.37 is substantially elevated for a hospital operator with a rising debt trend per persistence data, and ROE of 14.33% has not cleared 15% in any year of the available window — leverage has not produced commensurate equity returns.
- −Trailing PE of 74.22 is the highest in the 6-stock peer group, approximately 93% above SUNPHARMA (38.5) and 200%+ above DRREDDY (24.7), with a quality score of 37 that ranks 4th of 6 peers.
- −5-year earnings growth of 7.3% trails the 12.2% revenue CAGR, signalling ongoing margin or cost pressure that limits profit conversion from revenue expansion.
- −Quality score of 37 and consistency score of 43 both rank in the lower half of the peer group, and ROE has not surpassed 15% in any available fiscal year despite material debt usage.
Open questions
- ?Does the elevated debt-to-equity of 32.37 reflect a deliberate capacity-expansion strategy with a defined deleveraging timeline, or is debt accumulation outpacing the hospital network's ability to service and repay?
- ?How much of the forward PE compression from 74.22 to 45.12 relies on new hospital ramp-ups, and what is the track record of recently commissioned facilities reaching projected occupancy?
- ?With ROE consistently below 15% despite significant leverage, is capital allocation in the hospital expansion programme generating returns above the cost of debt?
- ?The 3-month price recovery of 14.86% brings RSI to 71.01 — does this reflect a fundamental re-rating driven by earnings, or a technical mean-reversion from an oversold trough earlier in the year?
Peer comparison: Pharma
Ranks 4 of 6 on quality| Symbol | Name | P/E | ROE | Quality |
|---|---|---|---|---|
| MAXHEALTH | Max Healthcare Institute Ltd.You're viewing | 74.2 | +14.3% | 37 |
| Industry avg | across 5 peers | 44.8 | +15.2% | 41 |
| SUNPHARMA | Sun Pharmaceutical Industries Ltd. | 38.5 | +14.7% | 59 |
| DIVISLAB | Divi's Laboratories Ltd. | 70.0 | +16.2% | 51 |
| APOLLOHOSP | Apollo Hospitals Enterprise Ltd. | 62.9 | +21.5% | 44 |
| DRREDDY | Dr. Reddy's Laboratories Ltd. | 24.7 | +11.8% | 25 |
| CIPLA | Cipla Ltd. | 28.2 | +11.7% | 24 |
Technical state
Current price
₹1,094.75
SMA 50
₹1,010.96
SMA 200
₹1,064.34
RSI (14)
71.0 (overbought)
From 52w high
-16.7%
1Y return
-10.7%
3M return
+14.9%
50-DMA
Above
200-DMA
Above
Algorithmic support levels
Algorithmic resistance levels
Risk flags
- highDebt-to-equity of 32.37 is substantially elevated for a hospital operator, with persistence data confirming a rising debt trend. ROE of 14.33% has not exceeded 15% in any year of the available persistence window, indicating leverage has not translated into commensurate returns on equity.
- mediumTrailing PE of 74.22 is the highest in the 6-stock peer group and sits approximately 93% above peers such as SUNPHARMA (38.5), CIPLA (28.2), and DRREDDY (24.7). Quality score of 37 ranks 4th of 6, meaning the highest valuation multiple in the peer set is not accompanied by a commensurate quality-rank advantage.
- mediumRSI of 71.01 is in overbought territory following a 14.86% price gain over 3 months. The stock is currently 16.7% below its 52-week high and has declined 10.66% over 12 months; the 3-month recovery has brought it above both the 50-DMA (₹1,010.96) and 200-DMA (₹1,064.34), but the momentum reading at current levels warrants monitoring.
- lowNews sample totals 8 articles (2 positive, 6 neutral, 0 negative). The modest volume may not capture all material developments, and the positive headline citing a Prabhudas Lilladher named-broker action is a single-source item.
Cross-section contradictions
- FCF has been positive in 4 of the available fiscal years, yet the debt trend is classified as rising — free cash generation has not translated into balance-sheet deleveraging.
- The stock has declined 10.66% over 12 months, yet the 3-month price change is +14.86% with RSI reaching 71.01 — a sharp near-term recovery is occurring within a longer-term drawdown context.
For informational purposes only. Not investment advice. VivaTrades is not a SEBI-registered Investment Adviser or Research Analyst. Market data sourced from public feeds; consult a registered adviser before any investment decision.
Fundamentals & technicals: refreshed 25 Jun 2026 · refreshed daily at 01:00 IST
AI synthesis (narrative, snapshot, strengths/weaknesses, peer ranking): generated 22 Jun 2026 · rotates through NIFTY 500 every ~5 days