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Buy or Sell: Medanta Share Price Target 2024, 2025, 2030, 2035 Long-Term Prediction

HP Jinjholiya

24 August 2024

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Today, we are going to estimate the Medanta Share Price Target 2024 to 2050 Long Term Prediction. Medanta is listed on the NSE under the symbol “MEDANTA” and on the BSE with the code “543654”. let’s analyze the future of Global Health shares as well, including whether it’s a good time to buy or sell them today.

Additionally, we will also take into analysis Medanta Share Recommendations from various brokerage firms, including Target’s High Price, Target’s Low Price and Recommendation at the end of the article.

Profile of Medanta

Keep an eye on Medanta’s share price today with real-time updates, and examine its performance on the stock market through comprehensive charts that display the fluctuations in Medanta’s stock price.

Medanta Share Price Today

About Medanta Company

Medanta, a renowned healthcare institution, is at the forefront of revolutionizing medical care in India. Established with a vision to deliver world-class healthcare services, Medanta has become a beacon of hope for patients nationwide.

The institution offers a wide range of medical and surgical interventions across more than 20 specialities, including a comprehensive cancer health unit. Looking ahead, Medanta is poised for remarkable growth and expansion. With a strategic focus on increasing its bed capacity to over 3,500 beds in the next few years, Medanta aims to deepen its presence in North and Central India.

The upcoming Noida facility, set to commence operations by the end of FY25, is a testament to Medanta’s dedication to serving a wider patient community. This state-of-the-art facility, with an initial capacity of 300 beds, is designed to cater to the burgeoning healthcare needs of the Delhi-NCR region, particularly from areas such as Dehradun and Meerut.

Additionally, Medanta’s plans to establish a 400-bed hospital in South Delhi, in collaboration with DLF, further exemplify its commitment to expanding its presence throughout the NCR area.

Medanta Share Price History

 Financial of Medanta

Conduct a SWOT analysis of Medanta Share based on its financials. We will break down the key elements of strengths, weaknesses, opportunities, and threats using the financial data.

Strengths–

Robust Revenue Growth: Medanta has demonstrated a strong upward trend in total revenue, growing from ₹14,306.14 Crore in 2020 to ₹30,147.23 Crore in the trailing twelve months (TTM). This indicates successful business expansion and increased market penetration.

High Gross Profits: The company’s gross profit has shown consistent growth, increasing from ₹10,820.56 Crore in 2020 to ₹23,170.40 Crore in the TTM. This reflects efficient cost management and a strong pricing strategy.

Solid Operating Cash Flow: The operating cash flow has improved significantly, from ₹1,750.67 Crore in 2020 to ₹6,400.06 Crore in TTM, showcasing Medanta’s ability to generate cash from its core operations effectively.

Weaknesses–

Increasing Operating Expenses: There is a noticeable rise in operating expenses from ₹9,893.59 Crore in 2020 to ₹17,455.12 Crore in TTM. This could indicate escalating costs that might affect profitability if not managed properly.

Net Income Variability: While net income has generally increased, it shows variability with a significant jump from ₹288.05 Crore in 2020 to ₹4,088.58 Crore in TTM. Such fluctuations may concern investors seeking stability.

Opportunities–

Expanding Market: With the growing healthcare sector in India, there are ample opportunities for Medanta to expand its services and tap into new markets.

Technological Advancements: Investing in technology and digital health solutions can enhance operational efficiency and patient care, opening up new revenue streams.

Partnerships and Collaborations: Strategic alliances with other healthcare providers or research institutions can lead to innovation and better service offerings.

Threats–

Competitive Healthcare Sector: The Indian healthcare sector is highly competitive, with numerous players vying for market share, which could impact Medanta’s growth prospects.

Regulatory Changes: Changes in healthcare regulations or policies could affect operational costs and compliance requirements.

Economic Fluctuations: Economic instability can lead to fluctuating healthcare spending, affecting revenue streams.

An effective method for evaluating the Medanta share price Target is by examining research reports and analyses conducted by reputable financial institutions and brokerage firms. The latest research reports are available on Medanta.

Medanta Share Price Target

The financial services firm Motilal Oswal published the latest research report on Medanta Share Price Target, assigning a ‘buy’ rating with a share price target of Rs.1,170 from its current market price of Rs. 990.

Medanta has been riding a wave of success over the past few years, marked by a tripling in earnings and a remarkable 35% EBITDA CAGR. Notably, the company turned net cash in FY23 from a net debt of INR 3 billion in FY19. Since its listing in the third quarter of FY23, Medanta’s stock has more than doubled, reflecting investor confidence and market approval.

Looking ahead to FY23-26E, Medanta’s prospects remain bright. The company is on a robust growth trajectory, underpinned by an expansion plan that includes adding 552 beds to existing facilities and establishing new ones in Noida, Indore, and South Delhi, totalling 1,000 beds. This expansion is expected to significantly boost Medanta’s presence and capabilities.

Further enhancing the company’s growth prospects is the expected 6% CAGR in ARPOB (Average Revenue Per Occupied Bed) driven by an improving case mix and payor mix. ARPOB for mature and developing facilities is projected to reach INR 70,000 and INR 67,000, respectively, at a 5-6% CAGR over FY23-26.

Medanta’s earnings are anticipated to grow at a 28% CAGR over FY23-26. This growth is expected to come from the faster scale-up of existing hospitals, additional business from new hospitals, and better operating leverage. Consequently, Medanta has been valued at 26x 12-month forward EV/EBITDA, leading to a target price (TP) of INR 1,170, along with a strong recommendation to buy the stock.

In the first half of FY24, Medanta reported a total bed capacity of 2,725 and is focusing on expanding this to more than 3,500 beds over the next two to three years. The expansion plan includes adding beds in Gurugram, Lucknow, Patna, and Noida, as well as setting up a new 400-bed facility in South Delhi in partnership with DLF, expected to commence operations in the next four to five years.

Medanta’s strategic growth in North and Central India, especially the upcoming facility in Noida, is set to enhance its dominance in the NCR region. The Noida facility, with an initial 300 beds, is expected to open by the end of FY25 and will eventually expand to 500 beds. This expansion, coupled with the new South Delhi facility, is poised to boost Medanta’s presence in the NCR area significantly.

The company is also increasing its footprint in Madhya Pradesh, with a focus on Indore, which is emerging as a medical hub. Medanta already operates a 175-bed facility there and plans to build a 300-bed hospital, expected to start in FY27.

The Lucknow and Patna facilities of Medanta have shown impressive performance, with substantial year-on-year revenue growth. The company plans to increase the bed capacity in these facilities significantly by FY25.

We will analyze the performance of the company’s shares in recent times and provide you with a well-researched Medanta Share Price Target 2024, 2025, 2030 to 2050 based on our Research knowledge and forecasting.

Peer Comparison of Medanta

How to Buy Medanta Share

• Click on the “Open an Account in Upstox“
• Fill in the required details
• Complete the verifying your identity
• Login to Your Account
• Search for Medanta
• Place an Order.

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I would like to remind you that I am not authorized by SEBI to provide any financial advice or recommendations. As you know, Share price prediction is not an exact science, That’s why I am conducting in-depth research and using different AI tools to predict share prices.

Disclaimer– These Share Price Targets for “Medanta Share Price Target” are only provided for informational purposes. It does not constitute a recommendation to buy, sell, or hold Medanta stock. Investors should conduct their research and analysis and consult with financial experts before making any investment decisions— Sharedhan.com