Apollo Hospitals Adjusts Valuation Grade, Highlighting Competitive Position in Healthcare Sector

Apollo Hospitals Enterprise has recently undergone a valuation adjustment, reflecting its current standing in the Hospital & Healthcare Services industry. The company boasts a price-to-earnings (PE) ratio of 70.84 and an EV to EBITDA ratio of 33.63, indicating a robust market position. Additionally, Apollo's return on capital employed (ROCE) stands at 16.94%, while its return on equity (ROE) is recorded at 15.77%.
In comparison to its peers, Apollo Hospitals presents a more favorable valuation profile. For instance, Max Healthcare has a significantly higher PE ratio of 102.95, while Fortis Health and Narayana Hrudaya also exhibit elevated valuations. This positions Apollo as a competitive player within the sector, particularly when considering its PEG ratio of 1.07, which suggests a balanced growth perspective relative to its earnings.

Despite a recent decline in stock price, with a current price of 6454.80 compared to a previous close of 6530.35, Apollo's long-term performance remains noteworthy. Over the past five years, the company has achieved a remarkable return of 452.78%, outpacing the Sensex's return of 160.29% during the same period. This performance underscores Apollo's resilience and strategic positioning in the healthcare market.