Is Apollo Hospitals overvalued or undervalued?

As of 10 September 2025, Apollo Hospitals' valuation grade has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued based on its financial metrics. Key ratios include a PE ratio of 72.53, an EV to EBITDA of 37.26, and a ROE of 17.61%. When compared to its peers, Apollo Hospitals' PE ratio is lower than that of Max Healthcare, which stands at 95.29, and Fortis Health at 79.15, both categorized as very expensive. Despite this, Apollo's valuation remains elevated, suggesting that while it is not overvalued, it is also not positioned as a bargain compared to its competitors. Notably, Apollo Hospitals has outperformed the Sensex over various periods, including a 14.52% return over the past year, reinforcing its competitive standing in the market.