Is Apollo Hospitals overvalued or undervalued?

As of 18 September 2025, Apollo Hospitals has moved from a fair to an attractive valuation grade, indicating a positive shift in its market perception. The company is currently considered undervalued, especially when compared to its peers. Key ratios include a PE Ratio of 71.62, an EV to EBITDA of 36.82, and a ROE of 17.61%.
In comparison to peers, Apollo Hospitals stands out with a lower PE ratio than Max Healthcare at 94.6 and Fortis Health at 78.77, both of which are categorized as very expensive. Additionally, Apollo's PEG Ratio of 1.38 suggests a more favorable growth outlook relative to its price, especially when juxtaposed against peers like Aster DM Health, which has a PEG of 88.54. Notably, Apollo Hospitals has outperformed the Sensex with a 1-year return of 11.94% compared to the Sensex's mere 0.08%, reinforcing its attractive valuation narrative.