Look at the forward PE.
Q1 EPS = 4.1
Expected FY26 EPS: 15
Now, if you calculate the PE it comes out to be 40.
And believe me, this is a great growth stock and justifies this valuation as there is no competition.
Only the current management can spoil its run, that too from some fraud / short sightedness. Otherwise Ayurved is too big a sector and the leading players have high probability in easily going to 100k mcap in 10 years time.
I am nowhere saying that this company will be the leader but it is the leader as on date by far far bigger margin and taking right steps be it expansion and the capital allocation.
Sky is the limit if you consider the need of ayurved, the visibility it can get worldwide.
Don’t look at the ROCE, PEG, CAGR etc else one can get biased.
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If your entire analysis of an 8,500+ Cr company with 2,100+ beds, 74% YoY revenue growth, and 45% EBITDA margins boils down to digging up one old article about a single sealed clinic….
My 2 cents: that’s not research, you’re mistaking clickbait for due diligence.
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Just sharing thoughts of Sajal Kapoor on JeenaSeekho
It’s free for the next 18 hours.
Hope you find it useful.
Juggernaut on the roll?
Can this do an annual EPS of 20…
Waiting for the concall now…
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Q2 2026 Concall - Key takeaways for me…
Launch of new products (ten plus )
Likely partnering with Entrero for distribution of products
Likey launch of franchise model with profit sharing structure (50 hospitals)
Likely inclusion of Ayurved treatment with Ayushmaan Bharat Scheme (will initiate a ramp up of leasing College based Hospitals model)
If these triggers play out in short term, the current rising trend in key profitability parameters may get the required tailwinds.
Surprisingly some words of caution thrown in by the promoter…
H1 relatively better than H2…
Long term profit margins reiterated in the range of 20-25% as against the current 31%…
No revision the guidance for the CFY either of rooms or profitability
Growth likely to slow down?..lets watch
Disclosure - invested and biased.
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