Prabhudas Lilladher has suggested buying shares of Jupiter Life Line Hospitals (JLHL) and has set a target price of ₹1,720 per share.
In the fourth quarter, JLHL’s EBITDA (a measure of profitability) rose by 26% compared to last year and 4% compared to the previous quarter, reaching ₹783 million. This performance matched expectations and was supported by better income from each patient.
Read More: Bharat Electronics Stock Soars: Here’s Why This Could Be a Major Turning Point
The company has been running efficiently in the highly competitive Mumbai Metropolitan Region (MMR). Between FY22 and FY25, the company saw a 20% increase in revenue and a 25% rise in EBITDA on average every year.
Looking ahead, growth is expected to continue due to:
- Expansion plans,
- Higher occupancy (more patients using services),
- Better profit margins.
JLHL is also building new hospitals (greenfield expansions) in crowded areas of western India, which is expected to support long-term growth.
While EBITDA estimates for FY26 and FY27 remain mostly unchanged, the expected profit after tax (PAT) has been slightly lowered by around 11% due to increased costs like depreciation and interest.
Also See: GlaxoSmithKline Pharmaceuticals Reports 35.17% Increase in Net Profit for March 2025
The company is expected to deliver a 20% average growth in EBITDA and 16% growth in PAT from FY25 to FY27, along with strong returns of about 20%. Prabhudas Lilladher continues to recommend buying the stock, valuing it at 26 times FY27’s expected EBITDA, and keeps the target price at ₹1,720 per share.
Read More: Cipla Announces 16.85% Surge in Operating Profit for March 2025 Quarter..
