Global Health Limited

Healthcare — Medical Care Facilities · NSE

₹1,232.00−₹43.50 (−3.41%)

DalalBaazaar Score

69 / 100

🟢 Good

Verdict

NEUTRAL

Risk

Moderate

Driven by negative free cash flow, a very high earnings multiple, which leaves little margin for disappointment, falling profits.

In simple words: Strong business and financial position, though profits are falling even as sales grow. Cash generation is currently the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:49 pm

Understanding the Business

Company site ↗

The 60-second version of Global Health Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

Global Health Limited, together with its subsidiaries, provides healthcare services in India.

IndustryMedical Care Facilities

SectorHealthcare

Employees12,600

Annual revenue₹4,318 Cr

How does it make money?

Turns over ₹4,318 Cr a year. Of every ₹100 of sales, about ₹13 reaches shareholders as profit, with ₹24 left at the operating level before interest, tax and depreciation. Each of its 12,600 employees supports ₹34.3 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹34.3 lakh

Who are its competitors?

The closest listed comparisons in its industry are APOLLO HOSPITALS ENTER. L, SUN PHARMACEUTICAL IND L, CIPLA LTD. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Some evidence

ROCE of 15.0% is above what capital typically costs, which suggests some pricing power, though not yet the sustained, wide gap that marks a durable advantage.

Peer median ROE14.5%

What is the outlook?

18 analysts covering the stock expect revenue to grow about 15.8% and earnings to grow about 25.7% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+15.8%

Est. earnings growth+25.7%

Analysts18

What has been driving growth?

Growth has come mainly from selling more, rather than from keeping more of each sale. Over 3 years revenue moved +61% while net margin moved +6% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+61%

Margin effect+6%

DalalBaazaar Score

69/ 100

Good

Weighted across six categories. Every point is explained below.

✗ P/E of 59.6x is demanding — it needs sustained high growth to justify
• P/E is close to its own historical median of 66.8x
✗ P/B of 8.35x is a steep premium to book

Quality vs. Valuation

Company Quality

77/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

32/ 100

Expensive

What you are being asked to pay, ignoring how good the business is.

A good business, but the price already reflects that. The quality is real; the question is whether you are overpaying for it today.

Historical Valuation

Current P/E

59.6x

3Y Median

66.8x

40 monthly readings · mean 72.1x · range 53.6x–115.0x

Sector Median

34.9x

median of 3 sector peers

🟢Current valuation is approximately 11% below its 3y median of 66.8x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

⚠️Against its sector it trades 71% above the peer median of 34.9x.

vs. its own history

Fair

66.8x median over 40 months · -11%

vs. sector peers

Expensive

34.9x median of 3 peers · +71%

vs. generic bands

Expensive

Above 35x

EV/EBITDA

33.1x

PEG

3.05

What's Good / What's Bad

🟢 What's Going Well2

Very low debt
Debt/Equity of 0.30x leaves the balance sheet with plenty of headroom.
Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention1

Margins are compressing
EBITDA margin has slipped from 25.5% to 23.9% over 3 years.

Red Flags

2 items require attention · 1 high · 1 watch

🔴Receivables growing faster than salesFinancial
Receivables up 112% against revenue up 61% — sales are being booked faster than they are collected.
🟡Free cash flow is negativeFinancial
Free cash flow was -₹264 Cr in the latest year.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Margins are being competed away
EBITDA margin has fallen from 25.5% to 23.9%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Sales are being booked faster than collected
Receivables are up 112% against revenue up 61%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
A premium to the sector to defend
It trades 71% above the peer median. That premium needs a reason that persists, or it closes.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 13% a year✓ 17.2% CAGR
Latest reported year was 26.5%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 22%✓ 23.9%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Free cash flow remains positive✗ -₹264 Cr
Profit that never becomes cash eventually stops being profit.
4Debt / EBITDA stays below 2x✓ 1.2x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.
5ROCE stays above 12%✓ 15.0%
Falling returns on capital are usually competition arriving, and show up here before they reach the margin.

Investment Checklist

7 / 12 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✓ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✗ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✓ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✗ Profit growing year-over-year
✗ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

4 good · 3 neutral · 4 weak

Market Cap

₹33,107 Cr

Mid Cap

Mid-sized — more growth headroom, but sharper swings than large caps

P/E (Trailing)

59.6x

Expensive

Expensive — verify against sector peers

P/B Ratio

8.35x

Rich

Steep premium to book — needs high, durable returns to justify

EPS (TTM)

₹20.68

Profitable

Profitable on a per-share basis

ROE

14.0%

Moderate

Moderate capital efficiency

ROCE

15.0%

Strong

Earns comfortably above its likely cost of capital

Debt/Equity

0.30x

Low

Conservative leverage

Revenue Growth (YoY)

26.5%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-0.2%

Falling

Profits are shrinking

Dividend Yield

0.04%

Modest

Small cash return — most of the return has to come from the price

Free Cash Flow

-₹264 Cr

Cash burning

Spending more cash than the operations bring in

More Metrics

P/E (Forward)

36.7x

Improving

Below the trailing multiple — the street expects earnings to grow into the price

Operating Margin

16.7%

Good

Healthy core-business profitability

Net Margin

11.9%

Good

Strong bottom-line conversion

Current Ratio

2.67

Comfortable

Healthy short-term liquidity

Beta (vs Nifty)

0.16

Defensive

Steadier than the market

52W Range Position

47%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

1373.3 / 1412.1

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

11.0

Oversold zone

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2,683 Cr	₹3,241 Cr	₹3,637 Cr	₹4,318 Cr	+17.2%
EBITDA	₹685 Cr	₹892 Cr	₹1,017 Cr	₹1,033 Cr	+14.7%
EBITDA Margin	25.5%	27.5%	28.0%	23.9%	—
PAT (Net Profit)	₹326 Cr	₹478 Cr	₹481 Cr	₹556 Cr	+19.5%
EPS	₹12.57	₹17.8	₹17.92	₹20.66	+18.0%
ROE	13.4%	16.5%	14.2%	14.0%	—
ROCE	14.9%	19.0%	17.1%	15.0%	—
Total Debt	₹1,122 Cr	₹802 Cr	₹718 Cr	₹1,190 Cr	+2.0%
Free Cash Flow	₹409 Cr	₹333 Cr	-₹24 Cr	-₹264 Cr	—

🟢 Revenue has grown at 17.2% a year over 3 years.

🟢 EBITDA has grown at 14.7% a year over 3 years.

🔴 EBITDA Margin has fallen from 25.5% to 23.9% over 3 years (-1.6 pts).

🟢 PAT (Net Profit) has grown at 19.5% a year over 3 years.

🟢 EPS has grown at 18.0% a year over 3 years.

🟡 ROE has held roughly flat at 14.0% over 3 years.

🟡 ROCE has held roughly flat at 15.0% over 3 years.

🟡 Total Debt has been broadly flat over 3 years (2.0% a year).

🔴 Free Cash Flow has turned negative, from ₹409 Cr to -₹264 Cr.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹5,905 Cr

Total Liabilities

₹1,921 Cr

Cash & Equivalents

₹127 Cr

Operating Cash Flow

₹714 Cr

Capex

-₹979 Cr

Shareholding (proxy)

Institutional Holding

23.3%

Insider Holding

66.4%

Corporate Actions

Dividend Rate

₹0.5

Ex-Dividend Date

14 Aug 2026

Analyst Consensus

Recommendations

17 Buy · 2 Hold · 0 Sell

Target Price (Mean)

₹1,599.05

+29.8% vs CMP

Target Range

₹1,410 – ₹1,799

Peer Comparison

Company	P/E	ROE
APOLLO HOSPITALS ENTER. L	54.3x	22.0%
SUN PHARMACEUTICAL IND L	34.9x	14.5%
CIPLA LTD	31.8x	9.8%

Recent News

3 mixed3 general

Global Health Share Price Update on Healthcare Weakness

Univest, 16 Oct

MEDANTA Forecast — Price Target — Prediction for 2027

TradingView, 25 JunAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Global Health (MEDANTA) Share/Stock Price Live, NSE

TechGraph, 09 Oct

Global Health Limited Just Recorded A 12% EPS Beat: Here's What Analysts Are Forecasting Next

Simply Wall Street, 03 AugAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

HDFC Mutual Fund buys additional 10 lakh shares of Global Health for Rs 130 crore

The Economic Times, 25 Jun

Global Health Shares Fall 2.37%

Moneycontrol.com, 11 AugPrice move

🟡Mixed / dependsA price move rather than a change in the business. If the figures on this page have not moved, the fall is either an opportunity or news they have yet to catch up with.

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.
RSI is in oversold territory — could mean either a bargain or a stock still falling for good reason. Check the 'why' before assuming reversal.

DalalBaazaar Thesis

StrongBusiness Quality · Financial Health · Growth · Profitability

MiddlingRisk

WeakValuation

Points for each in the Score ↑

Good business, demanding price

The quality is real and the price already reflects it. Buying here is a bet that the business keeps compounding for long enough to grow into the multiple — which good businesses often do, but it removes the margin for error that a lower price would have given you. 1 high-severity red flag sits above this conclusion and should be read first.

1 of 5 tripwires tripped — Free cash flow remains positive · see Key things to watch ↑