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Indian (NIFTY) Healthcare Sector Analysis

UpdatedJan 03, 2026
DataAggregated Company Financials
Companies318
  • 7D0.5%
  • 3M0.4%
  • 1Y-4.1%
  • YTD0.7%

The Healthcare is pretty flat in the last 7 days, but Ajanta Pharma has stood out, gaining 10.0%. As for the longer term, the industry has declined 5.4% in the last year. Earnings are forecast to grow by 20% annually.

Sector Valuation and Performance

Has the Indian Healthcare Sector valuation changed over the past few years?

DateMarket CapRevenueEarningsPEAbsolute PEPS
Sat, 03 Jan 2026₹30.5t₹5.7t₹772.6b33.8x39.5x5.3x
Mon, 01 Dec 2025₹30.8t₹5.7t₹767.7b33x40.2x5.4x
Wed, 29 Oct 2025₹30.7t₹5.5t₹736.7b35.7x41.7x5.6x
Fri, 26 Sep 2025₹30.3t₹5.5t₹730.2b36.9x41.5x5.5x
Sun, 24 Aug 2025₹30.7t₹5.5t₹730.0b36.3x42.1x5.6x
Tue, 22 Jul 2025₹31.0t₹5.3t₹732.0b37.7x42.3x5.8x
Thu, 19 Jun 2025₹29.3t₹5.3t₹728.3b36.4x40.2x5.5x
Sat, 17 May 2025₹28.6t₹5.3t₹705.9b34.6x40.6x5.4x
Mon, 14 Apr 2025₹28.1t₹5.2t₹680.2b32.8x41.3x5.4x
Wed, 12 Mar 2025₹26.7t₹5.2t₹680.1b31.2x39.3x5.1x
Fri, 07 Feb 2025₹29.1t₹5.2t₹665.0b35.8x43.8x5.7x
Sun, 05 Jan 2025₹30.2t₹5.0t₹648.5b39.3x46.6x6x
Tue, 03 Dec 2024₹29.1t₹5.0t₹642.9b39.1x45.3x5.8x
Thu, 31 Oct 2024₹28.6t₹4.9t₹618.5b41x46.2x5.8x
Sat, 28 Sep 2024₹29.4t₹4.9t₹605.3b42.9x48.6x6x
Mon, 26 Aug 2024₹27.9t₹4.9t₹602.6b38.5x46.4x5.7x
Wed, 24 Jul 2024₹25.5t₹4.7t₹555.5b36.8x45.9x5.4x
Fri, 21 Jun 2024₹24.0t₹4.6t₹546.3b36x43.9x5.2x
Sun, 19 May 2024₹23.3t₹4.7t₹542.7b35.7x42.9x5x
Tue, 16 Apr 2024₹22.7t₹4.6t₹512.8b33.7x44.3x4.9x
Thu, 14 Mar 2024₹21.9t₹4.6t₹512.5b31.5x42.8x4.8x
Sat, 10 Feb 2024₹22.7t₹4.5t₹511.2b37.9x44.4x5x
Mon, 08 Jan 2024₹21.2t₹4.4t₹476.9b37.1x44.5x4.8x
Wed, 06 Dec 2023₹19.7t₹4.4t₹476.1b33.2x41.4x4.5x
Fri, 03 Nov 2023₹17.8t₹4.3t₹461.1b32x38.6x4.1x
Sun, 01 Oct 2023₹18.3t₹4.3t₹451.6b33x40.5x4.3x
Tue, 29 Aug 2023₹17.8t₹4.2t₹450.7b31.4x39.5x4.2x
Thu, 27 Jul 2023₹17.2t₹4.1t₹425.8b29.5x40.3x4.2x
Sat, 24 Jun 2023₹15.9t₹4.1t₹425.6b28.1x37.4x3.9x
Mon, 22 May 2023₹14.3t₹4.0t₹394.9b28x36.3x3.6x
Wed, 19 Apr 2023₹13.9t₹3.9t₹373.0b26.2x37.2x3.6x
Fri, 17 Mar 2023₹13.1t₹3.9t₹373.6b24.6x35x3.4x
Sun, 12 Feb 2023₹13.5t₹3.8t₹377.9b26.4x35.8x3.5x
Tue, 10 Jan 2023₹14.0t₹3.7t₹377.3b28.1x37.1x3.8x
Price to Earnings Ratio

37.1x


Total Market Cap: ₹14.0tTotal Earnings: ₹377.3bTotal Revenue: ₹3.7tTotal Market Cap vs Earnings and Revenue0%0%0%
Indian Healthcare Sector Price to Earnings3Y Average 41.6x202420252026
Current Industry PE
  • Investors are relatively neutral on the Indian Healthcare industry at the moment, indicating that they anticipate long term growth rates to remain steady.
  • The industry is trading close to its 3-year average PE ratio of 41.6x.
  • The industry is trading close to its 3-year average PS ratio of 4.9x.
Past Earnings Growth
  • The earnings for companies in the Healthcare industry have grown 27% per year over the last three years.
  • Revenues for these companies have grown 16% per year.
  • This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.

Industry Trends

Which industries have driven the changes within the Indian Healthcare sector?

IN Market1.48%
Healthcare0.49%
Healthcare Services0.71%
Pharma0.55%
Medical Equipment0.45%
Life Sciences0.23%
Biotech-0.85%
Healthtech-2.50%
Industry PE
  • Investors are most optimistic about the Biotech industry which is trading above its 3-year average PE ratio of 53.1x.
    • Analysts are expecting annual earnings growth of 55.0%, which is higher than its past year's earnings decline of 53.0% per year.
  • Investors are most pessimistic about the Pharma industry, which is trading close to its 3-year average of 36.7x.
Forecasted Growth
  • Analysts are most optimistic on the Biotech industry, expecting annual earnings growth of 55% over the next 5 years.
  • This is better than its past earnings decline of 53% per year.
  • In contrast, the Pharma industry is expected to see its earnings grow by 16% per year over the next few years.

Top Stock Gainers and Losers

Which companies have driven the market over the last 7 days?

CompanyLast Price7D1YValuation
AJANTPHARM Ajanta Pharma₹2.95k10.0%
+₹33.4b		2.6%PE37.8x
500420 Torrent Pharmaceuticals₹3.88k1.9%
+₹24.4b		14.3%PE61.4x
SUNPHARMA Sun Pharmaceutical Industries₹1.73k0.5%
+₹20.4b		-6.6%PE39.7x
GLENMARK Glenmark Pharmaceuticals₹2.06k2.7%
+₹15.2b		26.2%PE57.7x
AETHER Aether Industries₹944.1011.5%
+₹12.9b		4.2%PE64.3x

Latest News

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Here's Why We Think Dr. Lal PathLabs (NSE:LALPATHLAB) Might Deserve Your Attention Today

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Divi's Laboratories
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PFIZER
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Pfizer
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Pfizer Limited's (NSE:PFIZER) Price Is Out Of Tune With Earnings

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AJANTPHARM
₹2,949.20
Ajanta Pharma
7D
10.0%
1Y
2.6%

AJANTPHARM: Future Returns Will Likely Lag As Premium Earnings Multiple Persists

Narrative Update: Ajanta Pharma Price Target Analysts have maintained their price target for Ajanta Pharma at ₹2,450, as modest upgrades to long term revenue growth and profit margin assumptions are viewed as being broadly offset by a slightly lower future price to earnings multiple. What's in the News Board meeting scheduled for November 3, 2025, to review and approve unaudited consolidated and standalone financial results for Q2 and H1 FY2025-26 (Company filing) Consideration of first interim dividend for the financial year ending March 31, 2026, to be taken up at the November 3, 2025, board meeting (Company filing) Record date for payment of interim dividend, if declared, proposed as Monday, November 10, 2025 (Company filing) Valuation Changes Fair Value: Unchanged at ₹2,450.0 per share, indicating no revision to the core valuation outcome.
SUNPHARMA
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Sun Pharmaceutical Industries
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0.5%
1Y
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SUNPHARMA: ESG Power Shift And Obesity Pipeline Will Drive Bullish Long Term Outlook

Analysts have reiterated their price target on Sun Pharmaceutical Industries at ₹1,950.68 per share, citing broadly unchanged assumptions around discount rates, long term revenue growth, profit margins, and future valuation multiples. What's in the News The U.S. FDA has approved an updated label for Sun Pharma's immunotherapy UNLOXCYT for advanced cutaneous squamous cell carcinoma, incorporating long term pivotal trial data that showed durable responses and no treatment related deaths, with commercial launch targeted for early 2026 (Key Developments).
NH
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Narayana Hrudayalaya
7D
3.3%
1Y
46.6%

NH: Future Performance Will Reflect Modest Margin Improvement And Fairly Valued Outlook

Analysts have modestly revised their price target for Narayana Hrudayalaya upward to ₹2,042.64, citing incremental improvements in projected profit margins and a slightly more attractive forward valuation multiple, despite largely unchanged growth and discount rate assumptions. What's in the News Board meeting scheduled on December 12, 2025 to consider and approve a Scheme of Arrangement between NH Integrated Care Private Limited, Narayana Hrudayalaya Limited and their respective shareholders and creditors, alongside other matters (company filing) Board meeting set for November 14, 2025 to review and approve unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025, and to address other business items (company filing) Valuation Changes Fair Value: Unchanged at approximately ₹2,042.64 per share, indicating a stable intrinsic value assessment.
500420
₹3,884.85
Torrent Pharmaceuticals
7D
1.9%
1Y
14.3%

500420: Patent Settlement And Stable Outlook Will Shape Future Risk Profile

Narrative Update on Torrent Pharmaceuticals Analysts have maintained their price target on Torrent Pharmaceuticals at ₹4,024. This reflects unchanged assumptions on discount rate, revenue growth, profit margins, and future valuation multiples that continue to support the current fair value assessment.
IPCALAB
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Ipca Laboratories
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1Y
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IPCALAB: Improved Margins And Lower Multiple Will Support Future Upside Potential

Analysts have trimmed their price target on Ipca Laboratories by approximately ₹80 to around ₹1,730, reflecting slightly softer revenue growth assumptions, while still factoring in improved profit margins and a lower future P/E multiple. What's in the News Board meeting scheduled on October 17, 2025, at 17:00 IST to discuss corporate matters and ongoing strategic priorities (company filing).
500124
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Dr. Reddy's Laboratories
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LAURUSLABS
₹1,106.50
Laurus Labs
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2.0%
1Y
80.9%

LAURUSLABS: Interim Dividend May Not Offset Softer Margins Ahead

Analysts have moderately raised their price target on Laurus Labs from ₹303.09 to ₹330.21, citing a slightly higher justified valuation multiple that more than offsets their marginally softer assumptions on revenue growth and profit margins. What's in the News The Board approved an interim dividend of INR 0.80 per equity share (40 percent of the face value of INR 2) for FY 2025-26, signaling confidence in cash flows and shareholder returns (company filing).
IKS
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Inventurus Knowledge Solutions (NSE:IKS) Could Be Struggling To Allocate Capital

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543220
₹1,062.70
Max Healthcare Institute
7D
-1.1%
1Y
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543220: Nifty Inclusion Will Support Stronger Long-Term Upside Potential

Analysts have nudged their price target on Max Healthcare Institute up by ₹50 to ₹1,550 per share, citing stronger expected revenue growth, slightly higher profit margins, and a modestly lower future P/E multiple despite a marginal uptick in the assumed discount rate. What's in the News Board meeting scheduled on November 14, 2025, to review and approve unaudited standalone and consolidated financial results for the quarter and half year ended September 30, 2025 (company filing) Max Healthcare Institute added as a constituent to the benchmark Nifty 50 index, increasing its visibility and potential inclusion in passive investment portfolios (index announcement) Valuation Changes The fair value estimate has risen slightly from ₹1,500 to ₹1,550 per share, reflecting improved fundamentals.
GLENMARK
₹2,064.50
Glenmark Pharmaceuticals
7D
2.7%
1Y
26.2%

GLENMARK: Margin Expansion And COPD Breakthrough Will Drive Future Upside

Analysts have lowered their price target for Glenmark Pharmaceuticals to ₹2,735 from ₹2,934, citing a more moderate revenue growth outlook and expectations of lower future valuation multiples, partly offset by anticipated improvements in profit margins. What's in the News The company received an Establishment Inspection Report with Voluntary Action Indicated status from the U.S. FDA for the Monroe, North Carolina formulations facility, paving the way to restart commercial manufacturing (company announcement).
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