BSE:532843

Stock Analysis Report

Executive Summary

Fortis Healthcare Limited owns, manages, and operates a network of multi-specialty hospitals and diagnostic centers in India and internationally.

Snowflake

Fundamentals

Moderate growth potential with questionable track record.


Similar Companies

Share Price & News

How has Fortis Healthcare's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 532843's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

5.5%

532843

1.4%

IN Healthcare

-1.1%

IN Market


1 Year Return

13.4%

532843

15.4%

IN Healthcare

5.5%

IN Market

Return vs Industry: 532843 matched the Indian Healthcare industry which returned 15.4% over the past year.

Return vs Market: 532843 exceeded the Indian Market which returned 5.5% over the past year.


Shareholder returns

532843IndustryMarket
7 Day5.5%1.4%-1.1%
30 Day14.9%8.8%5.8%
90 Day33.8%21.5%9.0%
1 Year13.4%13.4%16.0%15.4%7.6%5.5%
3 Year-3.1%-3.1%0.07%-1.2%32.3%25.6%
5 Year38.5%38.5%34.0%31.7%39.1%26.3%

Price Volatility Vs. Market

How volatile is Fortis Healthcare's share price compared to the market and industry in the last 5 years?


Simply Wall St News

1 year ago | Simply Wall St

Best Rated BSE Stocks For Cheap

1 year ago | Simply Wall St

Best Rated BSE Stocks For Cheap

1 year ago | Simply Wall St

Best Rated BSE Stocks For Cheap

Valuation

Is Fortis Healthcare undervalued compared to its fair value and its price relative to the market?

125.06x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 532843 (₹158.55) is trading above our estimate of fair value (₹80.87)

Significantly Below Fair Value: 532843 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 532843 is poor value based on its PE Ratio (125.1x) compared to the Healthcare industry average (29.1x).

PE vs Market: 532843 is poor value based on its PE Ratio (125.1x) compared to the Indian market (13.2x).


Price to Earnings Growth Ratio

PEG Ratio: 532843 is poor value based on its PEG Ratio (4x)


Price to Book Ratio

PB vs Industry: 532843 is good value based on its PB Ratio (1.8x) compared to the IN Healthcare industry average (2x).


Next Steps

Future Growth

How is Fortis Healthcare forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

31.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 532843's forecast earnings growth (31% per year) is above the savings rate (7.6%).

Earnings vs Market: 532843's earnings (31% per year) are forecast to grow faster than the Indian market (18.9% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: 532843's revenue (9.8% per year) is forecast to grow slower than the Indian market (11.1% per year).

High Growth Revenue: 532843's revenue (9.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 532843's Return on Equity is forecast to be low in 3 years time (4.7%).


Next Steps

Past Performance

How has Fortis Healthcare performed over the past 5 years?

-28.2%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 532843 has a high level of non-cash earnings.

Growing Profit Margin: 532843's current net profit margins (2.5%) are higher than last year (-27.5%).


Past Earnings Growth Analysis

Earnings Trend: 532843 has become profitable over the past 5 years, growing earnings by -28.2% per year.

Accelerating Growth: 532843 has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: 532843 has become profitable in the last year, making it difficult to compare its past year earnings growth to the Healthcare industry (16.4%).


Return on Equity

High ROE: 532843's Return on Equity (2.4%) is considered low.


Return on Assets


Return on Capital Employed


Next Steps

Financial Health

How is Fortis Healthcare's financial position?


Financial Position Analysis

Short Term Liabilities: 532843's short term assets (₹10.5B) do not cover its short term liabilities (₹25.6B)

Long Term Liabilities: 532843's short term assets (10.5B) do not cover its long term liabilities (15.3B)


Debt to Equity History and Analysis

Debt Level: 532843's debt to equity ratio (18.8%) is considered satisfactory

Reducing Debt: 532843's debt to equity ratio has reduced from 33.7% to 18.8% over the past 5 years.

Debt Coverage: 532843's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: 532843's interest payments on its debt are not well covered by EBIT (1.8x coverage).


Balance Sheet

Inventory Level: 532843 has a high level of physical assets or inventory.

Debt Coverage by Assets: 532843's debt is not covered by short term assets (assets are 0.8x debt).


Next Steps

Dividend

What is Fortis Healthcare's current dividend yield, its reliability and sustainability?

0.053%

Forecast Dividend Yield


Dividend Yield vs Market

companyn/amarketbottom25%0.6%markettop25%2.4%industryaverage0.6%forecastin3Years0.05%

Current dividend yield vs market & industry

Notable Dividend: Unable to evaluate 532843's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 532843's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 532843's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 532843's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 532843's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

What is the CEO of Fortis Healthcare's salary, the management and board of directors tenure and is there insider trading?

1.1yrs

Average management tenure


CEO

Fortis Healthcare has no CEO, or we have no data on them.


Management Age and Tenure

1.1yrs

Average Tenure

59yo

Average Age

Experienced Management: 532843's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.


Board Age and Tenure

1.2yrs

Average Tenure

58.5yo

Average Age

Experienced Board: 532843's board of directors are not considered experienced ( 1.2 years average tenure), which suggests a new board.


Insider Trading

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 78.2%.


Management Team

  • Daljit Singh (66yo)

    President

    • Tenure: 0yrs
  • Aditya Vij (61yo)

    Chief Information Officer

    • Tenure: 1.1yrs
  • Anoop Misra

    Director of Diabetes & Metabolism - Fortis Hospital and Chairman of Fortis C-Doc Healthcare Limited

    • Tenure: 8.8yrs
    • Compensation: ₹13.20m
  • Vivek Goyal

    Chief Financial Officer

    • Tenure: 0.6yrs
  • Ashish Bhatia (57yo)

    Chief Operating Officer

    • Tenure: 0yrs
  • Ajey Maharaj

    Head Corporate Communication

    • Tenure: 0yrs
  • Anurag Kalra

    Vice President of Investor Relations

    • Tenure: 7.9yrs
  • Sumit Goel

    Company Secretary & Compliance Officer

    • Tenure: 0yrs
    • Compensation: ₹4.53m
  • Varun Khanna

    Executive VP & Chief Commercial Officer

    • Tenure: 0yrs
  • Rajiv Puri (47yo)

    Chief Internal Auditor

    • Tenure: 0yrs

Board Members

  • Shirish Apte (66yo)

    Non-Executive Vice Chairman

    • Tenure: 0.9yrs
    • Compensation: ₹500.00k
  • Soon Teck Low (54yo)

    Non Executive Director

    • Tenure: 1yrs
    • Compensation: ₹800.00k
  • Indrajit Banerjee (63yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: ₹4.90m
  • Ravi Rajagopal (63yo)

    Independent Chairman

    • Tenure: 1.4yrs
    • Compensation: ₹4.50m
  • Suvalaxmi Chakraborty (53yo)

    Independent Director

    • Tenure: 1.6yrs
    • Compensation: ₹4.80m
  • Anoop Misra

    Director of Diabetes & Metabolism - Fortis Hospital and Chairman of Fortis C-Doc Healthcare Limited

    • Tenure: 8.8yrs
    • Compensation: ₹13.20m
  • Ashok Seth

    Chairman of Fortis Escorts Heart Institute

    • Tenure: 0yrs
  • Chinta Bhagat (50yo)

    Non Executive Director

    • Tenure: 1yrs
    • Compensation: ₹700.00k
  • Kelvin Chi-Keon

    Non-Executive and Non-Independent Director

    • Tenure: 0.2yrs

Company Information

Fortis Healthcare Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Fortis Healthcare Limited
  • Ticker: 532843
  • Exchange: BSE
  • Founded: 1995
  • Industry: Health Care Facilities
  • Sector: Healthcare
  • Market Cap: ₹114.829b
  • Shares outstanding: 754.96m
  • Website: https://www.fortishealthcare.com

Number of Employees


Location

  • Fortis Healthcare Limited
  • Tower A
  • Block-F
  • Gurugram
  • Haryana
  • 122001
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532843BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 2007
FORTISNSEI (National Stock Exchange of India)YesEquity SharesININRMay 2007

Biography

Fortis Healthcare Limited owns, manages, and operates a network of multi-specialty hospitals and diagnostic centers in India and internationally. Its healthcare verticals comprise day care specialty, diagn ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/11/11 12:46
End of Day Share Price2019/11/11 00:00
Earnings2019/09/30
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.