Impressive Earnings May Not Tell The Whole Story For Narayana Hrudayalaya (NSE:NH)
Jun 01
Indian (NIFTY) Healthcare Sector Analysis
UpdatedJun 03, 2024
DataAggregated Company Financials
Companies271
- 7D-1.5%
- 3M-0.03%
- 1Y46.2%
- YTD10.2%
In the last week, the Healthcare industry is down 1.5% with Zydus Lifesciences down the most at 7.0%. This takes the industry's 12 month performance to a gain of 46%. As for the next few years, earnings are expected to grow by 19% per annum.
Sector Valuation and Performance
Has the Indian Healthcare Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Mon, 03 Jun 2024 | ₹22.9t | ₹4.7t | ₹548.3b | 33.1x | 41.7x | 4.9x |
| Wed, 01 May 2024 | ₹23.1t | ₹4.6t | ₹512.4b | 36x | 45x | 5x |
| Fri, 29 Mar 2024 | ₹22.8t | ₹4.6t | ₹512.7b | 33x | 44.5x | 5x |
| Sun, 25 Feb 2024 | ₹23.3t | ₹4.6t | ₹512.0b | 36.4x | 45.5x | 5.1x |
| Tue, 23 Jan 2024 | ₹21.3t | ₹4.4t | ₹477.8b | 37.1x | 44.6x | 4.8x |
| Thu, 21 Dec 2023 | ₹19.5t | ₹4.4t | ₹476.2b | 33.4x | 40.9x | 4.4x |
| Sat, 18 Nov 2023 | ₹19.1t | ₹4.4t | ₹476.0b | 32.8x | 40.1x | 4.3x |
| Mon, 16 Oct 2023 | ₹18.2t | ₹4.3t | ₹452.3b | 32.4x | 40.2x | 4.3x |
| Wed, 13 Sep 2023 | ₹18.0t | ₹4.2t | ₹450.8b | 31.4x | 40x | 4.2x |
| Fri, 11 Aug 2023 | ₹18.0t | ₹4.2t | ₹445.1b | 30.1x | 40.5x | 4.3x |
| Sun, 09 Jul 2023 | ₹16.5t | ₹4.1t | ₹425.6b | 28.5x | 38.7x | 4x |
| Tue, 06 Jun 2023 | ₹15.2t | ₹4.1t | ₹425.7b | 28x | 35.8x | 3.7x |
| Thu, 04 May 2023 | ₹14.0t | ₹3.9t | ₹372.8b | 28x | 37.5x | 3.6x |
| Sat, 01 Apr 2023 | ₹13.3t | ₹3.9t | ₹372.9b | 24.9x | 35.5x | 3.4x |
| Mon, 27 Feb 2023 | ₹13.3t | ₹3.9t | ₹373.6b | 25.3x | 35.6x | 3.4x |
| Wed, 25 Jan 2023 | ₹13.8t | ₹3.7t | ₹377.5b | 29x | 36.5x | 3.7x |
| Fri, 23 Dec 2022 | ₹14.2t | ₹3.7t | ₹377.3b | 28.5x | 37.5x | 3.8x |
| Sun, 20 Nov 2022 | ₹14.1t | ₹3.7t | ₹377.9b | 27.7x | 37.3x | 3.8x |
| Tue, 18 Oct 2022 | ₹13.8t | ₹3.6t | ₹360.0b | 25.5x | 38.4x | 3.9x |
| Thu, 15 Sep 2022 | ₹13.8t | ₹3.6t | ₹361.5b | 26x | 38.1x | 3.8x |
| Sat, 13 Aug 2022 | ₹13.7t | ₹3.6t | ₹366.0b | 23.2x | 37.3x | 3.8x |
| Mon, 11 Jul 2022 | ₹13.2t | ₹3.5t | ₹376.5b | 22.2x | 35.1x | 3.7x |
| Wed, 08 Jun 2022 | ₹13.0t | ₹3.5t | ₹375.5b | 22.8x | 34.5x | 3.7x |
| Fri, 06 May 2022 | ₹13.7t | ₹3.4t | ₹417.6b | 24.2x | 32.8x | 4x |
| Sun, 03 Apr 2022 | ₹14.2t | ₹3.4t | ₹420.2b | 25.4x | 33.9x | 4.1x |
| Tue, 01 Mar 2022 | ₹13.7t | ₹3.4t | ₹420.2b | 23.3x | 32.5x | 4x |
| Thu, 27 Jan 2022 | ₹14.2t | ₹3.4t | ₹437.9b | 25.7x | 32.4x | 4.2x |
| Sat, 25 Dec 2021 | ₹14.7t | ₹3.4t | ₹435.9b | 25.8x | 33.6x | 4.4x |
| Mon, 22 Nov 2021 | ₹14.7t | ₹3.4t | ₹433.5b | 24.4x | 33.9x | 4.4x |
| Wed, 20 Oct 2021 | ₹15.2t | ₹3.3t | ₹440.8b | 26.7x | 34.4x | 4.6x |
| Fri, 17 Sep 2021 | ₹15.7t | ₹3.3t | ₹440.5b | 27.6x | 35.7x | 4.8x |
| Sun, 15 Aug 2021 | ₹15.1t | ₹3.2t | ₹436.9b | 26.9x | 34.6x | 4.6x |
| Thu, 10 Jun 2021 | ₹14.0t | ₹3.1t | ₹364.6b | 24.1x | 38.4x | 4.6x |
Price to Earnings Ratio
38.4x
Current Industry PE
- Investors are optimistic on the Indian Healthcare industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 41.7x which is higher than its 3-year average PE of 37.5x.
- The 3-year average PS ratio of 4.2x is lower than the industry's current PS ratio of 4.9x.
Past Earnings Growth
- The earnings for companies in the Healthcare industry have grown 15% per year over the last three years.
- Revenues for these companies have grown 15% 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 Market | -1.89% | |
| Healthcare | -1.46% | |
| Life Sciences | 2.40% | |
| Medical Equipment | 0.48% | |
| Healthcare Services | -1.36% | |
| Pharma | -1.82% | |
| Biotech | -3.08% | |
| Healthtech | -11.34% | |
Industry PE
- Investors are most optimistic about the Life Sciences industry which is trading above its 3-year average PE ratio of 56.6x.
- Analysts are expecting annual earnings growth of 22.4%, which is higher than its past year's earnings growth of 2.6% per year.
Forecasted Growth
- Analysts are most optimistic on the Healthcare Services industry, expecting annual earnings growth of 26% over the next 5 years.
- This is roughly in line with its past earnings growth rate.
- In contrast, the Pharma industry is expected to see its earnings grow by 17% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| DIVISLAB Divi's Laboratories | ₹4.31k | 4.5% +₹49.1b | 22.7% | PE82.7x | |
| 500660 GlaxoSmithKline Pharmaceuticals | ₹2.63k | 11.6% +₹46.3b | 88.7% | PE75.5x | |
| 500420 Torrent Pharmaceuticals | ₹2.70k | 3.2% +₹28.5b | 51.8% | PE55.1x | |
| GLENMARK Glenmark Pharmaceuticals | ₹1.16k | 3.7% +₹11.5b | 87.7% | PS2.6x | |
| MANKIND Mankind Pharma | ₹2.14k | 1.2% +₹10.2b | 50.3% | PE44.8x |
