Choice Broking Sees 20% Upside in Park Medi World; Healthcare Stock Extends Multibagger Rally
New Delhi [India], May 27: Shares of Park Medi World remained in focus after brokerage firm Choice Broking reiterated its ‘buy’ rating on th...
New Delhi [India], May 27: Shares of Park Medi World remained in focus after brokerage firm Choice Broking reiterated its ‘buy’ rating on the healthcare player and projected nearly 20% upside from current levels, citing aggressive expansion plans, improving margins, and strong financial health.
In its latest report, the brokerage revised its target price on Park Medi World to ₹350 per share, highlighting multiple growth levers for the hospital chain. According to the brokerage, the company’s expansion strategy, efficient capital deployment, richer case mix, optimised average length of stay (ALOS), better payor mix, and benefits from revised CGHS rates are expected to support future earnings growth.
The management, during an interaction with the brokerage, indicated that revenues are expected to scale up to nearly ₹1,400 million by the second year, marking around 40% year-on-year growth. EBITDA is projected to rise to ₹35 million with margins of 25%, while profit after tax is estimated at ₹21 million with a 15% margin, aided by occupancy levels improving to 70–75%.
