Gautam Chhaochharia of UBS India told CNBC-TV18, "That is a more secular healthcare story. Again India's interpretation of healthcare is well known. Apollo Hospitals is well placed and executed very well over the last few years in terms of expanding both in terms of new beds as well as in terms of expanding the broad product suite or the patient mix in existing hospitals. That has shown up in secular earnings growth in the past and that has given investors a lot of confidence."
He further added, "Secondly remember that healthcare or hospitals are a favourite for investors both regionally also. And investors do like this space in terms of earnings visibility and stability. That gives us confidence, despite the rich valuations for this stock, that the valuations will sustain and the stock will do at least in line with the earnings growth forecast."Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
