Moneycontrol PRO
HomeNewsBusinessStocksBuy Aster DM Healthcare; target of Rs 500 Prabhudas Lilladher

Buy Aster DM Healthcare; target of Rs 500 Prabhudas Lilladher

Prabhudas Lilladher is bullish on Aster DM Healthcare has recommended buy rating on the stock with a target price of Rs 500 in its research report dated October 24, 2024.

October 28, 2024 / 11:23 IST
Buy
     
     
    26 Aug, 2025 12:21
    Volume
    Todays L/H
    More

    Prabhudas Lilladher's research report on Aster DM Healthcare

    ASTER DM Healthcare’s (ASTERDM) Q2 consolidated EBITDA grew strongly by 51% YoY to Rs2.2bn, 18% above our estimate. Our FY25-27E EBITDA estimate stands increased by 4-9% as we factor in higher margins across clusters. ASTERDM India’s EBITDA has increased sharply over the last 3 years (29% CAGR over FY22-24). We estimate 27% EBITDA CAGR over FY24-27E aided by scale-up in margins, healthy ARPOB and bed additions.

    Outlook

    At current market price, the stock is trading at 26x and 21x EV/EBITDA on FY26E and FY27E, respectively, adjusted for minority stake and rental. We maintain ‘Buy’ rating with revised TP of Rs500, valuing at 26x (23x earlier) EV/EBITDA on Sep2026E EBITDA as we roll forward. Utilization of proceeds, possible merger with any PE player and timely expansion will be key monitorables in the near term.

    For all recommendations report, click here

    Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.

    Aster DM Healthcare - 28102024 - prabhu

    Broker Research
    first published: Oct 28, 2024 11:23 am

    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!

    Subscribe to Tech Newsletters

    • On Saturdays

      Find the best of Al News in one place, specially curated for you every weekend.

    • Daily-Weekdays

      Stay on top of the latest tech trends and biggest startup news.

    Advisory Alert: It has come to our attention that certain individuals are representing themselves as affiliates of Moneycontrol and soliciting funds on the false promise of assured returns on their investments. We wish to reiterate that Moneycontrol does not solicit funds from investors and neither does it promise any assured returns. In case you are approached by anyone making such claims, please write to us at grievanceofficer@nw18.com or call on 02268882347