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Stock to buy: Shares of Fortis Healthcare Limited continued to rise for the second consecutive day on Tuesday, September 8, but Prabhudas Lilladher remains bullish on the healthcare stock. Despite a 66% rally over two years, the brokerage sees nearly 16% upside. Last week, the Delhi HC directed the appointment of an auditor to probe alleged asset dissipation by the company's former promoters. The forensic audit is limited to historical shareholding changes and will “have no impact on FORH’s capex, brownfield expansion or M&A plans,” stated PL Capital in its latest report. Fortis Healthcare has delivered strong, volume-led growth in the hospital segment over the past 15 months, and the company has maintained occupancy at an elevated 68-69% despite a 17% increase in operating beds over the past year. There are signs of recovery in the diagnostics segment with an improving test mix supporting better realisations. The Gurgaon-headquartered hospital chain giant. The hospital reported a margin improvement by 530 bps over FY23-26 to 22.2%. Improving case mix, cost rationalisation initiatives, new brownfield bed additions are likely to boost scope for improvement, according to PL Capital. “We expect FORH to clock 20% EBITDA CAGR ex ESOP over FY26-28E. At CMP, the stock is trading at 24.4x EV/EBITDA on FY28E, adjusted for Agilus stake and ESOP,” stated the brokerage in its report. PL Capital maintained a ‘Buy’ rating for the stock with a target price of ₹1,050 per share. The stock maintained “‘BUY’ rating with revised TP of INR 1,050/ share; valuing at 28x EV/EBITDA (30x earlier) for the hospital segment on FY28E.” The stock was trading 0.21% higher at ₹910.21 per share on BSE with a market capitalisation of ₹68,716.29 crore at 1:40 pm on Tuesday. The stock had touched an intraday high of ₹912.70 per share and an intraday low of ₹903.50 per share. The healthcare stock touched its 52-week high of ₹1,105 per share on October 13, 2025. The stock dipped to its 52-week low of ₹767.30 per share on April 2, 2026. With a return on equity (ROE) of 2.49%, the scrip has delivered close to 66% return in two years. But it has declined around 1.3% in two weeks, 5.26% in two weeks, and 7.9% in three months. The integrated healthcare delivery service provider is owned by a cluster of promoters, institutional investors, domestic institutions, etc. As per PL Capital report, promoters hold 31.17% stake in Fortis Healthcare. Whereas, FIIs and mutual funds own 25.2% and 25.81% stake in the company. Public & others own around 11.4% stake. Disclaimer: This story is for educational and informational purposes only. The views and recommendations above are those of individual analysts or broking companies, not Mint. We advise investors to check with certified financial experts before making any investment decisions. Catch all the Business News , Market News , Breaking News Events and Latest News Updates on Live Mint. Download The Mint News App to get Daily Market Updates. Oops! Looks like you have exceeded the limit to bookmark the image. Remove some to bookmark this image.
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