Max Healthcare shares climbed 3% in Monday’s trade, even as the broader hospital sector faced pressure over concerns of tighter regulations on health insurance claims. A recent media report suggested that the Indian government may introduce stricter norms to curb overcharging by private hospitals, which raised short-term caution among investors.
Despite this, brokerage firm Jefferies has maintained a bullish stance on the sector, retaining Max Healthcare and Fortis Healthcare as its top picks. Jefferies noted that such regulatory headlines often lead to temporary weakness but eventually create attractive buying opportunities.
The brokerage emphasized that private hospitals play a vital role in expanding India’s healthcare infrastructure and warned that aggressive price caps could impact bed capacity additions. Max Healthcare continues to lead in the NCR region, backed by strong ARPOB metrics, while Fortis benefits from improving margins and network growth.
Jefferies believes the long-term demand outlook and solid fundamentals remain intact for the sector, despite intermittent regulatory noise.
Max Healthcare shares opened at ₹1,230 and touched a high of ₹1,258 during the session. The stock also hit a low of ₹1,220. Over the past 52 weeks, the share price has moved between a low of ₹836.60 and a high of ₹1,314.30.
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