JP Morgan has reaffirmed its overweight stance on Apollo Hospitals with a target price of ₹9,400 per share, stating that the company remains well-positioned to deliver high-teens growth in its core hospital business. The brokerage said Apollo expects FY27 margins to remain flat as new capacity additions ramp up, but reiterated its FY27 exit guidance of ₹25,000 crore in revenue and a 7% EBITDA margin.
JP Morgan emphasised that India’s acute bed shortage underscores a structurally favourable demand environment for the hospital sector, providing a long-term growth runway for organised players like Apollo. The company plans to add around 4,500 beds and is targeting mid-teens revenue growth in the coming years, supported by operational recovery in newer facilities and margin expansion as utilisation improves. The brokerage believes Apollo’s strategic discipline, scale and patient-mix optimisation initiatives should enable it to navigate near-term cost pressures while benefiting from sustained industry tailwinds.
Disclaimer: The views and recommendations above are those of JP Morgan. Business Upturn does not endorse them. Please consult a financial advisor before making investment decisions.
