अFunda Observatory

Health Services: implied vs delivered earnings growth

17 ranked companies · Oct 2026 · prices as of 9 Oct 2026

Discount rate 12% · 10-year horizon · exit P/E 15x · dividends at each company's own payout

In Health Services, the median price implies 30.2%/yr earnings growth against 15.7%/yr delivered over the past decade, a gap of +12.2 pts, higher than 15 of 17 other sectors. Treated as one company (aggregate market cap over aggregate profit), the sector's price implies 32.4%/yr.

These figures are a mechanical translation of each company's current price-to-earnings ratio into the earnings growth that would be consistent with it, under fixed assumptions we chose (12% annual return, 10 years, exit P/E 15x). They are not forecasts, price targets or recommendations, and change materially with the assumptions. Delivered growth is historical and does not predict future results. ApnaFunda is not a SEBI-registered research analyst or investment adviser. Data may contain errors; verify with company filings before relying on it.

0%0%10%10%20%20%30%30%40%40%50%50%60%60% Delivered growth, per year → Implied growth → VIJAYA · delivered −28.8% · implied 37.3%HCG · delivered −6.5% · implied 53.1%JSLL · delivered −30.0% · implied 27.3%METROPOLIS · delivered −0.3% · implied 30.5%GPTHEALTH · delivered −7.2% · implied 15.5%SURAKSHA · delivered 8.7% · implied 30.2%RAINBOW · delivered 7.4% · implied 28.1%YATHARTH · delivered 20.6% · implied 39.3%LALPATHLAB · delivered 14.4% · implied 26.6%APOLLOHOSP · delivered 24.0% · implied 35.1%ARTEMISMED · delivered 22.5% · implied 31.8%NH · delivered 31.2% · implied 34.6%MEDANTA · delivered 35.5% · implied 34.2%JLHL · delivered 31.8% · implied 28.1%SHALBY · delivered 15.7% · implied 11.7%INDRAMEDCO · delivered 29.9% · implied 15.7%ASTERDM · delivered 60.0% · implied 18.2%VIJAYAHCGJSLLMETROPOLISGPTHEALTHMEDANTAJLHLSHALBYINDRAMEDCOASTERDM −30 pts0+50 pts

Most demanding in Health Services

  1. #1VIJAYA DIAGNOSTIC CENTRE LTD VIJAYA · Health Services · normalised P/E 119.1x · ₹14,772 cr
    price implies 37.3%/yr · delivered −28.8%/yr (avg-to-avg) · gap +66.1 pts
    cyclical: normalised earnings used
  2. #2HEALTHCARE GLOBAL ENTP LTD HCG · Health Services · normalised P/E 341.1x · ₹8,870 cr
    price implies 53.1%/yr · delivered −6.5%/yr (avg-to-avg) · gap +59.6 pts
    cyclical: normalised earnings used
  3. #3JEENA SIKHO LIFECARE LIMITED JSLL · Health Services · normalised P/E 57.7x · ₹4,797 cr
    price implies 27.3%/yr · delivered −41.7%/yr (avg-to-avg) · gap +57.3 pts
    cyclical: normalised earnings used · trailing P/E far below normalised
  4. #4METROPOLIS HEALTHCARE LIMITED METROPOLIS · Health Services · normalised P/E 74.6x · ₹10,992 cr
    price implies 30.5%/yr · delivered −0.3%/yr (avg-to-avg) · gap +30.8 pts
    cyclical: normalised earnings used
  5. #5GPT HEALTHCARE LIMITED GPTHEALTH · Health Services · normalised P/E 26.3x · ₹1,164 cr
    price implies 15.5%/yr · delivered −7.2%/yr (avg-to-avg) · gap +22.8 pts
    cyclical: normalised earnings used
  6. #6SURAKSHA DIAGNOSTIC LIMITED SURAKSHA · Health Services · normalised P/E 67.8x · ₹1,655 cr
    price implies 30.2%/yr · delivered 8.7%/yr (avg-to-avg) · gap +21.6 pts
    cyclical: normalised earnings used
  7. #7RAINBOW CHILDRENS MEDICARE LTD RAINBOW · Health Services · normalised P/E 60.4x · ₹12,699 cr
    price implies 28.1%/yr · delivered 7.4%/yr (avg-to-avg) · gap +20.6 pts
    cyclical: normalised earnings used
  8. #8YATHARTH HOSPITAL TRAUMA LTD YATHARTH · Health Services · normalised P/E 132.8x · ₹9,905 cr
    price implies 39.3%/yr · delivered 20.6%/yr (avg-to-avg) · gap +18.7 pts
    cyclical: normalised earnings used
  9. #9DR. LAL PATHLABS LIMITED LALPATHLAB · Health Services · P/E 59.5x · ₹32,415 cr
    price implies 26.6%/yr · delivered 14.4%/yr (10-yr trend) · gap +12.2 pts
  10. #10APOLLO HOSPITALS ENTERPRISES L APOLLOHOSP · Health Services · normalised P/E 104.0x · ₹1,15,424 cr
    price implies 35.1%/yr · delivered 24.0%/yr (avg-to-avg) · gap +11.1 pts
    cyclical: normalised earnings used

Lowest expectations in Health Services

  1. #17ASTER DM HEALTHCARE LTD ASTERDM · Health Services · normalised P/E 26.4x · ₹36,359 cr
    price implies 18.2%/yr · delivered 129.6%/yr (avg-to-avg) · gap −41.8 pts
    cyclical: normalised earnings used
  2. #16INDRAPRASTHA MEDICAL CORPORATI INDRAMEDCO · Health Services · normalised P/E 24.6x · ₹3,016 cr
    price implies 15.7%/yr · delivered 29.9%/yr (avg-to-avg) · gap −14.3 pts
    cyclical: normalised earnings used
  3. #15SHALBY LIMITED SHALBY · Health Services · normalised P/E 15.8x · ₹1,432 cr
    price implies 11.7%/yr · delivered 15.7%/yr (avg-to-avg) · gap −3.9 pts
    cyclical: normalised earnings used
  4. #14JUPITER LIFE LINE HOSP. LTD JLHL · Health Services · normalised P/E 58.1x · ₹8,372 cr
    price implies 28.1%/yr · delivered 31.8%/yr (avg-to-avg) · gap −3.7 pts
    cyclical: normalised earnings used
  5. #13GLOBAL HEALTH LIMITED MEDANTA · Health Services · normalised P/E 91.5x · ₹35,235 cr
    price implies 34.2%/yr · delivered 35.5%/yr (avg-to-avg) · gap −1.3 pts
    cyclical: normalised earnings used
  6. #12NARAYANA HRUDAYALAYA LIMITED NH · Health Services · normalised P/E 99.9x · ₹35,151 cr
    price implies 34.6%/yr · delivered 31.2%/yr (avg-to-avg) · gap +3.4 pts
    cyclical: normalised earnings used
  7. #11ARTEMIS MEDICARE SERVICES LTD ARTEMISMED · Health Services · normalised P/E 78.2x · ₹4,818 cr
    price implies 31.8%/yr · delivered 22.5%/yr (avg-to-avg) · gap +9.3 pts
    cyclical: normalised earnings used · trailing P/E far below normalised
  8. #10APOLLO HOSPITALS ENTERPRISES L APOLLOHOSP · Health Services · normalised P/E 104.0x · ₹1,15,424 cr
    price implies 35.1%/yr · delivered 24.0%/yr (avg-to-avg) · gap +11.1 pts
    cyclical: normalised earnings used
  9. #9DR. LAL PATHLABS LIMITED LALPATHLAB · Health Services · P/E 59.5x · ₹32,415 cr
    price implies 26.6%/yr · delivered 14.4%/yr (10-yr trend) · gap +12.2 pts
  10. #8YATHARTH HOSPITAL TRAUMA LTD YATHARTH · Health Services · normalised P/E 132.8x · ₹9,905 cr
    price implies 39.3%/yr · delivered 20.6%/yr (avg-to-avg) · gap +18.7 pts
    cyclical: normalised earnings used

Health Services sector fundamentals → · All sectors

How this works

An investor buys at today's trailing P/E, receives dividends equal to a fixed share of earnings for 10 years, then sells at an exit P/E of 15x. We solve for the constant annual earnings-per-share growth that makes that sequence worth exactly today's price at a 12% required return: P/E = payout × Σ xᵗ + exit P/E × xᴺ, with x = (1 + growth) / (1 + required return). With no dividends it reduces to growth = (1 + r) × (P/E ÷ exit P/E)^(1/N) − 1. Each company uses its own median payout over its last five fiscal years (zero if unknown).

Delivered growth is the fitted annual growth of net profit per share over the last up to ten fiscal years known at the time (a 60-day reporting lag is applied), or a first-three-versus-last-three-years average where earnings are cyclical or a loss year interrupts the series. Cyclical companies are valued on their five-year average earnings rather than trailing ones. The gap is implied growth minus delivered growth, in percentage points.

Sensitivity at a P/E of 40x and a 30% payout (exit P/E down, required return across):

Exit P/E / return11%12%13%
12x23.3%24.4%25.5%
15x20.8%21.9%23.0%
20x17.7%18.7%19.8%

Because a change in the required return or exit multiple moves every company's implied growth by nearly the same amount, the ranking is stable under the assumptions; only the levels move. The curve is also concave: doubling a P/E from 40x to 80x adds only about seven points of implied growth, so a 200x P/E does not mean ten times the growth. There is no consensus forecast in this data, so the comparison is with history only. Sector indices and "sector as one company" use today's constituents and are survivorship-biased.