GPT Healthcare Stock Price Analysis and Quick Research Report. Is GPT Healthcare an attractive stock to invest in?
The Indian healthcare sector is expected to reach US$ 372 billion by 2022, driven by rising incomes, greater health awareness, lifestyle diseases and increasing access to insurance. Healthcare has become one of India’s largest sectors - both in terms of revenue and employment.
Healthcare comprises hospitals, medical devices, clinical trials, outsourcing, telemedicine, medical tourism, health insurance, and medical equipment. The structure of the healthcare delivery system in India consists of three broad segments: Primary care, Secondary care, and Tertiary care.
- Primary care is the first point of contact between the population and the healthcare service providers. For example, Sub-center (SC), Primary Health Centre (PHC) and Community Health Centre (CHC) which is more relevant to rural areas (PHC’s).
- Secondary care providers inpatient as well as outpatient medical services and includes simple surgical procedures. For example, District level & Mid-sized hospitals.
- Tertiary care is the third level of the healthcare delivery system in the country. These hospitals are specialized consultative healthcare infrastructure. For example, Single specialty and Multi-specialty hospitals.
While healthcare services are offered by the public as well as private sectors, in urban as well as rural areas, generally people prefer private hospitals over public hospitals for treatment of diseases, illness, and sickness. So, let’s look into GPT Healthcare and its performance over the period of time. GPT Healthcare stock price today is Rs 178.02.
- Operating cash flow ratio: It measures the adequacy of a company’s cash generated from operating activities to pay off short-term financial obligations. GPT Healthcare cash from the operating activity was Rs 68.8003 Cr.
- Financial Strength: Health care organizations usually have high debt loads and low equity capital in their balance sheet. So, Debt to Equity ratio is important to analyze the company’s sustainability. GPT Healthcare has a Debt to Equity ratio of 0.0568 , which is a strong indication for the company.
- EPS growth: Investors should ensure the EPS figure is growing faster than revenue numbers because it indicates company management is increasing the efficiency with which it runs the company. In GPT Healthcare , the EPS growth was 19.2511 % which is good for the company.
- Operating profit margin: It determines a company's potential earnings. It assesses how well-managed a company with respect to its basic overhead costs and other operating expenses, GPT Healthcare has OPM of 21.9491345425832 % which is a good sign for profitability.
- ROE: GPT Healthcare have a healthy ROE of 24.8892 %. ROE is an important financial parameter for hospitals & health care companies because they expand and grow rapidly. Therefore, ROE measures how efficiently a shareholder's fund is used for generating profits.
- Share Price: - The current share price of GPT Healthcare is Rs 178.02. One can use valuation calculators of ticker to know if GPT Healthcare share price is undervalued or overvalued.