Aster DM Healthcare Ltd. (ASTERDM) AI Stock Analysis

• Market Cap: ₹329.52B
• Dividend Yield: 0.78%
• Average Volume (3M): 44.11K
• Price to Earnings (P/E): 100.3
• Beta (1Y): 0.42
• Revenue Growth: -53.19%
• EPS Growth: -94.01%
• Country: IN
• Employees: 14,016
• Sector: Healthcare
• Sector Strength: 53
• Industry: Medical - Care Facilities
• EPS (TTM): 1.70
• Shares Outstanding: 518,121,030
• 10 Day Avg. Volume: 60,076
• 30 Day Avg. Volume: 44,114
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹683.00
• Price Target Upside: 7.01% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 2

• Rating: 77 Outperform
• Price Target: ₹706.00 ▲(10.61% Upside)

Aster DM Healthcare Ltd. achieves a strong stock score driven by robust technical analysis and attractive valuation. The stock shows positive momentum and undervaluation based on its P/E ratio, while solid financial performance supports this with a few areas of concern regarding revenue volatility and liability management.

Aster DM Healthcare Ltd. Business Overview & Revenue Model

Company Description

Aster DM Healthcare Ltd. is a prominent healthcare service provider based in India, with a significant presence in the Middle East and North Africa (MENA) region. The company operates across multiple sectors within the healthcare industry, including hospitals, clinics, pharmacies, and diagnostic centers. Aster DM Healthcare is renowned for its comprehensive range of healthcare services, catering to various medical needs through its network of hospitals and clinics, offering services such as primary care, specialty care, and critical care. Additionally, the company provides pharmaceutical distribution and retail services through its pharmacies.

How the Company Makes Money

Aster DM Healthcare Ltd. generates revenue primarily through its diversified healthcare services, which include hospital operations, clinics, and pharmacy services. The company's revenue model is centered around patient care services provided in its hospitals and clinics, where it charges for medical consultations, surgeries, inpatient and outpatient services, and diagnostics. A significant portion of income is also derived from its pharmacy operations, which involve the sale of prescription and over-the-counter medications. Furthermore, Aster DM Healthcare benefits from strategic partnerships and collaborations with various governmental and private entities that enhance its service offerings and expand its reach. These partnerships, along with the company's focus on quality healthcare and patient satisfaction, contribute significantly to its earnings.

Aster DM Healthcare Ltd. Financial Statement Overview

Summary

Aster DM Healthcare Ltd. demonstrates solid profitability and efficient equity utilization with strong gross and net profit margins. However, revenue volatility and high liabilities indicate potential financial risks. Cash flow stability is positive, but inconsistency remains a concern.

Income Statement

Aster DM Healthcare Ltd. shows a strong gross profit margin, indicating efficient cost management. The net profit margin has improved significantly, driven by a sharp increase in net income. Revenue growth has been volatile, with a decline in the latest period after prior growth, suggesting some instability. EBITDA and EBIT margins are healthy but have shown fluctuations, reflecting operational efficiency with room for improvement.

Balance Sheet

The balance sheet presents a moderate debt-to-equity ratio, which suggests a balanced approach to leveraging. However, the equity ratio indicates a moderate level of equity financing. ROE is strong, reflecting effective use of shareholders' equity. Despite positive aspects, the high total liabilities suggest potential financial risk if not managed carefully.

Cash Flow

Cash flow analysis reveals a strong operating cash flow, which is a positive sign for liquidity. Free cash flow has shown growth, enhancing the company's ability to fund operations and investments. However, the free cash flow to net income ratio suggests some inconsistency, indicating potential volatility in cash generation relative to earnings.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	41.38B	41.38B	36.99B	29.94B	102.53B	86.08B
Gross Profit	17.33B	24.11B	19.76B	5.20B	19.25B	60.48B
EBITDA	8.02B	7.70B	6.12B	10.61B	15.84B	11.53B
Net Income	53.78B	53.78B	1.29B	4.25B	5.26B	1.48B
Balance Sheet
Total Assets	66.06B	66.06B	179.91B	148.81B	125.46B	116.43B
Cash, Cash Equivalents and Short-Term Investments	13.81B	13.81B	1.11B	3.96B	4.21B	3.15B
Total Debt	20.18B	20.18B	13.84B	57.00B	49.07B	48.04B
Total Liabilities	29.55B	29.55B	129.61B	100.21B	80.64B	78.09B
Stockholders Equity	34.28B	34.28B	45.60B	44.48B	39.53B	33.72B
Cash Flow
Free Cash Flow	0.00	790.10M	-6.39B	9.86B	7.65B	11.45B
Operating Cash Flow	0.00	4.25B	1.58B	18.34B	13.13B	15.69B
Investing Cash Flow	0.00	60.15B	-8.85B	-9.72B	-5.70B	-3.30B
Financing Cash Flow	0.00	-63.58B	10.53B	-8.17B	-6.85B	-11.16B

Aster DM Healthcare Ltd. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 638.25
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ASTERDM, the sentiment is Positive. The current price of 638.25 is above the 20-day moving average (MA) of 608.31, above the 50-day MA of 602.72, and above the 200-day MA of 519.36, indicating a bullish trend. The MACD of 8.53 indicates Negative momentum. The RSI at 63.03 is Neutral, neither overbought nor oversold. The STOCH value of 80.06 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IN:ASTERDM.

Aster DM Healthcare Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ASTERDM	77 Outperform	₹329.52B	100.28		0.78%	-53.19%	-94.01%
MEDANTA	75 Outperform	₹381.40B	71.35		0.04%	15.42%	10.66%
AJANTPHARM	72 Outperform	₹324.99B	34.94		2.07%	10.92%	9.76%
KIMS	71 Outperform	₹296.02B	79.00		―	24.71%	19.17%
GLAND	68 Neutral	₹310.94B	40.37		0.95%	-2.34%	6.64%
NH	64 Neutral	₹375.28B	47.56		0.25%	12.09%	-2.79%
Sector *	51 Neutral	$7.95B	-0.40	-41.67%	2.21%	22.29%	-1.85%