Raffles Medical Group (BSL) AI Stock Analysis

• Market Cap: S$1.96B
• Dividend Yield: 2.45%
• Average Volume (3M): 1.13M
• Price to Earnings (P/E): 27.8
• Beta (1Y): 0.43
• Revenue Growth: 8.90%
• EPS Growth: 4.57%
• Country: SG
• Employees: 2,989
• Sector: Healthcare
• Sector Strength: 45
• Industry: Medical - Care Facilities
• EPS (TTM): 0.02
• Shares Outstanding: 1,884,544,900
• 10 Day Avg. Volume: 1,100,720
• 30 Day Avg. Volume: 1,133,593
• PEG Ratio: 1.95
• Price to Book (P/B): 1.78
• Price to Sales (P/S): 2.47
• P/FCF Ratio: 19.23
• 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: S$1.19
• Price Target Upside: 14.30% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 5
• EPS Forecast (FY): 0.04
• Revenue Forecast (FY): S$790.60M

• Rating: 68 Neutral
• Price Target: S$1.00 ▼(-3.85% Downside)
• Action: Reiterated Date: 02/24/26
• Date: Action: Reiterated 02/24/26

The score is driven mainly by stable financial performance—low leverage and improving 2025 free cash flow—tempered by softer/volatile margins and slowing revenue growth. Technicals are supportive with the stock trading above major moving averages, but valuation is a notable headwind due to a high P/E relative to a modest dividend yield.

Positive Factors

Conservative balance sheet

Sustained low leverage provides durable financial flexibility: it reduces refinancing and interest risks, supports funding of hospital/clinic capex or expansions, and cushions earnings during downturns. This strengthens long-term resilience and strategic optionality for investments or M&A.

Strong free cash flow generation

Consistently positive and improving free cash flow supports sustainable reinvestment in facilities, dividends or debt reduction. High FCF conversion of net income indicates earnings translate into real cash, enhancing long-term capital allocation flexibility and lowering reliance on external financing.

Integrated, diversified healthcare model

A multi-site, integrated model across primary care, specialists, hospitals and diagnostics creates durable cross-sell, better patient retention and multiple revenue streams. Corporate care contracts and owned facilities help stabilize volumes and provide recurring revenue, improving business durability over time.

Negative Factors

Slowing revenue growth

Top-line momentum has materially decelerated after recovery, indicating constrained demand expansion or pricing pressure. Slower revenue growth limits operating leverage and the runway for margin improvement, making future profit and cash-flow progression more dependent on efficiency gains or higher-margin services.

Margin volatility and weaker profitability

Material declines and volatility in gross and operating margins point to structural mix shifts or cost pressures that undermine earnings quality. Persistent margin weakness reduces retained earnings and investment capacity, and makes forecasting and sustainable dividend or capex policies more difficult.

Low operating cash flow coverage

Despite strong FCF, low operating cash flow coverage signals that core operations sometimes produce limited liquidity relative to obligations. This heightens sensitivity to working-capital swings or capex needs and could necessitate external funding or slower reinvestment during periods of stress.

Raffles Medical Group Business Overview & Revenue Model

Company Description

Raffles Medical Group Ltd provides integrated private healthcare services primarily in Singapore, Greater China, Vietnam, Cambodia, and Japan. The company operates through Healthcare Services, Hospital Services, and Investment Holdings segments. Its flagship hospital is the Raffles Hospital, a tertiary care hospital that offers cancer, children and women care, Chinese medicine, counselling, dental, dialysis, diabetes and endocrinology, ear, nose, throat, eye, fertility, heart, internal medicine, neuroscience, pain management, rehabilitation, orthopedic, skin and aesthetics, surgery, nuclear medicine, and urology services. The company also offers emergency services, family medicine services, health screening, and various multi-disciplinary specialist clinic services. In addition, it trades in pharmaceutical and nutraceutical products, and diagnostic equipment; provides advisory and consultancy services, and develops IT solutions; and engages in research and experimental development on biotechnology, and life and medical science. Raffles Medical Group Ltd was founded in 1976 and is based in Singapore.

How the Company Makes Money

Raffles Medical Group generates revenue through multiple streams, primarily from its outpatient and inpatient services, including consultations, treatments, and surgeries. The company operates its own hospitals and a network of clinics, which contribute significantly to its earnings. Additionally, Raffles Medical Group offers health screening packages and corporate health services, catering to businesses seeking to improve employee health and productivity. The company also engages in partnerships with insurers and corporate clients, providing tailored healthcare solutions that enhance its revenue base. Furthermore, Raffles Medical Group's focus on expanding its services and facilities, as well as its investment in technology and patient care, supports its financial growth.

Raffles Medical Group Financial Statement Overview

Summary

Financials are stable overall: a conservatively levered balance sheet (debt-to-equity ~0.11 in 2025; Balance Sheet Score 78) and consistently positive free cash flow with a strong 2025 rebound (Cash Flow Score 70). Offsetting this, profitability is below 2021–2022 levels and gross margin has been volatile, while revenue growth recovered but slowed in 2025 (Income Statement Score 63).

Income Statement

Revenue has grown steadily over the last two years (2024: +6.1%, 2025: +1.7%) after a sharp decline in 2023 (-14.0%), indicating a recovery but with slowing momentum. Profitability remains positive with 2025 net margin at ~9.2% and EBIT margin at ~11.9%, but both are well below the stronger 2021–2022 levels (net margin ~11.6%–17.4%). A key concern is large volatility in gross margin across years (notably much lower in 2023 and 2025 versus 2021–2022), suggesting variability in cost structure or mix that pressures earnings quality.

Balance Sheet

The balance sheet appears conservatively levered, with debt-to-equity staying low across the period (~0.08–0.26) and ending 2025 at ~0.11, providing financial flexibility. Equity has remained above ~SGD 1.0B, supporting balance sheet stability. The main drawback is profitability on equity has come down meaningfully from 2022 (~14.1%) to 2023–2024 (~8.8% to ~5.9%), implying weaker efficiency in generating returns even as leverage remains modest.

Cash Flow

Cash generation is a clear strength: free cash flow is positive each year and improved sharply in 2025 (free cash flow ~SGD 98.1M, up ~27.1% YoY) after a steep drop in 2024 (down ~61.3%). Cash flow generally tracks earnings well, with free cash flow running at ~76%–93% of net income in 2023–2025, indicating decent cash conversion. However, operating cash flow coverage remains relatively low in all years shown (roughly ~0.23–0.54), pointing to some ongoing pressure in how operating cash flow covers near-term obligations or financing needs.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	765.17M	765.30M	751.56M	708.03M	822.92M	723.79M
Gross Profit	348.63M	136.74M	486.14M	315.94M	639.98M	580.52M
EBITDA	117.45M	134.72M	133.40M	132.89M	235.87M	161.27M
Net Income	63.71M	70.57M	62.24M	90.15M	143.21M	84.17M
Balance Sheet
Total Assets	1.49B	1.43B	1.53B	1.53B	1.50B	1.55B
Cash, Cash Equivalents and Short-Term Investments	334.18M	310.79M	343.67M	343.60M	253.13M	264.99M
Total Debt	83.83M	114.85M	88.17M	124.70M	96.14M	198.13M
Total Liabilities	455.26M	373.98M	465.81M	484.38M	467.30M	568.67M
Stockholders Equity	1.02B	1.06B	1.05B	1.03B	1.02B	960.79M
Cash Flow
Free Cash Flow	97.85M	98.12M	65.34M	168.79M	170.93M	107.24M
Operating Cash Flow	108.29M	105.98M	86.25M	189.31M	196.22M	160.11M
Investing Cash Flow	-3.40M	-56.00M	-9.87M	-12.41M	-22.83M	-52.20M
Financing Cash Flow	-85.58M	-82.01M	-76.20M	-85.52M	-183.70M	-46.87M

Raffles Medical Group Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 1.04
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SG:BSL, the sentiment is Positive. The current price of 1.04 is above the 20-day moving average (MA) of 1.02, above the 50-day MA of 1.01, and above the 200-day MA of 1.00, indicating a bullish trend. The MACD of 0.01 indicates Negative momentum. The RSI at 55.11 is Neutral, neither overbought nor oversold. The STOCH value of 55.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SG:BSL.

Raffles Medical Group Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
BSL	68 Neutral	S$1.96B	27.82	6.20%	2.45%	8.90%	4.57%
1B1	67 Neutral	S$54.60M	6.04	47.36%	3.37%	1.58%	115.29%
Sector *	51 Neutral	$7.86B	-0.30	-43.30%	2.27%	22.53%	-2.21%
A50	46 Neutral	S$1.53B	-34.12	-9.99%	―	12.39%	-400.00%