Invest in Fortis Healthcare - Medium to Long Term Bet


After painful restructure of domestic and international business, Fortis Healthcare is back to profitability during Q1FY17. It is also encouraging to observe that equity price of the company is going up. Fortis Healthcare is more or less done with their capex cycle to increase the total bed offering and invested millions of $'s in the last three years. At the same time, they exited from International market in order to focus on domestic business. The sellout of International Business helped Fortis to reduce their debt level and ultimately helped the EBITA on the positive side.

The recent talk of monetizing the pathological unit post the successful IPO of Dr Lal Path Labs and Thyrocare Technologies; Fortis Healthcare management formed a committee to explore the opportunity to increase the shareholder value. The committee tenure ends by 30th August 2016 and it is widely expected that committee will propose IPO of some of the units of Fortis Healthcare to unlock value.

In my point of view, investor who is willing to invest on delivery basis should pick Fortis Healthcare during the down day of Street and accumulate it for the better return in medium to long run.

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Visionary Leader with 22 years of multi-functional experience - combine astute tactical, strategic, business, technology and industry skills in ICT domain at domestic and international level (Wired/Wireless/ networks /platforms/ connected device) .... More

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