Jupiter Life Line Hospitals: Brokerage Sees Target Price of Rs 1600

Jupiter Life Line Hospitals Research Report

Summary We maintain a constructive outlook on Jupiter Life Line Hospitals (JLHL) following our recent visit to their Dombivli hospital, which provides strong visibility on occupancy ramp-up and scalable capacity expansion.

Key Highlights

• The company's recently operationalized Dombivli facility, combined with steady growth in the base business, is expected to support gradual improvement in revenues and operating leverage over the medium term.
• JLHL remains on track to commercialize its upcoming greenfield hospital in the Pune South market by CY28, followed by the Mira-Bhayandar project by CY29.
• These expansions, along with ramp-up at existing facilities, are expected to strengthen JLHL's presence across high-density micro-markets in western India and provide multi-year growth visibility.

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Outlook

We forecast a 15%/15% compound annual growth rate (CAGR) in earnings before interest, taxes, depreciation, and amortization (EBITDA)/profit after tax (PAT) over FY26-28E, with healthy return ratios. Recommendation We maintain a 'BUY' rating on JLHL with a target price of Rs1,600/share, valuing the company at 23x enterprise value to EBITDA (EV/EBITDA) based on FY28E EBITDA.