🚫 Avoid Listed Hospital

Manipal Health Enterprises Limited IPO

₹9,275 Cr · Fresh Issue & OFS · Hospital

Price Band
₹560 – ₹590
Lot: 44 shares (₹25,960)
GMP (Grey Market)
No GMP data yet
Issue Size
₹9,275 Cr
Fresh Issue & OFS
Market Cap
₹77605.68 Cr
At upper band
P/E Ratio
84.7x
P/S: 7.5x
Listing Date
05 Aug 2026
BSE & NSE
IPO Timeline
Opens
29 Jul 2026
Closes
31 Jul 2026
Allotment
3 Aug 2026
Refund
4 Aug 2026
Listing
05 Aug 2026
📄 Official Docs RHP (Red Herring Prospectus) ↗ DRHP ↗
🚫
IPO India Hub: Avoid
Conviction
3/10
The company trades at 84.7x P/E, or 2.12× the healthcare sector midpoint of 40×, well above the 2.0× threshold for Avoid. While revenue growth is strong at 29.6% CAGR and EBITDA margins are healthy at 27%, the valuation premium cannot be justified by an 8.9% net profit margin or current profitability metrics.
Listing Performance
Issue Price
₹590
Allotment price
Listing Price
₹655
+11.02% on listing day
Current Price (CMP)
₹716.15
+21.4% vs issue
Listed On
05 Aug 2026
BSE & NSE
Our Analysis — Key Points
✓ Strength
Strong revenue and PAT growth trajectory
Revenue has grown from ₹6,265 Cr (FY-2) to ₹10,521 Cr (FY0) at a 29.6% CAGR, while PAT CAGR stands at 31.1% over two years. This demonstrates consistent operational scaling in a fragmented hospital sector.
✓ Strength
Healthy operational margins and ROCE
EBITDA margin of 27.05% and ROCE of 21.88% indicate efficient capital deployment and operational execution. These metrics are competitive within the healthcare services space.
⚠ Risk
Severe valuation premium unjustified
At 84.7x P/E, the company trades at 2.12× the sector midpoint (40×), exceeding the 2.0× threshold for Avoid. With NPM of only 8.9%, there is no margin quality to justify this premium; the company is not a high-margin outlier.
⚠ Risk
PAT contraction signals operational stress
Net profit declined from ₹1,081.7 Cr (FY-1) to ₹916.5 Cr (FY0), a 15% year-on-year drop despite 26% revenue growth. This margin compression raises questions about cost control and pricing power in a competitive hospital market.
₹ Valuation
Valuation significantly exceeds sector norms
The P/E of 84.7x is 2.12× the healthcare/diagnostics sector midpoint of 40× (range 30–50×). Even at the upper band of ₹590, the company commands a P/S of 7.5×, which is elevated for a hospital operator with sub-10% net margins.
👁 Watch
Monitor quarterly margin trends post-listing
Investors must track whether the FY0 PAT decline was a one-time event or signals structural margin pressure. Quarterly EBITDA and net margin trends will be critical to validate the premium valuation.
Top Analyst Reviews
Analyst / Firm Rating Known For Review
IPO India Hub
Our independent review
Avoid Original analysis based on DRHP & public financials This page
Dilip Davda
Chittorgarh.com
See review India's most followed independent IPO analyst Search on Chittorgarh →
Capital Market (CM Rating)
CapitalMarket.com
See review Widely-cited "New Issue Monitor" reports Search on CapitalMarket →
ICICI Securities
ICICIdirect Research
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IPO Guru Analyst Leaderboard
ipoguru.in
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External links go to each platform's IPO section — search for "Manipal Health Enterprises Limited" to find the specific review. IPO India Hub does not represent the accuracy of third-party ratings.

Company Snapshot
Revenue ₹10335.75 Cr
Net Profit ₹916.52 Cr
Industry Hospital
Issue Type Fresh Issue & OFS
Promoters DR. RANJAN RAMDAS PAI, MANIPAL GLOBAL HEALTH SERVICES, MEMG INTERNATIONAL LTD, KANGTO INVESTMENTS PTE. LTD., IMPERIUS HEALTHCARE INVESTMENTS PTE. LTD., AND KABRU INVESTMENTS PTE. LTD.
Lead Managers Kotak Mahindra Capital, Axis Capital, Goldman Sachs, Jefferies, JP Morgan, UBS Securities and DBS Bank
Frequently Asked Questions
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