Park Medi World shares in focus as Choice Broking reiterates ‘Buy’ rating, sees over 20% upside
Park Medi World share price: Hospital operator Park Medi World is back in focus after Choice Institutional Equities reaffirmed its bullish outlook on the healthcare stock, maintaining a ‘Buy’ rating with a target price of ₹350, indicating a potential upside of around 20.6% from the current market price.
The brokerage’s optimism follows a management interaction and site visit, where it gained confidence in the company’s expansion strategy, operational execution, and long-term growth plans. According to Choice Broking, Park Medi World is well-positioned to benefit from rising healthcare demand across North India through a combination of greenfield projects, strategic acquisitions, and its cluster-based hospital operating model.
Expansion plans remain the key growth driver
A major trigger highlighted by the brokerage is the company’s aggressive capacity expansion. Park Medi World is developing a 100-bed Park Hospital Platinum facility in Gurugram, adjacent to its existing 225-bed Palam Vihar hospital. The new hospital, being developed at an estimated capital expenditure of around ₹25 crore, is expected to become operational in November 2026 and will help address the high occupancy levels at the existing facility.
Choice Broking also expects the recently acquired 330-bed Medicity Hospital in Rudrapur, Uttarakhand, acquired for ₹177 crore, to emerge as another significant growth engine. The brokerage expects the hospital to begin operations shortly, with management targeting around ₹100 crore in revenue during the first year, supported by improving occupancy levels and a stronger super-speciality mix.
Cluster-based model supports operational efficiency
The brokerage believes Park Medi World’s cluster-based operating strategy provides a competitive advantage by enabling neighbouring hospitals to share doctors, specialised equipment, and operational resources. This approach is expected to improve asset utilisation while enhancing recruitment efficiency and profitability.
Choice estimates the company’s total bed capacity could increase to around 5,590 beds by March 2028, supported by both acquisitions and expansion of existing facilities. The management continues to target 10,000 beds by FY33, reflecting its long-term growth ambitions.
Strong earnings outlook
Choice Broking expects robust financial growth over the next few years. The brokerage projects revenue to increase from ₹1,680 crore in FY26 to ₹3,940 crore by FY29, while EBITDA is estimated to rise from ₹440 crore to ₹1,040 crore over the same period.
Profit after tax (PAT) is projected to nearly triple from ₹260 crore in FY26 to around ₹700 crore in FY29, with EBITDA margins expected to remain stable at approximately 26.5% despite the company’s aggressive expansion plans. Return on capital employed (ROCE) is also expected to improve to 25.4% by FY29, compared with 19.5% in FY26.
Park Medi World share price performance
Park Medi World shares were trading around 2% lower at approximately ₹285 during Monday’s session. The stock has touched a 52-week high of ₹305.25 earlier this month, while its 52-week low stands at ₹138.15, recorded in December 2025.
The stock has delivered impressive returns since listing, gaining nearly 79% over its issue price of ₹162. It has also risen about 5% in the past one month, 37% over three months, and 92% in the last six months, reflecting sustained investor interest.
