Analysts betting on these four pharma, hospital stocks due to Indian healthcare sector's strong growth prospects
Hospital segment outlook
Sun Pharmaceuticals
Gained market share in the domestic formulations segment in Q4 FY25, with 14% year-on-year revenue growth driven by higher volumes and new product launches.
Missed Reuters-Refinitiv estimates, with revenue falling short by 3.3% and net profit by 13.3%, primarily due to weaker sales in the US and Rest of the World (RoW) markets.
Domestic growth outlook supported by upcoming launches in anti-diabetes and weight management therapies; US growth to come from existing product sales.
Plans to invest $100 million in specialty portfolio (dermatology and oncology) for product launches, promotions, and field force expansion.
Motilal Oswal remains bullish, citing Sun's push for differentiated offerings in regulated markets to drive future earnings.
Reported in-line revenue growth in Q4 FY25, while net profit beat Reuters-Refinitiv estimates by 19.1%, aided by higher other income and lower finance costs.
India business drove revenue growth and is expected to remain strong, supported by its innovative portfolio and therapies like respiratory and urology.
Recent US approvals for cancer drugs (Abraxane, Nilotinib) and upcoming respiratory launches over the next 12–18 months are expected to stabilise US performance.
Management is focused on boosting manufacturing capacity, investing in R&D for differentiated products, and exploring inorganic growth opportunities.
According to Antique Stock Broking, Cipla is entering a structural growth phase in the US generics market, driven by continued investment in complex generics, respiratory, and peptide segments.
Apollo Hospitals Enterprise
An integrated healthcare services provider, the company reported in-line revenue and a 5% net profit beat versus Reuters-Refinitiv estimates in Q4 FY25, supported by higher other income and a lower tax rate; the hospital segment delivered a mixed performance..
ARPOB rose 5% y-o-y driven by higher patient realisation; expected to improve further with better payer mix and rising surgical volumes.
Plans to add 3,577 beds over 3-4 years; margin impact from new additions to be offset by cost optimisation.
Pharmacy business outlook supported by growing GMV, new store openings, and efficiency measures.
Diagnostics segment expected to revive, led by growth in primary and secondary clinics.
Motilal Oswal sees positives in bed additions, better productivity at existing facilities, reduced pharmacy losses, and a likely turnaround in diagnostics profitability.
Fortis Healthcare
Posted in-line revenue and an 11.3% net profit beat in Q4 FY25, driven by higher ARPOB and better occupancy.
Hospital revenue grew 14% y-o-y; diagnostics rose 3%.
Management expects 14-15% hospital growth in 2025-26 and 24-25% diagnostics margins over 2–3 years.
Expansion underway via greenfield projects and acquisitions (Manesar, Jalandhar).
Elara Capital raised 2026-27 earnings estimates on strong growth guidance.
The healthcare sector—including pharmaceuticals and hospitals— delivered a strong performance in the March 2025 quarter. The pharmaceutical segment benefited from increased demand in chronic therapies within the domestic formulations market, along with steady growth in the US generics business. Meanwhile, the hospitals segment was bolstered by expanded bed capacity and robust growth in average revenue per occupied bed (ARPOB).According to Reuters-Refinitiv data, 129 pharmaceutical companies—including those in biotechnology and life sciences— reported an aggregate revenue growth of 11.5% year-on-year (y-o-y) in the March 2025 quarter. Meanwhile, 26 healthcare providers, including diagnostic firms , recorded a 15.1% year-on-year revenue growth.The analysis includes only companies with a market capitalisation above `100 crore. In comparison, Nifty 500 companies posted a lower aggregate revenue growth of 6% y-o-y.The healthcare sector performed well in 2024 amid global economic uncertainty driven by geopolitical tensions, trade disruptions, and interest rate volatility. The Nifty Healthcare Index emerged as the second-best performer among the 16 sectoral indices on the National Stock Exchange (NSE) over the past year.However, the sector's performance—particularly pharmaceuticals—has moderated in recent months due to concerns over the loss of exclusivity for generic Revlimid (gRevlimid), a cancer drug, which is expected to intensify competition and pressure prices and margins. Additionally, nearterm growth challenges in the domestic formulations segment have weighed on the sector outlook.Moreover, the recent announcement by US President Donald Trump regarding potential tariffs on pharmaceutical imports has dampened investor sentiment. Indian pharmaceutical companies, which earn a significant share of their revenue from US exports, are expected to feel the impact. As a result, the Nifty Pharma Index has become the fourth worst-performing sectoral index on the NSE in 2025 so far, based on data as of 23 June 2025.The long-term prospects of the pharmaceuticals sector remain intact. A recent Axis Securities report lists strong product pipeline in biosimilars, GLP-1 (class of drugs used to treat diabetes), and peptides (chain of amino acids used to treat diseases), stable margins, and higher contribution from chronic therapies as key growth catalysts for Indian pharmaceutical companies. Moreover, stability in price erosion, differentiated portfolio, and exposure to complex generics is expected to support the US generics segment.While concerns remain over the loss of exclusivity for gRevlimid, Indian pharmaceutical companies stand to gain from strong opportunities in the US generics market. The expiry of exclusivity is expected to accelerate generic launches, benefiting manufacturers— particularly Indian players.According to a recent report by Antique Stock Broking, a combination of greater loss-of-exclusivity opportunities, rationalised global competition, and improved regulatory compliance is expected to drive revenue growth for Indian pharmaceutical companies through new product launches and volume gains in existing businesses.Analysts also see potential in the CDMO (contract development and manufacturing organisation) space. A BNP Paribas report highlights investor feedback suggesting that India stands to benefit as global innovators diversify supply chains away from China. However, concerns persist over high valuations in the segment and limited near-term earnings visibility.In the hospital segment, factors such as the rise in lifestyle diseases, improving affordability and accessibility driven by higher disposable incomes, a significant demand-supply gap, growing medical tourism, a shift in payer mix due to increased insurance penetration, and bed capacity expansion by private players are expected to drive growth.Furthermore, low healthcare spending in India compared to the world average, rising median age, and a pickup in highgrowth therapies such as cardiac and cancer care—which boost ARPOB and occupancy— are the additional growth catalysts. An IBEF report estimates the Indian hospital market to grow by 8% CAGR between 2022-23 and 2031-32 to reach $193.6 billion. Here are the four stocks (two each from the pharmaceuticals and hospitals segments) with strong analyst coverage.Estimated TAM growth (%)
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First Post
13 minutes ago
- First Post
Sex scandal, illegitimate children and more: Why head monk of China's famous Shaolin Temple is under investigation
Shaolin Temple's abbot, Shi Yongxin, known as the 'CEO monk', is under investigation for alleged embezzlement, misuse of temple funds and violating Buddhist vows by having 'improper relationships' and 'fathering illegitimate children'. Authorities have revoked the ordination certificate of the monk who turned the 1,500-year-old temple into a global cultural and commercial brand read more Buddhist abbot Shi Yongxin talks to reporters at the Shaolin Temple in Dengfeng City in China's central eastern province of Henan, May 11, 2006. File Image/Reuters The Shaolin Temple is one of the most iconic religious and cultural landmarks in China. Now, its abbot, Shi Yongxin, has been placed under formal investigation over allegations of embezzlement, financial impropriety and breaches of Buddhist discipline. The case has put a spotlight on years of controversy surrounding Shi, often referred to as the 'CEO monk,' for his role in transforming the 1,500-year-old monastery into a global commercial brand. What are the allegations against Shi Yongxin? A statement released on the temple's official WeChat account confirmed that Shi is suspected of diverting and misusing project funds, as well as temple-owned assets. Beyond financial wrongdoing, he has been accused of long-term 'improper relationships' with multiple women and fathering at least one child — accusations that go against the Buddhist vow of celibacy. STORY CONTINUES BELOW THIS AD The statement noted that the 59-year-old abbot is currently under a 'joint investigation by multiple departments,' adding that more details will be made public as the inquiry progresses. In a move highlighting the seriousness of the accusations, the Buddhist Association of China announced on Monday that it had revoked Shi's ordination certificate — a document that grants official recognition of monastic status. The association condemned his alleged actions, stating: 'Shi Yongxin's actions are of an extremely egregious nature, severely tarnishing the reputation of the Buddhist community and damaging the image of monastics.' Shi has not made any public statement responding to the charges, and attempts by international media to contact him have so far received no reply. Who is Shi Yongxin? Born in 1965 in Yingshang, Anhui province, Shi Yongxin — originally named Liu Yingcheng — first arrived at the Shaolin Temple in 1981. He became a disciple of the 29th-generation abbot, Shi Xingzheng, and later assumed responsibility for temple management after his teacher's death in 1987. By 1999, he was formally appointed abbot, a position that placed him at the helm of one of China's most renowned religious sites. Shaolin Temple, located in Henan province's Songshan Mountains, is not only a place of worship but also the birthplace of Chan (Zen) Buddhism and Shaolin kung fu. President of the International Olympic Committee (IOC) Jacques Rogge (L) and Buddhist abbot Shi Yongxin watch martial arts performance at Shaolin Temple in Songshan, central China's Henan province, August 9, 2007. File Image/Reuters The temple is a UNESCO World Heritage Site, revered both for its spiritual legacy and its martial arts traditions that have been celebrated in films, literature and pop culture — including the landmark 1982 movie The Shaolin Temple starring Jet Li. STORY CONTINUES BELOW THIS AD A remake was made in 2011 starring Jackie Chan. Hong Kong actor Jackie Chan (L) holds a giant incense stick with Buddhist abbot Shi Yongxin, while actor Andy Lau (C) looks on, at the Shaolin Temple in Dengfeng, Henan province, October 22, 2009. File Image/Reuters Shi became known as the first Chinese abbot to earn a Master of Business Administration degree, a qualification that would later shape his approach to temple management. Under his leadership, Shaolin transitioned from a historic monastery into a sprawling brand. He licensed the Shaolin name for use in films, cartoons and video games, and built a network of businesses that spanned real estate, publishing, traditional medicine and global tourism. This drive to modernise made him a high-profile figure — but also drew criticism from those who accused him of commercialising the temple's sacred heritage. His frequent appearances abroad, often with an iPhone in hand and photographed alongside figures such as Queen Elizabeth II, Nelson Mandela, Henry Kissinger and Apple CEO Tim Cook, only heightened his reputation as the 'CEO monk.' Russian President Vladimir Putin (2nd R) accompanied by Yongxin (R), head monk of Shaolin Temple, which is famous for martial arts or Kungfu, visits Shaolin Temple in central China's Henan province, March 22, 2006. File Image/China Daily via Reuters In defending his approach, Shi argued that promoting Shaolin culture globally was essential for its preservation. When questioned about his initiatives, he once remarked: 'Cultural promotion is a very dignified undertaking.' STORY CONTINUES BELOW THIS AD After signing a $3 million deal to create a Shaolin branch in Australia, he famously asked: 'If China can import Disney resorts, why can't other countries import the Shaolin Monastery?' What does Shi's tenure at Shaolin tell us? As far back as 2006, Shi faced public anger for accepting a 1 million yuan ($140,000) luxury car from local authorities as a reward for boosting tourism. Responding to the uproar, Shi defended himself, saying: 'Monks are also citizens. We have fulfilled our duties and made contributions to society, so it is only right that we receive rewards.' In 2015, accusations against Shi escalated dramatically when an individual claiming to have insider knowledge posted allegations on Chinese social media. The claims painted him as an embezzler and a womaniser with multiple illegitimate children. The posts included documents dating to the late 1980s, including a supposed birth certificate for one of the abbot's alleged children and photographs of the mother and child. Shi strongly denied the allegations at the time. In an interview with BBC Chinese, he responded: 'If there were a problem, it would have surfaced long ago.' Authorities launched an investigation into the claims but, by 2017, concluded there was insufficient evidence to pursue charges. STORY CONTINUES BELOW THIS AD Despite this, Shi continued to hold prominent positions within China's religious hierarchy. He was re-elected as deputy head of the Buddhist Association of China in 2020, a role he had held since 2002. He also served as president of the Henan Provincial Buddhist Association since 1998 and represented his region in China's National People's Congress from 1998 to 2018. Where is Shi Yongxin now? The present investigation appears to have begun late last week, with the Chinese newspaper Economic Observer reporting that Shi was taken into custody by police in Xinxiang, a city in northern Henan. Social media rumours about his whereabouts increased over the weekend, some even falsely claiming he had attempted to flee to the United States with multiple mistresses and children — a story that authorities quickly dismissed as fabricated. Despite being one of China's most recognisable monks, Shi's public communications have ceased since the news broke. His Weibo account, where he has amassed more than 870,000 followers and typically posts daily, has been inactive since last Thursday. On Monday, his removal as an ordained monk by the Buddhist Association of China added further weight to the unfolding events. The association stated that it 'firmly supports and endorses the decision to handle Shi Yongxin's case in accordance with the law.' STORY CONTINUES BELOW THIS AD What about the Shaolin Temple? Founded more than 1,500 years ago, Shaolin Temple is more than just a religious site; it is an enduring symbol of Chinese culture and martial arts. Under Shi, the temple expanded worldwide, creating over 50 Shaolin cultural centres abroad and staging kung fu performances that reached audiences across continents. Shaolin martial arts students perform at Shaolin Temple in Dengfeng, Henan province, October 13, 2013. File Image/Reuters Critics claim that Shaolin's spiritual values were diluted by aggressive branding and business ventures, while supporters argue Shi helped ensure the temple's relevance in the modern world. With inputs from agencies
Time of India
an hour ago
- Time of India
Chinese consumer complaints show widespread padding of car sales figures
Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads Consumer Anger Tired of too many ads? Remove Ads Dealer complaints A tactic used by Chinese automakers and dealers to inflate car sales has grown increasingly common in recent years in response to a bruising price war in the world's largest auto market, a Reuters analysis of consumer complaints has found. Earlier this month, Reuters reported EV brands Neta and Zeekr had arranged for cars to be insured before buyers purchased them, a scheme that effectively inflates sales numbers and gives the appearance the companies were hitting periodic targets. But the controversial tactic was not limited to the two companies and was employed elsewhere in the industry, according to a Reuters review of 97 separate consumer complaints published on three widely used Chinese more than a dozen cases, buyers said they were informed by dealerships that the practice was specifically designed to meet sales allegations cover some of China's largest domestic and foreign brands by sales volume, including homegrown champion BYD and Toyota Volkswagen and Buick. The three foreign brands operate their China businesses in partnerships with state-owned giants GAC and SAIC Motor the earliest complaints date back to 2021, the majority were published this year and last as a price war squeezed an industry crucial to China's export-driven reviewed complaints posted on a third-party site used for consumer dispute resolutions, and two other similar sites. The platforms require owners to verify their identity and submit proof of their most of the cases reviewed, the automakers responded publicly, saying they sought to resolve was not able to independently verify the complaints or their is not clear what portion of China's car sales were inflated by the insurance which is a China joint venture partner for Volkswagen and Buick-owner General Motors, said it is committed to providing users with high-quality and standardised sales services but did not practice effectively disguises how much inventory automakers actually held, said Yale Zhang, managing director at consultancy Automotive Foresight."That could lead to a misjudgment of monthly demand within the industry and result in increased production scheduling," Zhang 2021 and 2025, 48 separate buyers said on that they purchased new cars only to later discover they were already insured by the of the buyers said they felt deceived by the dealerships, especially when they realised the insurance on their cars was registered in other there were 26 separate complaints published between 2021 and 2025 on the 315 auto consumer complaint platform, run by the state-owned China Internet Information 23 were posted between 2022 and 2025 on Black Cat, a widely used consumer complaint platform run by tech firm 14 complaints on the three platforms, buyers of BYD-, Neta-, Toyota-, Buick- and Chevrolet-branded cars said they were told by dealers the practice was aimed at booking sales early to meet complaint, filed in December against a SAIC GM dealer on alleged the automaker required 60 cars to be insured without buyers to meet sales complaint on filed in April alleged a BYD store in Shaanxi told a buyer it had 12 cars insured in a batch to inflate sales last of Li Auto, Changan, FAW-Volkswagen and Geely also reported cars being insured pre-purchase. Volkswagen Group China spokesperson said it refused to boost sales figures through insurance and that complaints would be Reuters identified 29 official media reports from 2020 to 2025 that detailed complaints against dealers of major brands, including BYD and Changan and foreign brands Volkswagen, GM, Toyota, Nissan and Honda , run by their joint ventures with state-owned Chinese media outlets, across 15 provinces and cities, are controlled and owned by the regional nine cases, dealers representing FAW Hongqi, SAIC Roewe, SAIC VW, Dongfeng Nissan, GAC Toyota, GAC Honda and SAIC GM told official media that insuring unsold vehicles was for booking purchases early to meet sales targets.A Honda spokesperson said that GAC Honda prohibits dealers from taking out compulsory insurance before selling new cars and that any dealers found doing so would be dealt with Hongqi said it does not use insurance plans to pre-confirm sales and any such activity was not official company China said it does not require wholesale vehicles to be insured pre-purchase and that it counts deliveries, not insurance, in its sales GAC Toyota, Geely, Changan, Nissan and Li Auto did not respond to requests for also identified five articles published by Chinese courts between March 2023 and March 2025 about consumers taking dealers to court for concealing pre-purchase car insurance. In three of those, the court ruled for the buyers who demanded compensation. Verdicts for the other two were not publicised.'ZERO MILEAGE' Vehicles booked as sold before reaching buyers are called "zero-mileage used cars" in China. The practice emerged out of the cut-throat competition as the market deals with a years-long price war caused by chronic than 100 car brands are competing intensely to survive consolidation, deepening pressure to bolster sales and take market and investors that track the industry use two sets of figures reported by automakers to the industry association show sales from automakers to dealers, while retail data compiled from mandatory traffic insurance registrations show the number of sales to of selling cars with existing insurance policies date back to 2016 when a Cadillac buyer told a regional radio programme he found the car was insured before his practice appears to have picked up after the price war started in early 2023, when several brands led by Li Auto started posting weekly sales rankings on social media based on insurance China Association of Automobile Manufacturers has criticised such postings as unreliable and this month blamed them for intensifying "vicious" competition.
Mint
an hour ago
- Mint
Nifty Pharma Index rises 1% amid weak India Stock Markets: Cipla and Laurus Labs among key gainers
Stock Market Today: The Nifty Pharma Index gained more than 1% amid a weak Indian stock market on a day when the benchmark Nifty 50 Index dipped 0.3-0.4% during the intraday trades. Cipla and Laurus Labs stood among the key gainers The Nifty Pharma index, showing its resilience, gained more than 1% during the intraday trades. The Nifty Pharma Index, which opened at 22690.50 on Monday, went to scale highs of 22,908.40, marking gains of more than 1% over the previous day's close of 22662.70. Laurus Labs, with gains of more than 7%, followed by Cipla, with gains of close to 2%, stood among key gainers. Glenmark Pharmaceuticals and Gland Pharma also gained more than 1%, helping drive gains. Nifty Pharma and Healthcare index have been showing resilience amid volatile stock markets since last few weeks While Nifty Pharma & Healthcare are the lone warriors displaying outperformance amidst this downfall in the markets, we expect sectors such as IT, Defense, Oil & Gas, Realty & CPSE to appear bearish and may continue to underperform in the near term, given their weak price structures and lackluster momentum indicators., said Sudeep Shah, Vice President and Head of Technical and Derivative Research, SBI Securities Technically, Cipla, Apollo Hospital are likely to outperform in the short term, as per Shah. The Indian Pharma index performance is also being helped by strong Indian Pharma market growth. The IPM growth during the month of June 2025 stood at a strong 11.5%, as per reports. Glemmark Pharmaceuticals, JB Chemicals and Pharmaceuticals, Mankind Pharma FDC Ltd, Alkem, Zydus, and Torrent were among the key outperformers as per Nuvama. While the pharma market is growing, the challenge is provided by rising generic sales and Jan Aushadhi Kendras. However, amidst challenges, Within formulations, Sun, Cipla, Lupin and Emcure are the top picks. of Kotak Institutional Equities Disclaimer: The views and recommendations above are those of individual analysts or brokerage companies, not Mint. We advise investors to check with certified experts before making any investment decisions.
