Rainbow Childrens Medicare Ltd: Why Is It Outperforming Nifty 500?

Rainbow Childrens Medicare Ltd's latest quarterly results (Mar 2026) show

• PAT Growth YoY: +36.8% (stable)
• Revenue Growth YoY: +24.3%
• Operating Margin: 31.0% (stable)

Rainbow Childrens Medicare Ltd's profit is growing with an stable trend.

• PAT Growth YoY: +36.8% (latest quarter)
• PAT Growth QoQ: +5.4% (sequential)
• 3-Year PAT CAGR: +10.0%
• Trend: Stable — consistent growth pattern

Rainbow Childrens Medicare Ltd's revenue growth trend is stable.

• Revenue Growth YoY: +24.3%
• Revenue Growth QoQ: +3.4% (sequential)
• 3-Year Revenue CAGR: +13.2%

Rainbow Childrens Medicare Ltd's operating margin is stable.

• Current OPM: 31.0%
• OPM Change YoY: 0.0% basis points
• OPM Change QoQ: -2.0% basis points

Rainbow Childrens Medicare Ltd's long-term compounding rates

• 3-Year Profit CAGR: +10.0%
• 3-Year Revenue CAGR: +13.2%

Rainbow Childrens Medicare Ltd's earnings growth is stable with mixed signals on a sequential basis.

• YoY Acceleration: +29.6% bps
• Sequential Acceleration: +8.0% bps

Rainbow Childrens Medicare Ltd's trailing twelve month (TTM) performance

• TTM PAT: ₹282 Cr
• TTM PAT Growth: +15.1% YoY
• TTM Revenue: ₹2,000 Cr
• TTM Revenue Growth: +12.4% YoY
• TTM Operating Margin: 31.6%

Rainbow Childrens Medicare Ltd appears significantly overvalued based on our fair value analysis.

• Valuation Signal: Significantly Overvalued
• Current PE: 52.1x
• Price-to-Book: 8.8x

Rainbow Childrens Medicare Ltd's current PE ratio is 52.1x.

• Current PE: 52.1x
• Market Cap: 14.6K Cr
• Dividend Yield: 0.24%

Rainbow Childrens Medicare Ltd's current PE is 52.1x.

• Current PE: 52.1x
• Valuation Assessment: Significantly Overvalued

Rainbow Childrens Medicare Ltd's price-to-book ratio is 8.8x.

• Price-to-Book (P/B): 8.8x
• Book Value per Share: ₹162
• Current Price: ₹1434

Rainbow Childrens Medicare Ltd is rated Average with a fundamental score of 49.45/100. This score is calculated from objective financial metrics

• Revenue Growth YoY: +24.3% (10% weight)
• PAT Growth YoY: +36.8% (10% weight)
• PAT Growth QoQ: +5.4% (10% weight)
• Margins stable (10% weight)

Rainbow Childrens Medicare Ltd has a debt-to-equity ratio of N/A.

• Total Debt: ₹891 Cr

Rainbow Childrens Medicare Ltd's return ratios over recent years

• FY2024: ROCE 19.0%
• FY2025: ROCE 19.0%
• FY2026: ROCE 18.0%

Rainbow Childrens Medicare Ltd's operating cash flow is positive (FY2026).

• Cash from Operations (CFO): ₹420 Cr
• Free Cash Flow (FCF): ₹161 Cr
• CFO/PAT Ratio: 149% (strong cash conversion)

Rainbow Childrens Medicare Ltd's current dividend yield is 0.24%.

• Dividend Yield: 0.24%
• Current Price: ₹1434

Rainbow Childrens Medicare Ltd's shareholding pattern (Mar 2026)

• Promoters: 49.8%
• FII (Foreign): 17.2%
• DII (Domestic): 21.1%
• Public: 11.7%

Rainbow Childrens Medicare Ltd's promoter holding has remained stable recently.

• Current Promoter Holding: 49.8% (Mar 2026)
• Previous Quarter: 49.8% (Dec 2025)
• Change: 0.00% (stable)

Rainbow Childrens Medicare Ltd has been outperforming Nifty 500 for 5 consecutive weeks, indicating building momentum.

Rainbow Childrens Medicare Ltd is an established outperformer with 5 weeks of consecutive Nifty 500 outperformance.

Based on quantitative research signals, here is why Rainbow Childrens Medicare Ltd may be worth studying

• Earnings growing at +36.8% YoY
• Cash flow is positive — CFO ₹420 Cr

Rainbow Childrens Medicare Ltd investment thesis summary:

Rainbow Childrens Medicare Ltd's forward outlook based on current data signals

• Earnings Trend: stable
• Revenue Trend: stable
• Margin Trend: stable
• Valuation: Significantly Overvalued