Narayana Hrudayalaya Ltd

Price story Before the numbers, the tape. A stock price moves through four repeating seasons: a flat base (stage 1), an advance (2), a top (3), a decline (4). Where the price sits in that cycle frames everything below.

Narayana Hrudayalaya Ltd trades at ₹2,029, in a confirmed uptrend and 9 weeks into that stage. That is +9.6% against its own 200-day average. It sits at 97% of a 52-week range of ₹1,636 to ₹2,043. On relative strength it is currently behind the NIFTY 500 on a trailing-13-week view (2 weeks and counting).

Today the stock is in a confirmed uptrend — week 9 of stage 2, confirmed. At ₹2,029 it trades +9.6% versus its 200-day average and sits at 97% of its 52-week range (₹1,636–₹2,043).

Against the market, two honest reads. Cumulative: over the last 10.4 years the stock moved +602% while the NIFTY 500 moved +276% — ahead of the index over the full window. Recent form: on a trailing-13-week view the stock is currently behind (2 weeks and counting; last ahead the week of 2026-07-17) — the ribbon below is that same metric, week by week.

What would end the trend, mechanically: two Friday closes in a row below the 200-day line. That is the exit rule — no debates.

Valuation P/E is the price of ₹1 of annual profit: how many rupees the market pays for each rupee the company earns in a year.

Narayana Hrudayalaya Ltd trades at 48.1× P/E, mid-range by its own standards (52nd percentile). Its long-run median P/E is 47.0×, measured across 10.4 years of weekly readings. This places the multiple against the stock’s own record, and says nothing about what the business is worth.

Today's P/E of 48.1× is mid-range by its own standards (52nd percentile), against a long-run median of 47.0× measured over 10.4 years of weekly readings. This is a comparison against the stock's own history — not a claim about what it is worth.

Why the multiple sits where it does: over the past year annual EPS moved +2.0% against a +4.3% price move — the price outran earnings, pushing the multiple UP its own range.

The price move, decomposed: over 5y, of the +32.9%/yr price move, ~+36.5%/yr came from earnings growth and ~−3.6 pp from the multiple (compressing); over 10y, of the +21.4%/yr price move, ~+35.1%/yr came from earnings growth and ~−13.7 pp from the multiple (compressing). The split is the honest approximate (price return minus earnings growth); it makes the rally itself visible instead of hiding it behind the percentile.

Put together: the multiple is unremarkable against its own past, so the story rests on the earnings line underneath it, not the multiple.

Stage: Mixed Every business sits somewhere on a fundamental arc, and this page names the spot before anything else. The last twelve quarters of revenue, profit and EPS growth — plus the return the business earns on its capital — are read as curves: Deteriorating (the curves are falling), Turning around (a trough has just formed and the last few quarters lift off it), Improving (the climb off the trough is sustained), Consistent (steadily positive with healthy returns), Topping out (still high but decelerating from the peak). When the curves genuinely disagree the read is Mixed; too little history is No read. CAGR (compound annual growth rate) is the smooth yearly pace that turns the starting value into the latest one — the fairest way to compare growth across different time spans. Read the columns together: if the 1-year number towers over the 10-year, recent growth is running hotter than the long-run trend. A dash means that window is not held, or the base year was a loss (where a growth rate is not meaningful).

Narayana Hrudayalaya Ltd reads as mixed on its fundamental arc. Mixed — no clean majority across the growth curves, ROCE slipping at 14.5% — the per-curve reads carry the story. The read is built from 12 quarters across 4 curves, on full evidence.

Why it matters: when the curves disagree, the per-curve reads above matter more than any single verdict.

4-Factor Sector Score

39.3/100 — rank 16 of 19 in Hospitals · 87% evidence confidence

Narayana Hrudayalaya Ltd scores 39.3 out of 100 against the 19 companies it is compared with in Hospitals, ranking 16. Balanced evidence: keep at normal research priority and require another comparable period before raising conviction.

The four contributions add to the total exactly: 12.6 + 11.6 + 6.1 + 9 = 39.3. This is the SAME number shown on the sector comparison — it is computed once, for the whole peer set, and read here.

What would change it: The read weakens if profit growth turns negative or margin improvement reverses while sector-relative strength deteriorates.

Revenue Revenue is the top line: everything the company billed its customers in the period.

Narayana Hrudayalaya Ltd reported ₹2,684 Cr of revenue in the Jun 26 quarter, +78.1% year on year. That is the 12th straight quarter of year-on-year growth. Over 10 years it has compounded at 17.2% a year. The last full year, FY26, came in at ₹7,896 Cr. The last four reported quarters add to ₹9,073 Cr.

FY26 revenue came in at ₹7,896 Cr (+44.0% on the year), capping 10 years at 17.2% compound. The latest quarter (Jun 26) printed ₹2,684 Cr, +78.1% year on year — the 12th consecutive quarter of year-over-year growth.

Pace check: the last four quarters averaged +58.9% growth against the decade's 17.2% — the current year is running faster than its own long-run rate.

Acceleration check: trailing-twelve-month revenue grew +59.6% over the last 4 quarters against +33.9%/yr over the last 8 — accelerating; TTM profit +3.8% vs +0.5%/yr — accelerating.

Operating margin Operating margin is what is left of every ₹100 of sales after running the business, before interest and tax. It is the cleanest read on pricing power and cost control.

Narayana Hrudayalaya Ltd's operating margin is 17.0% in the Jun 26 quarter, −5.0 percentage points against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 7.0% to 24.0%. The current quarter sits inside that band.

The latest quarter's operating margin is 17.0%, −5.0 pp against the same quarter a year ago. Across 13 fiscal years the operating margin has ranged 7.0%–24.0%.

🚨 Why the margin moved: operating margin went −4.9 pp year on year while gross margin went +1.1 pp — the loss came mostly below the gross line: operating leverage, with costs spread over a bigger revenue base.

Net profit Net profit is what survives every cost, interest and tax — the number EPS, dividends and book value all grow from.

Narayana Hrudayalaya Ltd earned ₹207 Cr of net profit in the Jun 26 quarter, +5.1% year on year. It is the 2nd consecutive quarter of growth. Full-year FY26 profit was ₹806 Cr. The 10-year compound rate is 44.0%. That is 7.7% of the quarter's revenue. The same quarter a year earlier earned ₹197 Cr.

Jun 26 profit was ₹207 Cr, +5.1% year on year — the 2nd consecutive quarter of growth. On the full year, FY26 printed ₹806 Cr (+1.9%), and the 10-year compound rate is 44.0%.

Why profit moved: revenue contributed +78.1% and the margin −5.0 pp — the quarter was revenue-led despite a thinner margin.

Pace comparison, last four quarters: profit +3.5% vs revenue +58.9%. Profit is growing slower than sales — costs are eating the growth before it reaches the bottom line.

Cash flow — the router The P&L says what was earned; the cash-flow statement says what actually arrived. Operating cash flow (CFO) against profit is the cleanest lie detector in the accounts.

Over the last 3 fiscal years 154% of Narayana Hrudayalaya Ltd's reported profit arrived as operating cash — the cash follows the profit. In FY26 that was ₹1,621 Cr of operating cash against ₹806 Cr of profit. After ₹4,184 Cr of capital spending, ₹−2,563 Cr was left as free cash.

FY26: operating cash of ₹1,621 Cr against reported profit of ₹806 Cr, leaving free cash of ₹−2,563 Cr after ₹4,184 Cr of capital spending. Across the last 3 fiscal years the conversion rate is 154% of profit.

Cash-flow readings here are annual — that is the resolution our series carries, so this section moves once a year.

Why conversion sits at 154%: the cash cycle tightened 26 days between FY21 and FY26 — cash that used to wait in the cycle now reaches the bank sooner.

Router verdict: the bigger cash user is investment — capital spending ran 6.7× depreciation over three years, so the next section's job is to check what that build-out is buying.

Where the cash goes Working capital is the cash tied up between paying suppliers and getting paid: debtor days (customers owe), inventory days (stock waits), and the cash conversion cycle (the whole loop, in days of sales).

Narayana Hrudayalaya Ltd's cash conversion cycle runs −176 days in FY26, down from −150 days in FY21. Capital spending ran ₹6,460 Cr over the last 3 years. At FY26 sales of ₹7,896 Cr each day of that cycle holds about ₹21.6 Cr, so roughly ₹−3,807 Cr sits inside the business at any moment.

FY26: debtors at 30 days, inventory at 42 days — roughly 1.4 months of stock waiting to sell; that is where the cash sits while it waits — for a full cycle of −176 days, tighter than FY21's −150.

The full loop: cash goes out to suppliers and production on day 0; stock waits 42 days to sell; customers pay about 30 days after that; and suppliers themselves are paid at 248 days — netting out to the −176-day cycle.

In money terms: at FY26 sales of ₹7,896 Cr, each day of the cycle holds about ₹21.6 Cr — so the −176-day loop keeps roughly ₹−3,807 Cr sitting inside the business at any moment.

On the investment side: capital spending of ₹6,460 Cr over the last 3 fiscal years against ₹967 Cr of depreciation — the company is building well ahead of wear-and-tear. Capital work-in-progress stands at ₹292 Cr (FY26) — capacity paid for but not yet earning.

The synthesis: the cash is going into capacity, not disappearing into the cycle — the question becomes whether the new capacity earns.

Return on capital Return on capital employed (ROCE) is the profit the whole business earns on all the money in it — equity and debt together. It is the single best test of whether growth creates value or just size.

Narayana Hrudayalaya Ltd earns a ROCE of 16% in FY26. That is up from a trough of 2% in FY21. Return on invested capital clears the cost of that capital by +1.0 percentage points, so growth here adds value rather than only size. The wiring behind it is 10.2% net margin on 0.63× asset turns.

FY26 ROCE is 16%, recovered from a FY21 trough of 2% — the full ladder below shows the fall and the climb, undoctored.

Why the return is what it is — the wiring (FY26): 10.2% net margin × 0.63× asset turns × 2.75× balance-sheet leverage ≈ 17.7% on equity. Margin does its share; leverage is a meaningful part of the equation.

The capstone test — ROIC − WACC: 13.0% − 12.0% = a +1.0 pp spread. The 12.0% is a standing assumption for the cost of capital in India, not a per-stock estimate — read the sign and the size of the spread, not the decimals. Positive but thin — value creation with little room for error.

Debt Debt-to-equity says how much of the business is funded by borrowings. Low is the safe corner; the trend matters as much as the level.

Narayana Hrudayalaya Ltd carries total debt of ₹5,857 Cr against shareholder equity of ₹4,540 Cr as of Mar 26, a debt-to-equity of 1.29. On the annual view that ratio went from 0.49 in FY22 to 1.29 in FY26. Read the returns elsewhere on this page with that leverage in mind.

Mar 26: total debt of ₹5,857 Cr against shareholder equity of ₹4,540 Cr — a debt-to-equity of 1.29. On the annual view, debt-to-equity went from 0.49 (FY22) to 1.29 (FY26). Read the returns on this page with that leverage in mind.

Ownership Who owns the stock, quarter by quarter: promoters (the controlling owners), foreign and domestic institutions, and the public. Steady accumulation by people close to the numbers is a signal; a quiet register is also an answer.

No holder of Narayana Hrudayalaya Ltd moved a full percentage point over the last two years — the register is quiet. Promoters moved −0.6 points over the same window, to 63.3%. The register is read on the four disclosed classes only; nothing is inferred between filings.

The register over the last two years — Domestic institutions: +0.8 points over 8 quarters to 9.1%; Promoters: −0.6 points over 8 quarters to 63.3%; Foreign institutions: −0.6 points over 8 quarters to 9.4%.

Safety line The Z-score estimates how far a company sits from balance-sheet distress — above roughly 3 is safe, below roughly 1.8 is the danger zone. It was built for manufacturers, so it is not applied to banks and lenders.

Narayana Hrudayalaya Ltd: the Z-score is not available for this stock, so we say so rather than invent one. It is a distance-to-distress estimate from the balance sheet, not a forecast of failure. The debt, cash-flow and return sections above carry the balance-sheet evidence this page does hold, and each of them states its own reporting date.

The safety line in one sentence: the Z-score is not available for this stock, so we say so rather than invent one.

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