Metropolis Healthcare Ltd – Why I am buying this Healthcare stock?

Metropolis Healthcare Limited ranks among the greatest renowned and reputable diagnostics firms in the country. The company runs a worldwide presence of diagnostic facilities throughout the Middle East, Africa, South Asia and India. Over years, Metropolis really managed to create a niche on its own. The Firm’s loyal clientele is evidence of its effectiveness as just a provider of excellent diagnostic processes as well as solutions.

Metropolis healthcare

The sector’s expectations for accurate diagnostics, modern tools, customer contentment, plus service that is empathetic and grounded in research are rising due to the accomplishments of Metropolis. Metropolis offers a wide variety of clinical lab tests as well as profiles because to its extensive operational network. Employing these procedures & profiling, the conditions get forecasted, quickly spotted, diagnosed, validated, and/or tracked.

The competent and energetic leadership team at Metropolis is motivated by their commitment to achieving the established strategic objectives and goals.

Prominent multi-speciality hospitals in Africa, India, and Sri Lanka have labs run by Metropolis. The staff is indeed very well-versed in the field.

Metropolis enables hospitals to provide patients with the best diagnostic treatment without detracting from their primary emphasis on healthcare. It comes out to be a cost-effective alternative because it spares them the effort of managing yet another department. The referral lab performs a variety of clinical lab tests and functions as their full-fledged department.

There are 530 profiles and over 3,487 clinical lab tests available through the company’s wide range of services. The service portfolio of the company includes a variety of test combinations that are particular to a disease or problem and health profiles used for checking fitness and health.

Metropolis has made investments in numerous specialized tests and has also incorporated a number of cutting-edge tests and technologies that have been released on the international market. The company currently offers 2,799 speciality testing. The Company’s track record of offering specialized tests is one of the main factors contributing to its leadership status in the diagnostics sector. 

Current News Related to Metropolis Healthcare Limited

  • The press release about Surendran Chemmenkotil joining as the Chief Executive Officer (CEO) of Metropolis Healthcare Limited has indeed been enclosed on 9th December 2022, as required by Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, according to Metropolis Healthcare.
  • The declaration for GIM India Equity Active Open Mother Fund & Others required by Regulations 29(1) and 29(2) of the SEBI (Substantial Acquisition of Shares & Takeovers) Regulations, 2011, has been received by the exchange, according to Metropolis Healthcare on 1st December 2022.
  • JP Morgan Asset Management (Asia Pacific) & Others’ disclosure according to Regulation 29(1) of the SEBI (Substantial Acquisition of Shares & Takeovers) Regulations, 2011, has been received by the exchange, according to Metropolis Healthcare.

About Metropolis Healthcare Ltd. Stock

The Metropolis Healthcare stock belongs to the S&P BSE 500 index. The stock belongs to the listed category. According to stock exchange statistics, shares of Metropolis started at ₹960 on the BSE compared to the  ₹880 initial public offering price. The current share price at the time of writing is ₹1370.65. After Beijing abruptly dissolved its “zero-COVID” policy of lockdowns as well as testing that had sought to keep the virus out for three years, with tremendous economic and psychological consequences, experts have warned of a dramatic surge in cases in China and this news has affected shares of Metropolis Healthcare as well as other Diagnostic firm shares.

Stand-alone EPS over the last twelve trailing months of the company is 30.1. The standalone sales over the last twelve trailing months of the company are about ₹967 crores.  The total traded quantity (TTQ) of Metropolis Healthcare stock is ₹0.8 Lakhs. 

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The market capitalisation of a firm is calculated by multiplying its share price at the moment by the entire number of outstanding shares. The market capitalization of Metropolis Health was ₹6,563.1 as on 11th January 2023. The market capitalisation as per the free float methodology of Metropolis Healthcare stock is ₹ 3509.3 Crores. The full market capitalisation of Metropolis Healthcare stock is ₹7,018.59 crores. 

As of 11th January 2023, Metropolis Health’s PE ratio is 42.57. Metropolis Health’s most recent PB ratio is 7.28. The book value per share, or standalone BVPS, is ₹176.

The ROE of the Metropolis Healthcare stock is 13.76. The face value of the Metropolis Healthcare stock is ₹2. The CEPS for the last twelve trailing months is ₹37.30. The Turnover of the share is 10.81 Crores. The Metropolis Healthcare stock has suffered a 58.54% price loss since last year and a 5.38% price loss in the last six months which is very concerning. The extreme loss rate of Metropolis Healthcare stock is 3.50%. 

The Deliverable Quantity of Metropolis Healthcare stock is 25,125. The percentage of deliverable quantity to traded quantity of Metropolis Healthcare stock is 31.33%. The security margin of Metropolis Healthcare stock is 16.56 %. The applicable margin rate of Metropolis Healthcare stock is 20.06%. 

The revenue of the Metropolis Healthcare stock is reportedly ₹280.06 crores in September 2022. The net profit of the Metropolis Healthcare stock is noted to be 37.82 Crores in September 2022. The Operating Profit Margin (OPM) percentage of Metropolis Healthcare stock in September 2022 is 27.85%. The Net Profit Margin (NPM) percentage of Metropolis Healthcare Stock in September 2022 is 13.50%.

Compared to its three-year CAGR of 17.24%, the company’s yearly revenue growth of 23.36% surpassed it. Consolidated Financials, the source. Yesterday, a 14-day moving crossover appeared. 

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Conclusion

Although Metropolis Healthcare stock has suffered quite a considerable loss for years, the stock has been recently improving and doing very well hence can be seen as beneficial for buying. As a result of analysis and recent improvement, the Metropolis Healthcare stock can be considered okay to buy. So investors looking to buy the share at the moment can go ahead.

I personally have entered around Rs. 1350 and would be happy to add more if it dips from here. My next buy levels would be Rs. 1200 and Rs.1050. I think the stock is well poised to give a profit of 2-3x in next 5-10 years. I would revaluate my holdings of Metropolis Healthcare stock after it reaches Rs.5000.

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Author: Sanjib SahaSanjib is a finance based writer who has a deep knowledge in stock market, cryptocurrency and mutual funds. He is also a co-founder of Financesrule.com

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