Fortis Healthcare: Correction a good entry point

Steady growth and value unlocking potential are keeping analysts positive on the company

The Fortis Healthcare stock has fallen about 30 per cent from its all-time high of Rs 230.90 seen in early May as investor sentiment weakened with the promoters’ plan to sell a stake in the company fizzling out. While the news flow around the promoter’s financial services company, Religare Enterprises, may also be weighing on sentiments, analysts say since Fortis Healthcare and Religare are two separate entities, with nil holding in each other, they are not worried.

Analysts say part of the correction is linked to uncertainty over the promoters’ stake sale plan in Fortis as Daiichi Sankyo keeps exploring legal