Rainbow Children Medicare IPO (Initial Public Offering) is opening for subscription on April 27, 2022 i.e. tomorrow. While market investors are busy scrutinizing the company’s financial balance sheet, some stock market analysts have started giving their opinion on the public issue as well. Adhering to the ‘buy, hold and forget’ rule recommended by some stock analysts, this stock has shown confidence in the consistent business model of the multi-specialty hospital chain company.
Speaking on the fundamentals of Rainbow Children Medicare IPO, Santosh Meena, Head of Research, Swastika Investmart Ltd said, “Rainbow Children Medicare Ltd (RCML) is a leading multi-specialty Pediatric and Obstetrics and Gynecology hospital chain in India. They have established an economically disciplined focus on cost-effective The model has been followed. Development. Going forward, they may wish to expand their hospital network through acquisition of brownfield properties or development of greenfield properties.”
Santosh Meena of Swastika Investmart further said that Rainbow Children Medicare IPO is a combo of OFS and Fresh Issue and having an annualized price of PE of 43.53 on FY22 No. “Profitability for the 9 months ended 31st December 2021 increased to 126.41 crores from 38.53 crores in the corresponding period of previous financial year. There could be a possibility that this sudden jump in profitability was due to the second wave of Covid hospitalizations in the first quarter of FY 2011-22. Thus we believe that this rapid growth in profits may not continue in future can stay.”
Speaking on the Rainbow Children Medicare IPO, Abhay Doshi, Founder, UnlistedArena.com, said, “Rainbow Children Medicare Ltd. is leading the multi-specialty hospital chain in India with 1500 beds primarily following the hub-and-spoke model. is operating in six cities with a total bed capacity of Rs.
Abhay Doshi further said that in the upper price band, pre-fresh issue, the asking PE of the public issue comes to around 128x and the revenue by market cap comes to around 8x the FY2011 fiscal basis.
Abhay Doshi of UnlistedArena.com concluded, “The ask valuations are in line with the listed players. However, it will be curious to see whether the company can carry forward the performance of 9MFY21.”
On whether Rainbow Children’s Medicare IPO is good or bad for IPO investors, Santosh Meena of Swastika Investmart said, “Distinctive nature of the business, Experienced management team, Proven ability to attract, train and retain high caliber medical professionals Hospitals in India, under the penetration of , make the issue good for long-term investors.”
Rainbow Children Medicare IPO GMP
For Gray Market Followers, Rainbow Children’s Medicare IPO GMP remains stable today. According to Market Observers, Rainbow Children’s Medicare IPO is GMP Today 50, which is unchanged from its gray market premium on Monday.
Disclaimer: The views and recommendations given above are those of individual analysts or broking companies and not of Mint.