Krishna Institute of Medical Sciences Share Price Target 2026 to 2030

Krishna Institute of Medical Sciences Share Price Target 2026 to 2030

Krishna Institute of Medical Sciences Ltd (KIMS) is one of the largest private healthcare providers in Andhra Pradesh and Telangana, offering multi-specialty tertiary and quaternary care across tier-1 and tier-2 cities. With a strong presence in high-demand medical segments like cardiology, neurology, oncology, and organ transplants, KIMS has grown rapidly through organic expansion and strategic acquisitions. However, its current valuation—trading at a P/E of over 84x—and rising debt levels warrant cautious optimism. This article provides a fact-based outlook and realistic share price targets for each year from 2026 to 2030.

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KIMS: Company Overview

  • Incorporated: 1973 (listed in 2021)
  • Business: Multi-specialty hospital chain with ~4,000 beds across 10+ hospitals
  • Geography: Primarily Andhra Pradesh & Telangana; expanding into Karnataka and Maharashtra
  • Ownership: Promoter holding at 34.11% – led by Dr. Bhaskar Rao Bollineni and family
  • Listed: Yes – on BSE (543301) and NSE (KIMS) since August 2021

Clarifications:

  • Who owns KIMS? The Bollineni family (promoters) hold 34.11%; rest is held by institutions (DII + FII = 46.9%) and public.
  • Is KIMS listed? Yes – listed on August 4, 2021.
  • What was the IPO listing price? ₹281 per share (IPO price: ₹280).
  • Why is KIMS share price falling? Due to rich valuation (P/E >84x), rising debt (₹708 Cr), and profit-taking after a 300%+ rally since 2023.
  • Target price? Realistic 2026 range: ₹780–₹880 (see detailed breakdown below).

KIMS: Key Financial Snapshot

MetricValue
Market Capitalization₹24,686.57 Cr
Current Share Price₹617
52-Week High / Low₹798 / ₹474
P/E (TTM)84.46
P/B (TTM)10.78
Book Value (TTM)₹57.24
EPS (TTM)₹7.31
ROE15.02%
ROCE16.99%
Dividend Yield0%
Debt₹708 Cr
Cash Reserves₹29.50 Cr
Sales Growth (YoY)13.26%
Profit Growth (YoY)28.73%

Shareholding Pattern

CategoryHolding (%)
Promoters34.11%
Domestic Institutions (DII)32.61%
Public (Retail)18.95%
Foreign Institutions (FII)14.33%
Others0%

Note: Promoter holding has declined from ~40% at IPO, raising mild governance concerns.


Krishna Institute of Medical Sciences(KIMS) Share Price Target Forecast (2026–2030)

Given the high P/E, strong profit growth, but modest ROE/ROCE, the upside is limited unless earnings accelerate further. Targets assume:

  • EPS CAGR of 20–22% (supported by 28.7% recent profit growth)
  • P/E compression from 84x to 50–55x by 2030
  • Debt management as a capex cycle peaks
YearTarget Price Range (₹)
2026₹780 – ₹880
2027₹840 – ₹960
2028₹900 – ₹1,050
2029₹960 – ₹1,140
2030₹1,020 – ₹1,230

⚠️ Important: Even at ₹1,230 in 2030, P/E would be ~55x—still premium vs hospital peers like Apollo (P/E ~45x).


Year-wise Breakdown

Krishna Institute of Medical Sciences(KIMS) Share Price Target 2026

YearTarget 1Target 2
2026₹780₹880
  • Rationale: Near-term upside supported by new hospital launches (Hyderabad, Bengaluru) and strong patient footfall. However, valuation caps aggressive moves.

Krishna Institute of Medical Sciences(KIMS) Share Price Target 2027

YearTarget 1Target 2
2027₹840₹960
  • Rationale: Expected benefit from operational scale-up and higher occupancy rates. EBITDA margins may improve to 28–30%.

Krishna Institute of Medical Sciences(KIMS) Share Price Target 2028

YearTarget 1Target 2
2028₹900₹1,050
  • Rationale: By 2028, debt/EBITDA could fall below 2x, supporting re-rating. ROCE may improve above 18% with asset utilization.

Krishna Institute of Medical Sciences(KIMS) Share Price Target 2029

YearTarget 1Target 2
2029₹960₹1,140
  • Rationale: Long-term play on India’s private healthcare boom and medical tourism. Success depends on execution in new geographies.

Krishna Institute of Medical Sciences(KIMS) Share Price Target 2030

YearTarget 1Target 2
2030₹1,020₹1,230
  • Rationale: The upper end assumes sustained 25%+ EPS growth, dividend initiation, and market leadership consolidation. Still, valuation remains rich.

Strengths vs Risks

Strengths

  • Strong brand in South India with high patient loyalty
  • Expanding bed capacity and specialty services
  • Consistent 28%+ profit growth
  • High institutional ownership (47%)

⚠️ Risks

  • Extremely high P/E (84x) leaves little margin for error
  • Rising debt (₹708 Cr) from aggressive capex
  • No dividends – not suited for income investors
  • Promoter holding decline (from 40% → 34%)

Investment Suitability

FactorAssessment
Risk ProfileHigh (premium healthcare stock)
Time HorizonLong-term (5+ years)
VolatilityHigh
Dividend/IncomeNone (0% yield)
Ideal InvestorGrowth-focused investor bullish on India’s private healthcare demand

FAQs

The Bollineni promoter family holds 34.11%; the rest is institutional and retail.
For 2026, a realistic range is ₹780–₹880. By 2030, it could reach ₹1,020–₹1,230.
Yes – listed on NSE & BSE since August 2021.
Due to valuation concerns, profit booking, and rising debt, not business deterioration.
IPO price was ₹280; listed at ₹281 on August 4, 2021.

Final Verdict

KIMS is a high-quality healthcare player with strong operational momentum, but its current valuation is stretched. While long-term demand for private healthcare in India remains robust, investors should expect moderate returns unless profitability accelerates further. Our 2026–2030 price targets (₹780–₹1,230) reflect steady appreciation—not speculative hype. Consider accumulating only on significant corrections.

📌 Disclaimer: Price targets are estimates based on current fundamentals and sector trends. They are not investment advice. Please consult a SEBI-registered advisor before investing.


Sources

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