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Hidden Gem : Artemis Medicare (Target Price 340) – Industry leading ARPOB

ICICIdirect Research 10 Jul 2026 DISCLAIMER

Artemis Medicare is a hospital venture owned by the promoters of the Apollo Tyres Group. It currently operates a single-asset 700-bed super speciality hospital in Gurugram.
After establishing itself as a premium single-asset hospital player, the company is looking to expand asset base as a de-risking move as it aspires to command better valuation multiple in line with the multi-asset hospital players (The stock currently trades at ~40-50% discount to larger multi-asset hospital players).
The company is looking to almost triple the bed capacity from current levels of 700 beds to ~2000+ beds over the next 3-4 years. This includes a 300 bedded hospital in Raipur which has just become operational. Another near-term expansion would be in the existing Gurugram facility for additional 300 beds.  The expected capex requirement would be in the manageable range of ~₹60-65 lakh per bed.
Artemis commands an industry leading ARPOB of ₹82,435 per day, as it derives ~30-35% of the revenues from international patients. International patient ARPOB is almost 1.5x-2x that of Domestic patients due to the additional facilitation fees and long stay procedures. From 26% in FY23, the International patient revenues has improved ~500 bps to 31% in FY26 registering a CAGR of 20% during the period.
It is one of the few hospitals in India with international JCI accreditation, a gold standard for an hospital’s operational quality. Note that India has only 47 such hospital assets and majority of them are owned by large pan-India hospitals. We believe this is one of the most important attributes for Artemis in order to attract more medical tourists which is in line with the government’s future plans to make India as a medical tourism hub.
We have a positive long-term view on the stock with a target price of ₹340 based on 18x FY28E EBITDA of ₹ 304.3 crore

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