29 Jun , 2021 By : Kanchan Joshi
KIMS shares had a dream debut at BSE and NSE yesterday but the hospital stock has been undergoing heavy beating in the intraday trade session. KIMS share price today at NSE has made its low of Rs980, which is close to its listing date low of Rs973. According to market experts, if someone is looking to buy hospital shares for long-term, then KIMS hospital shares could be a good option for them. They said that the counter has strong fundamentals and its management is planning to further expand in Andhra Pradesh and Telangana by raising more money in future.
Speaking on the strong fundamentals supporting KIMS share price rally Avinash Gorakshkar, Head of Research at Profitmart Securities said, "Krishna Institute of Medical Sciences (KIMS) is a big brand in hospital chain business in south India and they have strong business outlook visible in their balance sheet. The hospital management has announced further expansion in Andhra Pradesh and Telangana and the management has predicted 15 to 20 per cent CAGR (Cumulative Average Growth Rate) in next five years."
Avinash Gorakshkar went on to add, "After bumper listing correction in KIMS share price was expected but after strong listing yesterday, KIMS shares are still around Rs150 above its issue offer of Rs815 to Rs825 per equity. So, one can buy KIMS shares in SIP mode and keep on accumulating till it is trading above its issue price."
Standing in sync with Avinamsh Gorakshkar's views; Saurabh Jain, Vice President at SMC Global Securities said, "Hospital business is expected to continue raking big moolah due to the Covid vaccination that is expected to continue for at least 6-9 months. This will definitely bring some extra revenue for the hospital in south India as it is one of the leading super specialty hospitals in south India. So, if someone has long-term investment view, then my advice to the investor is to keep maintaining buy on dips strategy in the KIMS hospitals shares till it is above Rs825. Fresh buyers should maintain stop loss at Rs10 below the issue price of the KIMS issue offering."
Speaking on KIMS share price target in long-term Avinash Gorakshkar said, "I won't be surprised if it hits Rs1400 to Rs1500 levels in one year to two year time-horizon."
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