Top 10 Best Healthcare Company Stocks in India by Market Cap

The healthcare sector in India has seen significant growth, driven by increasing demand for medical services, advancements in technology, and a growing focus on preventive care. As one of the most dynamic sectors in the Indian economy, healthcare presents numerous investment opportunities, especially in healthcare stocks. Find out all about the top best 10 healthcare company stocks in India by market capitalisation, key details about the top 10 best healthcare companies of India and insights into why investing in this sector could be a wise decision for long-term wealth creation. 

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What is a Healthcare company?

Healthcare companies provide medical services, manufacture medical equipment, operate hospitals, facilitate medical tourism, offer health insurance, and produce drugs. All of these are crucial for maintaining public health and well-being. Healthcare in India is a growing industry due to the country’s large population and increased investment by both the government and private sectors. India’s healthcare system is divided into public and private sectors. The public sector focuses on providing healthcare in rural areas, setting up hospitals and medical stores where the underprivileged can receive treatments at nominal to no cost. In contrast, the private sector focuses on advanced healthcare services in urban areas.

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What are the Indices Reflecting Healthcare Companies?

Healthcare companies in India are often measured against specific indices that reflect the overall performance of the sector. The two main indices are:

• Nifty Healthcare Index: The Nifty Healthcare Index is a benchmark that tracks the performance of the healthcare sector within the Nifty 500 Index. It includes companies from pharmaceuticals, biotechnology, and medical devices, representing the overall health of the healthcare industry in India.
• BSE Healthcare Index: The BSE Healthcare Index is another key benchmark that tracks the performance of healthcare-related companies listed on the Bombay Stock Exchange (BSE). This index includes a diverse range of companies from pharmaceuticals, healthcare equipment, services, and biotechnology sectors.

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List of Top 10 Healthcare Stocks by Market Cap

Key Details of Top 10 Pharmaceutical Companies in India 2024

1. Max Healthcare Institute Ltd

CEO: Abhay Soi

Max Healthcare Institute Limited is a growing healthcare company in India, they are specializing in a range of medical services. They  operate mainly through its Medical and Healthcare Services segment and offer additional services like Max@Home and Max Lab. Max@Home, provides health and wellness services directly to patients at home, while Max Lab offers pathology services beyond its hospital network. They are well known for their expertise in various medical fields, including cancer care, cardiology, endocrinology, gastroenterology, neurosciences, liver and kidney transplants, orthopedics, and advanced surgical techniques like robotic and laparoscopic surgery. They have established a great healthcare services reputation with their services and treatment facilities. 

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2. Apollo Hospitals Enterprise Ltd

CEO: Dr Madhu Sasidhar

Apollo Hospitals Enterprise Limited is a growing healthcare company in India. It provides many services like, hospital care, retail health, diagnostics, and pharmacy distribution. The company provides their services through a network of private hospitals, clinics, diagnostic centers, and pharmacies. Apollo’s Retail Health and Diagnostics services are provided at clinics and diagnostic centers, while its Digital Health and Pharmacy Distribution services focus on the procurement and distribution of pharmaceuticals and wellness products through digital platforms and deliveries.

3. Fortis Healthcare Ltd

CEO: Dr Ashutosh Raghuvanshi

Fortis Healthcare Limited is a leading healthcare service provider in India, focusing mainly on healthcare services. With their 27 healthcare facilities, with 4,500 operational beds and over 400 diagnostics centers, The company operates through its healthcare services segment, offering a wide range of medical specialties such as cardiac sciences, oncology, neurosurgery, orthopedics, urology, and organ transplants. Fortis manages a network of multi-specialty hospitals, diagnostic centers, and daycare specialty facilities as well. 

4. Global Health Ltd

Founder: Naresh Trehan and Sunil sachdeva

Global Health Limited, also known as Medanta. Medanta provides services through a network of five hospitals, six Mediclinics, diagnostic laboratories, homecare, and telemedicine services across Delhi, Gurugram, Indore, Ranchi, Patna, and Lucknow. They offer advanced healthcare for various conditions, including coronary artery disease, cancer, epilepsy, Parkinson’s disease, and chronic diseases like diabetes and hypertension. Medanta is well known for its expertise in cardiac surgery, nephrology, urology, dermatology, ophthalmology, radiology, and interventional cardiology, among other specialties, providing extensive medical care.

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5. Narayana Hrudayalaya Ltd

Founder: Devi Prasad Shetty

Narayana Hrudayalaya Limited is a growing healthcare service provider in India, operating a chain of multispecialty, tertiary, and primary healthcare facilities. The company focuses on delivering medical and healthcare services through  hospitals that are located across the nation. Narayana Hrudayalaya provides a wide range of medical services, including anesthesia, blood banking, bone marrow transplants, cancer care, emergency medicine, endocrinology, general surgery, geriatrics, gynecology-oncology, pulmonology, radiation oncology, heart and liver transplants, and treatment for infectious diseases. The firm is well known for its wide healthcare and specialized medical services.

6. Dr. Lal PathLabs Ltd

CEO: Shankha Banerjee

Dr. Lal PathLabs Limited is a growing diagnostic company in India, specializing in providing a wide range of healthcare tests and services. The company works through laboratories that conduct pathological investigations across various branches, including biochemistry, hematology, microbiology, immunology, virology, and radiology. Dr. Lal PathLabs does testing for numerous conditions, such as allergies, diabetes, heart diseases, hypertension, cancer, liver disorders, bone disorders, and infectious diseases. The company also provides specialized testing for conditions like infertility, tuberculosis, multiple sclerosis, and muscular disorders, making it a comprehensive provider of diagnostic and healthcare services.

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7. Poly Medicure Ltd

CEO: Himanshu Baid 

Poly Medicure Ltd is a medical device firm originated from India. This company manufactures and sells a range of medical devices, including products for infusion therapy, oncology, anesthesia, urology, and many more. Some of their key products include suction control valves, safety arterial cannulas, and pre-filled syringes. The company supplies its products to about 120 countries all over Europe, Africa, America, Australia, and Asia.

8. Aster DM Healthcare Ltd

CEO: Dr Nitish Shetty

Aster DM Healthcare Ltd is a healthcare company that provides a range of  healthcare services. The company operates hospitals, clinics, and retail pharmacies, and also offers healthcare consultancy services. It is well established  in Gulf Cooperation Council (GCC) countries, including the UAE, Qatar, and Saudi Arabia, as well as in India. The company works under the brands Aster, Medcare, and Access. 

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9. Krishna Institute of Medical Sciences Ltd

CEO: Abhinay Bollineni

Krishna Institute of Medical Sciences Ltd is a healthcare company originated from India. The company has various specialized medical departments, like centers for pediatric care, fertility, cardiac sciences, and gastrointestinal oncology; they are famous for using advanced medical technologies like robotic surgical systems and MRI scanners. The institute is also  known for its institutes focused on cardiology, dental science, gastroenterology, and neurosciences. 

10. Rainbow Children’s Healthcare Ltd

Chairman: Ramesh Kancharla 

They are a multi-specialty hospital chain in India. The healthcare company specializes in pediatric and women’s healthcare, with 16 functional  hospitals and three clinics in six cities, with around 1,655 beds. It provides newborn and pediatric extreme care, as well as obstetric and gynecology services. 

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Why Invest in Healthcare Company Stocks?

When we think of investing our money what do we look for, as an investor we look for the return, growth over time and if it will be affected by economic conditions in the future, well let’s look at all the benefits that investing in health care company stock will provide you:

• Diversification of the Portfolio : Adding healthcare stocks to your investment  portfolio can help diversify investments, reducing risk and providing balance. Diversification across different sectors helps protect against market changes and results in more consistent returns over time.
• Global Growth: Many healthcare companies operate internationally as well, giving investors opportunity to get exposure to global markets. This can open up new growth opportunities and increase the potential for earnings as these companies expand their reach around the globe.
• Long-term growth: The healthcare sector is well known for its returns over time, making it a good option for long-term investment for investors. Unlike other sectors that may experience frequent ups and downs due to market changes healthcare tends to be more stable. Many healthcare companies also pay dividends, which can boost overall returns and help offset market fluctuations.
• Innovation-Driven Industry: The healthcare sector is at the forefront of innovation, with companies constantly developing new drugs, treatments, and technologies. This innovation drives growth and offers substantial returns to investors.

Also read: Top 10 Best Pharma Company Stocks in India by Market Cap

Wrapping Up 

Healthcare in India is a huge market with top institutions, hospitals and healthcare care sectors providing all the services and as the population increases we need these services more than before making this a growing industry which directly benefits all the investors as they get the opportunity to invest in sustainable healthcare stocks and diversify their investments.

Also read: 

• Best NRI Investments in India: Top 10 Investment Options for NRIs/OCIs in India 2024
• Best SIP to Invest in 2024 – Top 10 SIP Mutual Fund Plans for NRIs/OCIs
• 10 Mutual Funds that Doubled Investor’s Wealth in 3 Years

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Disclaimer: This blog has been written exclusively for educational purposes. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions. SBNRI does not intend to predict future returns, please read all related documents before investing.

FAQs

What is the best healthcare stock to buy in India? 

Here are the list of best healthcare company stocks in India at present:

• Indraprastha Medical Corporation
• Dr. Agarwal’s Eye Hospital
• Kovai Medical Center and Hospital
• Poly Medicure
• Fortis Healthcare

Which is the No 1 healthcare company in India? 

Max Healthcare and Apollo Hospital are the No 1 and No 2 healthcare company in India at present.

Which sector will grow in 2024? 

Here are the top sectors to watch for growth in 2024:

• Infrastructure
• Agriculture
• Power & Renewable Energy
• Tourism & Hospitality
• FMCG Sector

Which are the top 5 medical companies in India? 

The top five medical companies in India are:

1. Cipla
2. Divi’s Lab
3. Dr. Reddy’s Laboratories
4. Zydus Lifesciences
5. Mankind Pharma

Who is the world’s largest healthcare company? 

UnitedHealth Group Inc. is the largest healthcare company in the world.

What factors should I consider before investing in healthcare stocks?

Consider factors like the company’s market position, financial health, innovation pipeline, and global presence. It’s also important to understand the regulatory environment and the demand trends in the healthcare sector.

How does the healthcare sector compare to other sectors in terms of risk?

The healthcare sector is generally considered less volatile compared to other sectors like technology or finance. However, it is subject to regulatory risks and competition.

Are healthcare stocks suitable for long-term investment?

Yes, due to the sector’s defensive nature, growth potential, and innovation, healthcare stocks are often seen as suitable for long-term investments.

How can I invest in healthcare stocks in India?

You can invest in healthcare stocks by purchasing shares directly through a stock exchange or investing in healthcare-focused mutual funds or ETFs.