Nirmal Bang sees 41% upside in Zota Healthcare on faster store breakeven

Brokerage maintains Buy with Rs 1,795 target, citing ~15-month store breakeven (vs 18-24), 60% revenue CAGR and 227% Ebitda CAGR through FY28E as store maturity and operating leverage lift ROE to 12.5% and ROCE to 11.1%.

— Source publishedFri, 19 Jun, 2026, 09:35 IST·First seen Fri, 19 Jun, 2026, 10:44 IST·Source NDTV Profit

What happened

Nirmal Bang maintains Buy on Zota Healthcare with Rs 1,795 target (41% upside), citing faster store breakeven at ~15 months, expected 60% revenue CAGR and

Key facts

  • 41%
  • 15 months
  • 18-24 months
  • 60% revenue CAGR
  • 227% Ebitda CAGR
  • Rs 933 million PAT FY28E
  • ROE 12.5%
  • ROCE 11.1%
  • 20x EV/Ebitda
  • Target Rs 1,795

Why this matters

Accelerating store breakeven and ROCE climbing to 11.1% strengthen Zota's pharmacy retail platform value, opening doors for bolt-on regional chain acquisitions or strategic supply partnerships.