Valuation & Outlook: FY19 has panned out on expected lines with sustained margin expansion and improvement in ROCE, as guided by the management at the beginning of the fiscal. The management has reiterated a similar strategy, going ahead, with more focus on consolidation of existing hospitals and making new hospitals profitable. The company owns one of the best integrated business models in the healthcare space with strong management pedigree. With the proposed pharmacy reorganisation, the path is clear for an out and out unlocking in the future. We believe the stock is poised to offer a better riskreward perspective at the current level. We value the stock on an SOTP basis by valuing the healthcare business (existing hospitals & JV) at 14x FY21E EV/EBITDA, healthcare business (new hospitals and JVs) at 1.5x FY20E and pharmacy business at 1.2x FY20E EV/sales. We have a target price of 1450.