GPT Healthcare share price dips after strong listing. Buy, sell or hold?

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BSE and NSE at around 16 percent premium against the issue price of ₹177 to ₹186 apiece. On BSE, GPT Healthcare share price opened at ₹216.15 per share level and went on touch an intraday high of ₹219.70 apiece. On NSE, GPT Healthcare share price was listed at ₹215 apiece and went on to touch an intraday high of ₹219.90 per share.

However, the stock failed to sustain at higher levels after the profit-booking trigger. The newly listed stock soon retraced from the intraday high and touched an intraday low of around ₹200 apiece on both BSE and NSE. According to stock market experts, the company's profitability is susceptible to the cost of consumable items.

Apart from this, the company needs to improve in bed occupancy rate as well. They advised investors to book profit and review the stock after the announcement of its Q4FY24 results. On the strategy post-listing of GPT Healthcare share price, Prathamesh Masdekar, Research Analyst at StoxBox said, "Under the aim of building new capabilities, the company plans to adopt and focus on super specialties that are not a focus area or are available at specific hospitals.

However, the company's bed occupancy rate is lower than its listed peers. The company's profitability is susceptible to the cost of medical consumables, pharmacy items, drugs, and surgical instruments. The complex nature of treatments and procedures performed at its hospitals requires it to invest in new technology and equipment from time to time, which is generally expensive.

The company is yet to expand its operations successfully to other parts of India. The bed occupancy rates need to improve to reflect better in the financial performance. However, at the current juncture, we advise investors to book profits