Target: ₹555
CMP: ₹482.00
Dr. Agarwal’s Health Care (DAHL) is rapidly emerging as one of the leading organized eye-care chains in India, strategically positioned to benefit from a robust industry opportunity. This growth is driven by rising visual impairment, an aging population, and increased screen time. The Indian eye-care market, valued at approximately ₹37,800 crore in FY24, is projected to expand at a compounded annual growth rate (CAGR) of 12-14 percent, reaching between ₹55,000 and ₹65,000 crore by FY28.
The company has significantly increased its presence, expanding its network by 13 times since 2010 to encompass 272 facilities as of the third quarter of FY26. Its hub-and-spoke model facilitates swift geographical penetration while achieving strong operational efficiency.
Growth potential appears solid, supported by consistent increases in surgical volumes, projected to grow at a 35 percent CAGR from FY22 to FY25, and a 31 percent CAGR in patient footfall. This growth is further bolstered by new clinic openings and improvements in productivity per clinic. A trend toward premium services is also anticipated to drive over 20 percent revenue CAGR in the medium term.
DAHL showcases significant optionality through its adjacent services, particularly in optical and pharmaceutical products. These sectors benefit from captive demand, opportunities for cross-selling, and strong brand recognition.
In summary, DAHL offers a compelling opportunity in India’s currently underpenetrated and rapidly expanding eye-care market, supported by scalable infrastructure, effective execution, and favorable industry dynamics. Coverage is initiated with a Buy rating and a target price of ₹555, valuing the company at 22x FY28E EV/EBITDA.
Published on May 21, 2026.
