Broker: Maybank Investment Bank Berhad
Date of Report: April 20, 2026
Excerpt from Maybank Investment Bank Berhad report.
Report Summary
- Stock: Sunway Healthcare (SUNMED MK)
- Action: Initiate BUY
- Target Price: MYR2.01 (implies +10% upside)
- Key Idea: SUNMED is positioned at the growth frontier as one of Malaysia’s largest private hospital groups, offering integrated care and demonstrating operational excellence, rapid asset ramp-up, and a high-growth expansion pipeline.
- Investment Highlights:
- Valuation based on DCF, reflecting a premium FY27E EV/EBITDA of 28x, justified by a younger asset base, proven greenfield execution, and long-term, visible expansion plans.
- Forecasted EBITDA CAGR of 23% for FY25–28E, outpacing key peers (KPJ, IHH), driven by high bed occupancy, revenue intensity, and aggressive bed additions (targeting over 3,400 beds by 2032).
- 100% Malaysia revenue exposure shields it from FX and macro shocks.
- Key risks: regulatory/policy changes, insurance/payor dynamics, competition, and cost pressures.
- Actionable Insight: Investors are advised to BUY SUNMED for its robust earnings growth, strong execution track record, and visible expansion, with a target price of MYR2.01.
above is an excerpt from a report by Maybank Investment Bank Berhad. Clients of Maybank Investment Bank Berhad can be the first to access the full report from the Maybank Investment Bank Berhad website : https://www.maybank.com/investment-banking
