New Delhi, Sept. 16 -- Brokerage firm Nomura has retained its 'neutral' rating on Fortis Healthcare stock with a target price of Rs.1,030 per share, saying that the rating is based on 25x FY28-29F average EBITDA.

"We believe that growth is priced in and EBITDA margin expansion faces headwind from ESOP charges. We remain conservative on the valuation multiple given insurers' growing bargaining strength, potential cost-control regulations, wage inflation pressures for both employees and doctors, and the high capital intensity of the business," the firm said in a note.

The brokerage firm further said that during the analyst call to provide an update on the Delhi High Court's recent order to conduct a forensic audit, the management has stat...