Hospital stocks in 2026: Which ones are worth following for long-term investors

Investing in hospital stocks is a highly probable decision for those seeking steady and reliable income over the long term. At the same time, hospital stocks attract investors because of the vital role healthcare institutions play in the economy and society. Although in 2025 there were some dips in this sector, top-performing stocks remain trustworthy with ongoing growth potential.

Why is investment in hospital stocks gaining more attention?

Hospital stocks are known among investors as “Defensive Stocks,” meaning these businesses tend to be relatively stable and less dependent on overall economic conditions.

Consistent revenue streams are a key strength of this sector. Once a hospital is built and facilities are upgraded, it generates continuous cash flow from patient services. This contrasts with other industries like real estate, which require ongoing construction.

Low risk is another factor. Hospital stocks do not tend to decline sharply during market downturns. Conversely, during economic booms, they do not necessarily surge but offer steady and safe returns.

Additionally, the aging population and the emergence of new diseases drive demand for medical services, creating promising growth opportunities for hospitals in the long run.

How to analyze and select suitable hospital stocks

Before investing in any hospital stock, investors should understand proper analysis methods.

Customer focus is crucial. Some hospitals specialize in international patients and medical tourism, while others serve domestic patients and social security beneficiaries. This affects revenue stability and resilience to economic changes. For example, if a hospital mainly caters to European patients, monitoring regional economic conditions is important.

P/E ratio (Price-to-Earnings) indicates investment value by comparing stock price to earnings per share. A high P/E may reflect high growth expectations, while a low P/E could suggest lower risk or undervaluation.

ROE (Return on Equity) measures how efficiently a company uses shareholders’ equity to generate profit. A high ROE indicates good business quality.

Growth strategies vary among hospitals. Some pursue mergers and acquisitions, others expand into new promising areas, and some focus on specialized services. Investors should choose strategies aligned with their investment goals.

7 Leading Companies in the Healthcare Industry: Data and Analysis

1. Bangkok Dusit Medical Services (BDMS)

BDMS is a regional healthcare leader with a network of hospitals and medical centers across Laos, Mongolia, and Myanmar. Founded in 1975, it now serves over 5,500 outpatient visits daily.

BDMS plans to expand its international customer base, increase bed capacity, and develop specialized medical centers, which are expected to support steady medium- and long-term growth.

• Market Cap (million Baht): 319,430
• Current Price (Baht): 20.00
• Net Profit 2025 (million Baht): 16,100 – 16,300
• ROE: 16.8%
• P/E (times): 19.5
• Revenue Breakdown: Domestic and international hospital groups

2. Bumrungrad Hospital (BH)

BH is a leading private hospital established in 1984, serving a large number of social security insured patients. Its notable strength is a high proportion of international patients, demonstrating its capacity for medical tourism.

The company plans to restructure services and expand facilities to meet increasing demand for high-quality medical care.

• Market Cap (million Baht): 135,060
• Current Price (Baht): 167.50
• Net Profit 2025 (million Baht): 7,400
• ROE: 31.9%
• P/E (times): 19.3
• Revenue Breakdown: High proportion of foreign patients

3. Bangkok Chain Hospital (BCH)

BCH is a leading private hospital with the highest market value in Thailand’s healthcare sector. Founded in 1969, it operates 15 hospitals and 2 polyclinics in Bangkok, provinces, and Laos.

Krungsri Securities upgraded BCH to “Buy” from “Hold,” expecting a 23% net profit growth in 2025 compared to the previous year.

• Market Cap (million Baht): 25,190
• Current Price (Baht): 10.20
• Net Profit 2025 (million Baht): 1,300 – 1,400
• ROE: 11–12%
• P/E (times): 19.7
• Revenue Breakdown: Thai patients and social security

4. Ramkhamhaeng Hospital (RAM)

RAM is a tertiary private hospital renowned for specialized treatments, especially in cardiology, neurology, orthopedics, and advanced surgery. Established in 1976, it is located in a densely populated area.

Its strengths include cash-paying patients and health insurance, along with complex treatments that yield high margins, ensuring long-term stability.

• Market Cap (million Baht): 21,720
• Current Price (Baht): 18.20
• 52-week Range: 16.60 – 22.90 Baht
• ROE: 3.38%
• P/E (times): 33.41
• Revenue Breakdown: IPD 60–70%, OPD 25–35%

5. Vibhavadi Medical Center (VIBHA)

VIBHA operates general hospitals founded in 1976, aiming to provide accessible healthcare for Thais.

In 2025, it expects clear growth driven by increased beds and new business expansion. Yuanta analysts recommend “Buy” with a target price of 2.74 Baht.

• Market Cap (million Baht): 18,470
• Current Price (Baht): 1.88
• Net Profit 2025 (million Baht): 778.31
• ROE: 8.49%
• P/E (times): 47.6
• Revenue Breakdown: OPD 45%, IPD 55%

6. Chularat Hospital (CHG)

Founded in 1986 with registered capital of 1.1 billion Baht, CHG has 12 subsidiaries and 15 hospital, clinic, and medical center branches in Bangkok, provinces, and Laos.

It plans to expand branches and beds to meet rising demand in growing economic areas.

• Market Cap (million Baht): 17,270
• Current Price (Baht): 1.50
• Net Profit 2025 (million Baht): 20 – 40
• ROE: 10.23%
• P/E (times): 21.7
• Revenue Breakdown: Cash patients 65–70%

7. Rama 9 Hospital (PR9)

PR9 aims to be a modern, trusted health care hub. Founded in 1989, it mainly serves Thai patients but also caters to international clients from China, Myanmar, Laos, and Cambodia.

It invests in advanced medical equipment and digital platforms like 9 CARE to enhance patient experience.

• Market Cap (million Baht): 14,940
• Current Price (Baht): 18.7 – 18.9
• Net Profit 2025 (million Baht): 520 – 560
• ROE: 14%
• P/E (times): 18.4
• Revenue Breakdown: OPD / IPD

Comparison of major hospital stocks in the market

Key factors making these stocks reliable choices

Strong financial position

Hospital stocks tend to generate stable cash flows. Once a hospital is established, it provides ongoing revenue, unlike other sectors that may require repeated investments.

Management confidence

Many investors choose hospital stocks because they understand the business, find decision-making easier, and have clear information. Healthcare operations are generally easier to grasp than tech businesses.

Growing demand from the population

The rise in elderly populations, demand for high-standard medical services, emergence of new diseases, and medical tourism trends all drive long-term growth opportunities for hospitals.

Resilience during volatility

Hospitals often maintain profitability even during economic downturns because healthcare is essential regardless of economic conditions. This makes hospital stocks a safe choice for long-term portfolios.

How to select suitable hospital stocks

Study fundamental data

Research the hospital’s service quality, revenue, expenses, and health policies affecting operations before investing.

Analyze financial performance

Review operational costs, revenue streams, and financial reports to assess the company’s health accurately.

Understand organizational structure

Familiarize yourself with management and business plans. Good governance builds investor confidence.

Monitor stock price movements

Track historical prices, recent trends, news, and financial factors influencing stock prices to make informed decisions.

Seek expert advice

If you lack expertise, consult experienced analysts in healthcare stocks. Expert guidance provides a solid foundation for your decisions.

Consider long-term investment

Long-term holding allows you to benefit from stable income and growth. Over time, dividends and stock appreciation can yield attractive returns.

Summary

For investors seeking steady income and wealth accumulation, hospital stocks offer promising options. The seven stocks discussed have strong potential and are worthwhile choices. If you prefer stocks with a large international customer base, BDMS and BH are top options. For specialized expertise and expansion potential, mid-sized hospitals like BCH, CHG, and PR9 are also attractive.

It is advisable to continuously monitor these institutions’ operations, regularly analyze fundamentals, review financial reports, and stay updated on news. This ensures your investment remains aligned with your goals and risk appetite. As hospital stocks serve as a stabilizing element in your portfolio over the long term, diligent planning and careful consideration are essential for successful investment.