Apollo Hospitals shares on a roll! Here's why

Shares of Apollo Hospitals Enterprise Limited jumped over 8 per cent to hit an intraday high of Rs 4,745 after the National Stock Exchange (NSE) announced that the stock will replace Indian Oil Corporation Limited in the benchmark Nifty 50 index from March 31, 2022.
 
Ajay Modi, VP Research at Piper Serica said, "Apollo Hospitals Enterprise Limited will replace IOC as part of the semi-annual index review. Over the last few years, the company has transitioned from a pure hospital company to a complete healthcare platform comprising of hospitals, clinics, pharmacies, diagnostic centers, and a strong digital healthcare platform."
 
"We first invested in the company when it was a small-cap and have since then experienced the transition from small to mid to large and now to Nifty. Addition to Nifty will lead to buying buy passive ETFs as well as large-cap and NIFTY mutual funds,” he added.
 
“We continue to hold Apollo Hospital and believe that the company will continue to lead the healthcare industry in India," he added.
 
The stock ended 5.66 per cent higher at Rs 4,630 against the previous close of Rs 4,381.95 on BSE. Market cap of the firm rose to Rs 66,572.30 crore. The shares stand higher than 5 day, 20 day and 200 day moving averages but lower than 50 day and 100 day moving averages.
 
Long-term investors have made big gains by investing in this stock as it has surged over 290 per cent in the last five years and zoomed over 700 per cent in the last ten years.
 
According to MarketsMojo, the company has declared positive results for the last 5 consecutive quarters and has high institutional holdings at 64.8 per cent. Their stake has increased by 0.76 per cent over the previous quarter.
 
Apollo Hospitals Enterprise Limited will become the first-ever healthcare services company to become part of the benchmark Nifty 50 index.