7 Hospital Stocks to Watch in 2026: Defensive Stock Rankings

Last year, the Thai stock market signaled interesting changes, especially in the hospital stock group. Although volatile, they continued to attract long-term investors seeking stable investments. In 2026, hospital stocks remain a worthwhile choice for those wanting to strengthen their portfolios because hospital businesses are essential services regardless of economic conditions.

Why are hospital stocks suitable for investors seeking stability?

The appeal of hospital stocks comes not only from being defensive stocks but also from their consistent revenue streams. Compared to other industries, hospitals require a one-time investment in buildings and medical equipment. After that, they generate steady cash flow from ongoing patient care, unlike other businesses that need to develop new products to maintain profit margins.

Additionally, even if the stock market declines, hospital stocks tend not to fall sharply because medical demand remains constant. When the market improves, hospital stocks may not rise as quickly as others, but their stability is what long-term profit-focused investors seek.

How to select hospital stocks: look at customer types and financial figures

Before investing in hospital stocks, understand that each hospital has different strategies and target customers.

Type 1: Hospitals focusing on international patients
This includes BDMS, BH, BCH, which prioritize foreign patients and medical tourism. The advantage is the ability to charge higher service fees. The risk depends on the economic conditions of source countries, such as Europe or wealthy nations; economic downturns there could reduce foreign patient numbers.

Type 2: Hospitals focusing on domestic patients
This includes VIBHA, CHG, PR9, mainly serving Thai patients. The benefit is high revenue stability since Thai patients are always present. However, revenue growth may be slower compared to the first group.

Once you’ve identified the type, next is to analyze financial metrics, especially two key indicators:

P/E Ratio (Price-to-Earnings): Shows the relationship between stock price and earnings per share. A low P/E indicates undervaluation relative to profit, but investigate why the price is low—possible issues or expected profit declines.

ROE (Return on Equity): Measures how efficiently the hospital generates profit from shareholders’ equity. A high ROE indicates effective use of capital. For hospital stocks, a good ROE is typically 10-20% or higher.

The 7 most promising hospital stocks in 2026

1. BDMS – Regional leader in medical services

Bangkok Dusit Medical Services is the largest hospital group in Asia, with hospitals like Bumrungrad in Thailand and international locations such as Ulaanbaatar and Mongolia. It also has numerous medical centers in Myanmar, often outside urban areas, focusing on foreign patients.

BDMS’s strength lies in its mid- and long-term expansion plans: increasing beds, building specialty centers, and expanding its international customer base, supporting continuous growth.

• Market Cap: 319,430 million THB
• Current Price: 20.00 THB
• P/E: 19.5x
• ROE: 16.8%

2. BH – Strength in attracting foreign patients

Bumrungrad Hospital is a leading private hospital with a high proportion of foreign patients since 1984. It has built a reputation for high-quality medical services.

This year, plans include increasing charges for complex treatments and expanding facilities to accommodate more international patients, aligning with growth in medical tourism.

• Market Cap: 135,060 million THB
• Current Price: 167.50 THB
• P/E: 19.3x
• ROE: 31.9%

3. BCH – Market leader in private hospitals

Bangkok Chain Hospital, established in 1969, owns 15 hospitals and 2 polyclinics in Bangkok, provinces, and Laos.

Krungsri Securities has upgraded BCH to a “Buy” recommendation, expecting net profit to grow 23% year-over-year.

• Market Cap: 25,190 million THB
• Current Price: 10.20 THB
• P/E: 19.7x
• ROE: 11-12%

4. RAM – Specialist in niche treatments

Ramkhamhaeng Hospital is renowned for treating heart, brain, bone, and advanced surgical conditions. Located in densely populated areas, it has a stable cash and insurance patient base.

Its strength is focusing on complex treatments with high margins. Although it doesn’t aggressively expand branches like larger hospital groups, it maintains long-term stability.

• Market Cap: 21,720 million THB
• Current Price: 18.20 THB
• P/E: 33.41x
• ROE: 3.38%

5. VIBHA – Growth opportunity from market consolidation

Vibhavadi Hospital has provided general hospital services since 1976, focusing on sleep medicine and overnight stays.

Yuan Ta analysts recommend a “Buy,” citing a bright outlook for 2026 due to easing concerns over social security coverage and new revenue streams from business expansion.

• Market Cap: 18,470 million THB
• Current Price: 1.88 THB
• P/E: 47.6x
• ROE: 8.49%

6. CHG – Planned expansion

Chularat Hospital, established in 1986, now has 12 subsidiaries and 15 branches including hospitals and clinics.

Its expansion plan involves increasing beds and branches to meet rising healthcare demand in growing economic areas, mainly targeting cash-paying patients (65-70%).

• Market Cap: 17,270 million THB
• Current Price: 1.50 THB
• P/E: 21.7x
• ROE: 10.23%

7. PR9 – Regional medical hub

Praram 9 Hospital aims to be a modern, trusted health center since 1989, serving mainly Thai patients but also international clients from China, Myanmar, Laos, and Cambodia.

PR9 invests in advanced medical equipment and digital platforms like 9 CARE to enhance patient experience. It maintains good relationships with Thai doctors and medical schools.

• Market Cap: 14,940 million THB
• Current Price: 18.7-18.9 THB
• P/E: 18.4x
• ROE: 14%

Comparison table of the 7 hospital stocks

Factors making hospital stocks stand out to investors

1. Safe business with steady income
Continuous patient flow ensures consistent revenue, unlike businesses relying on fleeting popularity. Even after boom periods, hospital income remains stable with gradual depreciation.

2. Investment safety
As defensive stocks, hospital shares are less affected by sharp market swings. When the market falls, they tend not to decline much; when it rises, they increase modestly. Suitable for long-term wealth accumulation.

3. Strong financial position
Steady cash flow allows hospitals to recover investments quickly, pay dividends, and expand or enter new markets.

Investment tips for hospital stocks

Research hospital backgrounds and strengths
Understand each hospital’s expertise, target customer type, and whether it’s a general or specialized hospital, as this affects income stability.

Analyze financial figures
Beyond P/E and ROE, check Debt-to-Equity ratio for financial risk and Dividend Yield for dividend policies.

Follow health policy news
External factors like social security policies, medical expenses, and environmental regulations can impact operations.

Consult experts
If unsure, seek advice from stock analysts or financial advisors experienced in healthcare and finance.

Summary

In 2026, hospital stocks remain a solid choice for investors seeking steady income and low risk. The 7 stocks discussed each have unique strengths and growth potential, with different strategies.

If you prefer hospital stocks focusing on foreign clients with high growth potential, BDMS and BH are good options. For those interested in gradual accumulation with lower prices, VIBHA and CHG may suit you. RAM and PR9 are ideal for investors who trust in specialized services and unique strategies of each hospital.

The key is understanding each hospital’s profile, analyzing financial data, and monitoring industry trends to make informed, confident investment decisions.