Case study

RAINBOW

Rainbow Childrens Medicare Limited

Mixed signals1y model +7.8%

Each stock's 10,000-path forecast, rendered as light.

49Score

Rainbow Childrens Medicare Limited (RAINBOW) Stock Analysis & Case Study

Is RAINBOW a good buy? The data-driven verdict.

Rainbow Childrens Medicare Limited (RAINBOW) trades at ₹1,557,on the numbers it mixed signals, a Downstox Snapshot Score of 49/100.

On the numbers, Rainbow Childrens Medicare Limited (RAINBOW) mixed signals, a Downstox Snapshot Score of 49/100, weighing expensive at 55.2× earnings, ROE of 15.9%, a 60% model probability of trading higher in a year. Below: the full bull case, bear case, sector-relative valuation, and a probability-weighted price target for 2027-2031.

Last updated . Data snapshot for research, not investment advice.

RAINBOW fundamentals at a glance, PE, PB, ROE, ROCE, market cap, dividend yield

Market cap
₹15,811 Cr
Current price
₹1,557
P/E ratio
55.2×
P/B ratio
9.61×
Book value
₹162
Dividend yield
0.22%
ROCE
17.4%
ROE
15.9%
Piotroski F-Score
6/8

How RAINBOW ranks against the 2,373 companies in our screener

Is RAINBOW overvalued? RAINBOW P/E vs peers

RAINBOW trades at 55.2× earnings. We don't have a verified sector peer group for this stock yet, so no sector peer median or peer comparison table is shown here. Showing one anyway would compare it against an arbitrary set of large-cap names, not real sector peers.

RAINBOW share price target 2027, 2028, 2029, 2030, 2031, a probability view

Unlike a single guessed number, this is a probability-weighted range from a 10,000-path Monte-Carlo simulation on 4.2y of RAINBOW history (30%/yr drift, 28%/yr volatility).

YearLow (P10)Median target (P50)High (P90)Upside vs today
RAINBOW 2027₹1,159₹1,678₹2,430+8%
RAINBOW 2028₹1,072₹1,810₹3,055+16%
RAINBOW 2029₹1,037₹1,951₹3,671+25%
RAINBOW 2030₹1,020₹2,104₹4,339+35%
RAINBOW 2031₹1,000₹2,268₹5,144+46%

Median (P50) is the central estimate; the P10-P90 band is the 80% confidence range. Probabilities, not promises.

What is the probability RAINBOW goes up, or doubles?

60%
Higher in 1 year
Modelled chance the price is above today in 12 months
73%
Higher in 5 years
Modelled chance the price is above today in 5 years
31%
Doubles in 5 years
Modelled chance of reaching ₹3,113 within 5 years

The bull case for RAINBOW

  • RAINBOW's return on equity of 15.9% ranks in the 74th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • A 10,000-path probability model puts a 60% chance the price is higher in a year, with a median target of ₹1,678 (+8%).
  • Upside scenario: the model's optimistic (P90) 3-year path reaches ₹3,671.

The bear case & risks

  • RAINBOW's P/E of 55.2x is lower than 24% of the 2,373 NSE companies in our screener, as of 9 Aug 2026.
  • A steep 9.6× price-to-book means most of the value is intangible/expectations, not assets on the books.
  • Downside scenario: the model's pessimistic (P10) 3-year path falls to ₹1,037.

RAINBOW volatility & expected range, how bumpy is the ride?

Over the last 4.2 years RAINBOW compounded at 30%/year with annualized volatility of 28%. That volatility implies a 1-year 80% range of ₹1,159-₹2,430, the honest backbone behind any single price target.

RAINBOW price forecast, the full 60-month probability fan

Spot Price · Today
₹0
Based on 4.2 years of daily NSE data ·0.0% annualised volatility
5-yr median forecast
₹0
P(price ↑ in 5y)
0%
1-Year Forecast
2027
₹0
Median (P50)
7.8%
80% range₹1,159-₹2,430
P(price ↑)60%
P(price 2×)2%
3-Year Forecast
2029
₹0
Median (P50)
25.3%
80% range₹1,037-₹3,671
P(price ↑)68%
P(price 2×)17%
5-Year Forecast
2031
₹0
Median (P50)
45.7%
80% range₹1,000-₹5,144
P(price ↑)73%
P(price 2×)31%

RAINBOW price probability fan

Each band shows where 10,000 simulated paths land. The wider the fan, the more uncertainty.

Probability Fan
RAINBOW simulated paths · 60 months · 10,000 trials
P10-P90 (80%)P25-P75 (50%)Median (P50)

Probability of key outcomes

What are the odds RAINBOW hits common targets within the simulated horizon?

0%
P(↑ 1Y)
Above today's price in 1 year
0%
P(↑ 5Y)
Above today's price in 5 years
0%
P(2×)
Doubles within 5 years
0%
P(↓)
Falls below today in 5 years

Full multi-horizon detail on the RAINBOW price target & forecast page.

RAINBOW Piotroski F-Score: 6/8, how financially strong is it?

6/8

The Piotroski F-Score grades financial strength on profitability, leverage and efficiency checks. Downstox scores the eight checks it can verify from published filings, so 8 is full marks. RAINBOW scores 6/8, mixed financial health.

RAINBOW MTF margin & leverage across 11 brokers

Margin Trading Facility lets you buy RAINBOW with part of the capital. Lower margin % = higher leverage. Rates compared across 11 brokers (no competitor publishes this):

BrokerMargin requiredApprox. leverage
Upstox28.00%3.6×
Zerodha27.98%3.6×
Groww28.01%3.6×
Dhan27.98%3.6×
Kotak Neo30.03%3.3×
Paytm Money28.04%3.6×
Pocketful28.20%3.5×
FyersCHEAPEST27.78%3.6×
Anand Rathi27.98%3.6×
Bajaj Broking32.00%3.1×
Share India27.99%3.6×

Compare every broker on the RAINBOW MTF page.

About Rainbow Childrens Medicare Limited: sector, index & market-cap context

Rainbow Childrens Medicare Limited (RAINBOW) is a small-cap NSE-listed company, and a constituent of the Nifty 500 index, with a market capitalisation of ₹15,811 Cr. See more stocks on our screener.

How the RAINBOW Snapshot Score & forecast are built

The Downstox Snapshot Score is a transparent, rules-based read of Rainbow Childrens Medicare Limited's public fundamentals plus a statistical forecast, not an analyst opinion. It rewards low-to-fair valuation, high ROE/ROCE, a strong Piotroski F-Score, a dividend, low volatility and a favourable probability of upside; it penalises rich valuations, weak capital efficiency, a low F-Score and high volatility. The price target is a 10,000-path Monte-Carlo simulation on real historical volatility, a distribution, not a single guess. The bull and bear cases are generated from the same data, so you always see both sides.

This is information, not investment advice. Do your own due diligence and consult a SEBI-registered adviser before investing.

RAINBOW analysis, FAQs

Is Rainbow Childrens Medicare Limited (RAINBOW) a good buy?

On the numbers, Rainbow Childrens Medicare Limited (RAINBOW) mixed signals, a Downstox Snapshot Score of 49/100, weighing expensive at 55.2× earnings, ROE of 15.9%, a 60% model probability of trading higher in a year. This is a data snapshot for research, not investment advice.

Is RAINBOW overvalued or undervalued?

RAINBOW trades at 55.2× earnings, expensive versus the ~22× long-run Nifty average.

What is the RAINBOW share price target for 2031?

RAINBOW's probability-weighted 2031 median target is ₹2,268, with an 80% range of ₹1,000-₹5,144 (10,000-path Monte-Carlo).

What is the probability RAINBOW doubles in 5 years?

The modelled probability of RAINBOW reaching ₹3,113 (2×) within 5 years is 31%.

What is the bull case for RAINBOW?

RAINBOW's return on equity of 15.9% ranks in the 74th percentile of the 2,373 NSE companies in our screener, as of 9 Aug 2026. A 10,000-path probability model puts a 60% chance the price is higher in a year, with a median target of ₹1,678 (+8%).

What are the risks in RAINBOW?

RAINBOW's P/E of 55.2x is lower than 24% of the 2,373 NSE companies in our screener, as of 9 Aug 2026. A steep 9.6× price-to-book means most of the value is intangible/expectations, not assets on the books.

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