Shifa International Hospitals (KAR:SHFA) Cash Conversion Cycle Explanation
Generally, the lower this number is, the better for the company. Although it should be combined with other metrics (such as ROE % and ROA %), it can be especially useful for comparing close competitors, because the company with the lowest CCC is often the one with better management.
Be Aware
CCC is most effective with retail-type companies, which have inventories that are sold to customers. Consulting businesses, software companies and insurance companies are all examples of companies for whom this metric is meaningless.
The CCC is one of several tools that can help you evaluate management, especially if it is calculated for several consecutive time periods and for several competitors. Decreasing or steady CCCs are good, while rising ones should motivate you to dig a bit deeper.
Shifa International Hospitals Cash Conversion Cycle Related Terms
Shifa International Hospitals Cash Conversion Cycle Historical Data
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Shifa International Hospitals Cash Conversion Cycle Chart
KAR:SHFA vs HCA, THC, DVA: Cash Conversion Cycle Comparison
For the Medical Care Facilities subindustry, Shifa International Hospitals's Cash Conversion Cycle, along with its competitors' market caps and Cash Conversion Cycle data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Shifa International Hospitals Cash Conversion Cycle vs Healthcare Providers & Services Industry
For the Healthcare Providers & Services industry and Healthcare sector, Shifa International Hospitals's Cash Conversion Cycle distribution charts can be found below:
* The bar in red indicates where Shifa International Hospitals's Cash Conversion Cycle falls into.
Shifa International Hospitals Cash Conversion Cycle Calculation
Cash Conversion Cycle (CCC) measures how fast a company can convert cash on hand into even more cash on hand. This metric looks at the amount of time needed to sell inventory, the amount of time needed to collect receivables and the length of time the company is afforded to pay its bills without incurring penalties.
Cash Conversion Cycle is one of several measures of management effectiveness.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Shifa International Hospitals (KAR:SHFA) has a Cash Conversion Cycle of 29.96 as of Mar. 2026. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Shifa International Hospitals and its competitors.
Is Shifa International Hospitals' Cash Conversion Cycle too high?
Shifa International Hospitals' current Cash Conversion Cycle is 29.96. The Healthcare Providers & Services industry median Cash Conversion Cycle is 17.91. Shifa International Hospitals' value of 29.96 is 67.3% above this industry median. Overall, Shifa International Hospitals has a GF Score™ of 87/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Shifa International Hospitals' Cash Conversion Cycle compare to HCA and THC?
Shifa International Hospitals' Cash Conversion Cycle of 29.96 can be compared against companies in the Healthcare Providers & Services industry. The industry median Cash Conversion Cycle is 17.91. Shifa International Hospitals' value of 29.96 is 67.3% above this benchmark. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Cash Conversion Cycle for a Healthcare Providers & Services company?
The median Cash Conversion Cycle among Healthcare Providers & Services companies is 17.91, based on 663 companies in the industry. Companies in the top quartile (top 25%) have a Cash Conversion Cycle significantly above this median, while those in the bottom quartile fall well below. However, Cash Conversion Cycle should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Shifa International Hospitals's current Cash Conversion Cycle of 29.96 is 67.3% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Cash Conversion Cycle mean?
A high Cash Conversion Cycle can signal that a stock is expensive relative to its fundamentals. Cash conversion cycle equals sum of days inventory and days sales outstanding less days payable. View historical data on Shifa International Hospitals and its competitors. For the Healthcare Providers & Services industry, the median Cash Conversion Cycle is 17.91 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Shifa International Hospitals's current Cash Conversion Cycle is 29.96. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Shifa International Hospitals stock overvalued right now?
Based on GuruFocus' analysis, Shifa International Hospitals (KAR:SHFA) is currently considered Modestly Overvalued. The stock's GF Value™ is ₨455.68, compared to a current price of ₨509.14 — trading 11.7% above its estimated fair value. The current Cash Conversion Cycle is 29.96 and 67.3% above the Healthcare Providers & Services industry median of 17.91. Shifa International Hospitals' overall GF Score™ is 87/100. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Cash Conversion Cycle calculated?
Cash Conversion Cycle is calculated from a company's financial statements. For Shifa International Hospitals (KAR:SHFA), the current Cash Conversion Cycle is 29.96 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Shifa International Hospitals (KAR:SHFA) Overvalued in 2026?
Based on GuruFocus' analysis, Shifa International Hospitals stock appears to be overvalued.
The current stock price of ₨509.14 is trading 11.7% above its estimated GF Value™ of ₨455.68.
GuruFocus considers Shifa International Hospitals to be Modestly Overvalued.
Key valuation signals for KAR:SHFA:
Cash Conversion Cycle: 29.96
GF Value™: ₨455.68 vs. price of ₨509.14 (11.7% above fair value)
Industry Position: 67.3% above the Healthcare Providers & Services median
No single metric tells the full story. See the KAR:SHFA stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Shifa International Hospitals Business Description
Shifa International Hospitals Ltd operates a network of medical centers and hospitals in Pakistan, providing a wide range of medical and surgical services across various specialties. The company offers organ transplant services, including liver, kidney, bone marrow, and corneal transplants. It generates revenue through patient care services, diagnostics, pharmacy operations, and support services such as emergency care and outpatient clinics. Shifa also operates lab collection points, day care surgeries, and diagnostic centers. The company has a presence in multiple cities through hospitals, medical centers, and subsidiaries that support healthcare services and infrastructure development.
87GF Score
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