# Rede D'Or São Luiz (RDOR3.SA)

Canonical: https://gigainvestors.com/s/RDOR3.SA

Analysis as of: 2026-10-16T07:34:50.292Z. Financial observations: FY2013–FY2025.

Listing currency: BRL. Reporting currency: BRL.

## Verdict

Not a wonderful business

Quality tests for Buy: not passed (profit record: pass; earnings resilience is evidence only). Published buy qualification: no.

Share price: BRL 42.85 per share; close as of 2026-10-15.

Estimated value: low BRL 30.37 per share, central BRL 33.62 per share, high BRL 34.80 per share. Buy at or below the central value BRL 33.62 per share. Valuation as of 2026-10-16T07:34:50.292Z; scenarios are not confidence intervals.

Expected annual return: 11.7% at the stated quote. About 11.7% a year at today's price (required return 17.0%). required return 17.0% a year (BR 10-year bond 13.0% + 4 points).

## Checklist

### understandable: pass

- 0 revenue declines in the last 10 years (informational)

- Financial history: 10 years

- Years with declining revenue: 0

- Years with a net loss: 0

- Operating margin variation: 0.19×

Chart: Operating margin; fiscal year observations.

- FY2016: 0.20×

- FY2017: 0.22×

- FY2018: 0.21×

- FY2019: 0.21×

- FY2020: 0.13×

- FY2021: 0.18×

- FY2022: 0.16×

- FY2023: 0.12×

- FY2024: 0.14×

- FY2025: 0.18×

### moat: fail

- Recent gross margin fell 4.4pp below the typical margin (limit 4pp)

- ROIC, median of available years: 24.9%

- ROIC, second-lowest year: 13.5%

- Typical minus recent gross margin: 4.4 pp

- Typical gross margin (annual median): 23.1%

- Recent gross margin (lower of latest and 3-year median): 18.7%

- Years with nonpositive capital: 0

- Capital spending / revenue: 11.2%

- ROIC including acquisitions, ten-year median: 6.4%

Chart: ROIC excluding acquisitions; fiscal year observations.

- FY2016: 26.4%

- FY2017: 25.0%

- FY2018: 20.8%

- FY2019: 14.2%

- FY2020: 9.5%

- FY2021: 13.5%

- FY2022: 24.8%

- FY2023: 28.5%

- FY2024: 37.0%

- FY2025: 45.1%

### economics: pass

- Owner earnings / net income, 5-yr: 1.08×

- Cash conversion uses consolidated totals: No

- Owner earnings, five-year total: BRL 14B

- Net income, five-year total: BRL 13B

- Return on incremental invested capital: 57.7%

- Working capital / revenue, annual change: -1.1 pp

- Working capital / revenue, change between three-year averages: -9.2 pp

- Working capital / revenue, final three-year average: 18.4%

Chart: Annual owner cash / profit; fiscal year observations.

- FY2021: 0.56×

- FY2022: 0.27×

- FY2023: 1.30×

- FY2024: 1.73×

- FY2025: 0.85×

### management: pass

- potential debt-funded buybacks (informational)

- buybacks leaned toward cheaper years (informational)

- ROIC first 3 years vs last 3 years: 25.0% vs 37.0%

- Per-share earnings: 0.92 to 1.73 (three-year endpoint medians)

- Management verdict uses per-share economic progress: Yes

- Ordinary dilution, 10-year annual growth: 10.0%

- Ordinary dilution, 5-year annual growth: -1.6%

- Diluted shares, 10-year annual growth: 10.0%

- Diluted shares, 5-year annual growth: -1.6%

- Per-share value growth: 8.3%

- Per-share value change: BRL 0.81

- Per-share value, starting three-year median: BRL 0.92

- Per-share value, ending three-year median: BRL 1.73

- Buybacks concentrated in cheaper years (correlation): 1.00

- Average buyback yield: 1.0%

- Buyback history: 2 years

- Debt-funded buybacks: Yes

- Acquisition spending: BRL 14B

- Cumulative net income, 10 years: BRL 18B

- ROIC, first three-year median: 25.0%

- ROIC, last three-year median: 37.0%

Chart: Earnings per share; fiscal year observations.

- FY2016: BRL 0.92

- FY2017: BRL 1.06

- FY2018: BRL 0.67

- FY2019: BRL 0.59

- FY2020: BRL 0.18

- FY2021: BRL 0.80

- FY2022: BRL 0.53

- FY2023: BRL 0.91

- FY2024: BRL 1.73

- FY2025: BRL 2.12

### accounting: pass

- Sloan accruals: 3.8%

- Receivables to sales index (DSRI): 1.04×

- Restructuring years, last five: 0

- Stock compensation / operating cash flow: 14.8%

- Earnings backed by cash: Yes

- Operating cash / earnings: 0.13×

- Accounting red flags: 0

- Goodwill and intangibles / equity: 0.82×

Chart: Sloan accruals; fiscal year observations.

- FY2016: 0.7%

- FY2017: 1.4%

- FY2018: 2.0%

- FY2019: 1.4%

- FY2020: 1.1%

- FY2021: 3.3%

- FY2022: -0.1%

- FY2023: 1.8%

- FY2024: -2.5%

- FY2025: 3.8%

## Holders

## Price story

Down 27% since Oct 2021 · sales +10.2%

Story as of 2026-10-16T10:00:02.731Z; price observation 2026-10-15.

Price needs cash profits to grow 13.7% a year for ten years

### Sales · FY2024–2025

sales +10.2%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: BRL 7.9B 

- FY2017: BRL 9.4B 

- FY2018: BRL 11B 

- FY2019: BRL 13B 

- FY2020: BRL 14B 

- FY2021: BRL 20B 

- FY2022: BRL 23B 

- FY2023: BRL 47B 

- FY2024: BRL 51B 

- FY2025: BRL 56B 

### Gross margin · FY2025

gross margin 21.1%; source https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/; observed 2026-10-16.

- FY2016: 25.8% 

- FY2017: 26.9% 

- FY2018: 25.7% 

- FY2019: 26.1% 

- FY2020: 18.3% 

- FY2021: 23.6% 

- FY2022: 22.6% 

- FY2023: 16.3% 

- FY2024: 18.7% 

- FY2025: 21.1% 

## Owner memo

Memo as of 2026-10-16T08:06:05.509Z.

### How it makes money

Operates in medical care facilities; annual sales are BRL 55.7 billion.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2025: revenue 55725852000; grossProfit 11766046000; margin = grossProfit / revenue.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); RDOR3.SA: Rede D'Or São Luiz S.A. engages in the provision of hospital services in Brazil. The company provides assistance and hospitality concept services; and supplementary services, such as blood bank, dialysis, and outpatient clinics with various specialties. It also offers health insurance and plan, as well as dental plans for small, medium, and large-sized companies; individual plans; individual and group life, travel, credit life, endowment, as well as personal, individual, and group accident insurance products; and pension risk. In addition, the company owns and operates hospitals, and oncology and radiotherapy clinics and laboratories. Further, it is involved in asset management activities. The company was formerly known as Hospital Maternidade São Luiz S.A. Rede D'Or São Luiz S.A. was founded in 1977 and is headquartered in São Paulo, Brazil.

### Why customers stay

Margins ranged from 16.3% to 21.1% during 2023–25; it earns 24.9% on its capital.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2023: grossProfit / revenue = 16.3%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2024: grossProfit / revenue = 18.7%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2025: grossProfit / revenue = 21.1%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); 10-year return on capital observations [[2016,0.26441552777518273],[2017,0.2502699892825964],[2018,0.20800442382829865],[2019,0.14242863124728913],[2020,0.09549045184448793],[2021,0.13477916674558227],[2022,0.24764511924949195],[2023,0.2849253657521246],[2024,0.36997513985924496],[2025,0.450745555867782]]; median 0.24895755426604418. ROIC follows the displayed moat series; financial companies use return on tangible equity.

### Where the cash goes

Spends 52.9% of cash earnings on expansion; earns 57.7% on new investment.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2016: growth capex 517354395.19066536; upkeep 395680604.80933464; owner earnings 677803395.1906654. Growth capex / owner earnings = 0.7632809142909857.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2017: growth capex 552931449.5203893; upkeep 559690550.4796107; owner earnings 702309449.5203893. Growth capex / owner earnings = 0.7873045847496272.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2018: growth capex 596195964.7206471; upkeep 957111035.2793529; owner earnings 606121964.7206471. Growth capex / owner earnings = 0.9836237579600423.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2019: growth capex 1130744256.167387; upkeep 909379743.832613; owner earnings 461053856.167387. Growth capex / owner earnings = 2.452520982184057.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2021: growth capex 1060873000; upkeep 1228670000; owner earnings 874612800. Growth capex / owner earnings = 1.2129630391871695.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2022: growth capex 1153884000; upkeep 1404142000; owner earnings 322493600. Growth capex / owner earnings = 3.578005889109117.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2023: growth capex 0; upkeep 251308000; owner earnings 2654922000. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2024: growth capex 0; upkeep 262142000; owner earnings 6650658400. Growth capex / owner earnings = 0.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2025: growth capex 2099313000; upkeep 892097000; owner earnings 3967397793.03542. Growth capex / owner earnings = 0.5291410414365924.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); Incremental return on capital 0.576980695146279, from the economics test's unchanged annual inputs.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); Dividend observations: [[2016,125210000],[2017,976176000],[2018,1265137000],[2019,12808000],[2020,32311000],[2021,3071597000],[2022,696426000],[2023,849188000],[2024,1381135000],[2025,6561511000]]. Zero only counted when supported by a complete cash-flow statement.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); FY2025: cash repurchases 390449000 BRL.

### Are managers owners

Insiders own 47.8% of the company.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16); RDOR3.SA SharesStats.PercentInsiders = 47.826 percentage points; cache date 2026-10-16.

### What the price says

The price assumes cash profits grow 13.7% yearly over ten years; actual growth was 12.2%.

- Source: https://eodhd.com/financial-apis/stock-etfs-fundamental-data-feeds/ (filed 2026-10-16T07:34:50.292Z); Ten-year compound average after fade. Initial solved rate 0.18553118113801348. Price 42.85; FX 1; discount 0.1695; same standard ten-year fade to terminal 0.03. FY2015 owner earnings/share 0.5700886078974601 → FY2025 1.7981235550216959. Closing-price date 2026-10-15.

## Monthly share-price history (BRL per share)

- 2020-12: BRL 68.24 per share

- 2021-01: BRL 65.65 per share

- 2021-02: BRL 69.04 per share

- 2021-03: BRL 64.86 per share

- 2021-04: BRL 71.84 per share

- 2021-05: BRL 70.22 per share

- 2021-06: BRL 69.03 per share

- 2021-07: BRL 69.00 per share

- 2021-08: BRL 68.82 per share

- 2021-09: BRL 67.91 per share

- 2021-10: BRL 59.00 per share

- 2021-11: BRL 50.17 per share

- 2021-12: BRL 44.83 per share

- 2022-01: BRL 44.32 per share

- 2022-02: BRL 51.00 per share

- 2022-03: BRL 49.90 per share

- 2022-04: BRL 36.73 per share

- 2022-05: BRL 35.82 per share

- 2022-06: BRL 28.98 per share

- 2022-07: BRL 32.39 per share

- 2022-08: BRL 33.33 per share

- 2022-09: BRL 29.72 per share

- 2022-10: BRL 32.17 per share

- 2022-11: BRL 31.06 per share

- 2022-12: BRL 29.58 per share

- 2023-01: BRL 31.90 per share

- 2023-02: BRL 25.55 per share

- 2023-03: BRL 21.24 per share

- 2023-04: BRL 22.87 per share

- 2023-05: BRL 29.00 per share

- 2023-06: BRL 32.92 per share

- 2023-07: BRL 36.00 per share

- 2023-08: BRL 28.66 per share

- 2023-09: BRL 25.41 per share

- 2023-10: BRL 21.62 per share

- 2023-11: BRL 26.60 per share

- 2023-12: BRL 28.76 per share

- 2024-01: BRL 27.15 per share

- 2024-02: BRL 25.32 per share

- 2024-03: BRL 25.31 per share

- 2024-04: BRL 26.00 per share

- 2024-05: BRL 27.46 per share

- 2024-06: BRL 27.20 per share

- 2024-07: BRL 27.59 per share

- 2024-08: BRL 31.93 per share

- 2024-09: BRL 30.93 per share

- 2024-10: BRL 29.36 per share

- 2024-11: BRL 27.05 per share

- 2024-12: BRL 25.42 per share

- 2025-01: BRL 27.95 per share

- 2025-02: BRL 27.19 per share

- 2025-03: BRL 28.20 per share

- 2025-04: BRL 32.02 per share

- 2025-05: BRL 37.78 per share

- 2025-06: BRL 35.42 per share

- 2025-07: BRL 32.50 per share

- 2025-08: BRL 39.36 per share

- 2025-09: BRL 42.08 per share

- 2025-10: BRL 43.34 per share

- 2025-11: BRL 46.63 per share

- 2025-12: BRL 40.61 per share

- 2026-01: BRL 42.39 per share

- 2026-02: BRL 40.30 per share

- 2026-03: BRL 38.97 per share

- 2026-04: BRL 38.37 per share

- 2026-05: BRL 34.02 per share

- 2026-06: BRL 34.71 per share

- 2026-07: BRL 34.64 per share

- 2026-08: BRL 35.18 per share

- 2026-09: BRL 38.29 per share

- 2026-10: BRL 44.53 per share

## Annual estimated value (BRL per share)

- FY2017: low BRL 8.08 per share, central BRL 8.40 per share, high BRL 8.77 per share

- FY2018: low BRL 4.97 per share, central BRL 5.16 per share, high BRL 5.38 per share

- FY2019: low BRL 5.32 per share, central BRL 5.53 per share, high BRL 5.77 per share

- FY2020: low BRL 8.43 per share, central BRL 8.56 per share, high BRL 8.72 per share

- FY2021: low BRL 8.79 per share, central BRL 8.97 per share, high BRL 9.18 per share

- FY2022: low BRL 15.34 per share, central BRL 15.49 per share, high BRL 15.65 per share

- FY2023: low BRL 18.81 per share, central BRL 20.35 per share, high BRL 20.90 per share

- FY2024: low BRL 24.00 per share, central BRL 26.10 per share, high BRL 26.86 per share

- FY2025: low BRL 27.71 per share, central BRL 30.80 per share, high BRL 31.92 per share

Historical values use today's bond yield for every fiscal year

Historical values use today's FX rate into trading currency for every fiscal year

Historical values use current restated fundamentals and current commodity classification; they are not point-in-time estimates

Prior published observations retained from 2026-10-15T06:40:34.187Z where newer inputs omit a numeric field or fiscal period.

## Sources

Estimates depend on assumptions and are not guarantees or investment advice. Underlying data remains subject to its source licenses; public reading does not grant bulk redistribution rights.