I'd describe Sigma Healthcare Ltd (ASX: SIG) as one of Australia's top shares for a variety of reasons, and I think right now is a great time to invest.
Most of the company's profit generation comes through its ownership of the Chemist Warehouse franchise business. It also owns the Amcal and Discount Drug Store businesses.
In my view, Sigma Healthcare is delivering exceptional growth and its outlook is very compelling. Let me run through three very attractive elements.
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Strong Australian growth
The company's core earnings driver is Australia, where a vast majority of the franchise stores are located. There were 561 Australian Chemist Warehouse stores at the end of FY26, following the addition of 24 locations in FY26.
The Australian segment saw revenue growth of 14.9% to $10.4 billion, with Chemist Warehouse branded like-for-like network sales growth of 13.4% amid continued demand for GLP-1 medicines.
Over the long term, it has franchise network targets of around 900 Chemist Warehouse stores, around 300 Amcal locations, and approximately 150 Discount Drug Stores.
It expects to open 13 Chemist Warehouse-branded stores in the first half of FY27, with 12 refurbishments also planned.
The fact that the business continues to deliver double-digit revenue growth after such a long time says to me that the business can deliver good revenue growth for the foreseeable future.
Exciting international growth
Australia is not the only market where the company is growing. Excitingly, it has a presence in New Zealand, Ireland, the UAE, and UK. It also has a presence in China where it's focusing on profitable online sales.
In FY26, 20 stores were opened in international markets, with 14 new stores in New Zealand and four new ones in Ireland.
Impressively, sales grew by 45% in Ireland and 20.3% in New Zealand during FY26. Overall, international revenue increased 33% to $421.4 million.
The business is entering the UK market in FY27, which could be another exciting growth market for one of Australia's top shares. The success in nearby Ireland – which is now profitable – is a good sign for the UK, in my view.
I think the company could expand to other markets in the longer term.
Operating leverage
Not only is the business growing its top line rapidly, but I think profit can increase even faster thanks to its rising profit margins. Remember, it's normally profit growth rather than revenue growth that can send a share price higher.
The FY26 financials were a great demonstration of its ability to deliver stronger profits.
While overall revenue rose 15.5%, normalised operating profit (EBIT) climbed 20.6% to $1.09 billion, and normalised net profit grew 22.3% to $732.3 million. It also reduced net debt to $663 million.
Australian segment normalised EBIT grew 18.3% and international segment EBIT soared 91.3% to $55.8 million.
I think the strengthening profit margins are a great sign for one of Australia's top shares to continue becoming more valuable.
After falling 15% since February 2026, the Sigma Healthcare share price is now valued at 35 times FY27's estimated earnings. I think Sigma Healthcare, one of Australia's top shares, could be undervalued at this level.
But, it's not the only stock I've got my eyes on.
