The Most Popular Indian Hospitality Stocks to Buy in 2022
Are you looking for amazing growth of your stock portfolio? There is no doubt that the hospitality sector was the worst affect domain across all the global stock markets. But, as now the world is coming out from the clutches of the devastating pandemic, the sector is all set to bounce bank and there is an increased likelihood of getting great returns. So, if you are looking for a growth-oriented sector to invest in, hospitality is one option you can choose to follow.
For example, look at Indian Hotels Ltd, which is considered among the top most hotel stocks in India in terms of market capitalization. If we talk about the pause of commercial operations in the beginning of 2020 when the coronavirus struck, the stock prices of Indian Hotels Ltd. suffered a major setback between the months of February and April, 2020. This is as per every best stock broker in India.
In a similar way, the stock prices of EIH Ltd, fell down by nearly 50% and Mahindra Holidays & Resorts India Ltd. by 42% in just a few months. The devastation was so severe that the prices are yet to reinstate to that level.
If we talk about the Indian hospitality sector, the overall of the Indian hotel market was one stood at US$32 Billion. This is all set to go up to US$ 125 Billion by the year 2027. So, it simply means that the sector is expected to attain an annual rate of 21% in just 7 years. This is what makes investing in hospitality stocks the need of the hour, as suggested by the best stock broker in India. In addition, the recent announcement by the government to allow 100% Foreign Direct Investment (FDI) in tourism sector, hotel development, is all meant to give a solid push to the sectorial growth.
|S.No.||Name||Current Price||Market Capitalization||DE||PE||ROE||ROCE||PB|
|(In Rs)||(In Crore)|
|1||Indian Hotels Co Ltd.||₹ 210.60||₹ 27,828||1.84||–||-22.15||-7||8.56|
|2||EIH Ltd.||₹ 127.90||₹ 7,998||0.2||–||-11.7||-11.49||2.68|
|3||Chalet Hotels Ltd||₹ 276.05||₹ 5,660||1.71||–||-8.46||-2.67||4.1|
|4||Barbeque-Nation Hospitality Ltd.||₹ 1,248.65||₹ 4,858||1.23||–||-61.15||-3.03||12.19|
|5||Lemon Tree Hotel||₹ 54.50||₹ 4,318||2.54||–||-13.33||-0.93||5.08|
|6||Mahindra Holiday||₹ 211.45||₹ 4,242||4.95||103.24||-29.6||3.74||19.71|
|7||I T D C||₹ 349.65||₹ 2,999||0||355.55||-11.87||-12.03||10.51|
|8||EIH Associate Hotels||₹ 402.10||₹ 1,225||0.01||134.06||-6.53||-9.43||3.95|
|9||Oriental Hotels||₹ 60.85||₹ 1,087||1.21||–||-14.54||-7.33||4.4|
|10||Taj GVK Hotels||₹ 142.50||₹ 893||0.46||–||-10.35||-2.68||2.52|
So, here are some of the leading hospitality stocks that can provide superb growth to stock investors.
1. Indian Hotels Co. Ltd
The Indian Hotels Co. Ltd is backed by none other than Tata Group of companies, one of the top most business houses in India. They have the expertise of more for over 116 years in the hotel business sector. Some of the popular hotels include managed by the group are the majestic TAJ, Vivanta along with many others. At present, the shares of this hospitality company is available in 10 countries and over 93 locations all across the nation.
The company’s net profit has been steadily increasing. Their net profit increased from Rs 101 crore to Rs 354 crore between 2018 and 2020. Do you want to know anything interesting? The promoters boosted their interest in this hotel stock from 40.75 percent to 41.05 percent in the December 2021 quarter.
2. EIH Ltd.
Another popular name in the Indian hotel industry is EIH Ltd. With a superb market capitalization of Rs 8,067 crore (as of March 16, 2022) is one of the top hotel businesses in India. It is known to manage some of the most high-end hotels such as the Oberoi and the Trident in Mumbai. Besides, it also delivers in-flight catering and airport restaurant services in the country. There is a total of 32 hotels being managed by the prestigious EIH Ltd group, according to a cheapest stock broker in India.
Since 2012, EIH Ltd has seen positive growth patterns. Only in 2021, because to the epidemic, did it register a loss in the previous ten years. The company’s earnings got up from Rs 132 crore in March 2019 to Rs 149 crore in the same month of 2020. Over the past one year, the stock price of the business conglomerate has increased by 28 percent.
3. Chalet Hotels Ltd.
In India, Chalet Hotels Ltd. is the proud owner of the JW Marriott Group and the Westin hotel brand. The K Raheja Group promotes this firm, which is involved in hospitality and real estate development. In the fiscal year 2022-23, the business plans to invest Rs 660 crore in commercial projects. This hotel stock has increased by 66 percent in the last year (as of March 16, 2022).
4. Barbeque Nation Hospitality Ltd.
Barbeque Nation is one of India’s fastest growing hotel brands.
Barbeque Nation has 150 restaurants in 77 cities and towns across India as of March 2020. This hotel stock is relatively new to the hotel industry. It went public on April 9, 2021, at Rs. 489.85 per share. In the last year, the stock has increased by 110 percent (as of March 16, 2022).
5. Lemon Tree Hotels Ltd.
Lemon Tree Hotels Ltd. is India’s third largest hotel chain. It owns and runs 84 hotels throughout 50 Indian cities. It also runs two international hotels, one in Dubai and one in Bhutan. It controls 17% of India’s branded mid-sized market hotels. This mid-cap hotel stock has increased by 43 percent in the previous year (as of March 16, 2022).
So, if you are looking to invest in the hospitality sector, there are some of the biggest hospitality stocks you can choose to invest in. investing your money there could help you reap amazing returns over long term.