BSE:508664

Stock Analysis Report

Executive Summary

Best Eastern Hotels Limited owns and operates hotel and resort in India.


Snowflake Analysis

Worrying balance sheet with weak fundamentals.

Share Price & News

How has Best Eastern Hotels's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 508664 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

0%

508664

6.0%

IN Hospitality

9.3%

IN Market


1 Year Return

-71.5%

508664

-49.9%

IN Hospitality

-29.6%

IN Market

Return vs Industry: 508664 underperformed the Indian Hospitality industry which returned -51.3% over the past year.

Return vs Market: 508664 underperformed the Indian Market which returned -30.6% over the past year.


Shareholder returns

508664IndustryMarket
7 Day0%6.0%9.3%
30 Day0%-34.3%-23.3%
90 Day0.2%-37.4%-28.0%
1 Year-71.5%-71.5%-46.6%-49.9%-28.2%-29.6%
3 Year-91.4%-91.4%-22.0%-30.6%-15.8%-20.5%
5 Year-72.8%-72.9%-2.3%-14.7%-4.7%-9.6%

Price Volatility Vs. Market

How volatile is Best Eastern Hotels's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Best Eastern Hotels undervalued compared to its fair value and its price relative to the market?

3.2x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: 508664 (₹6.42) is trading above our estimate of fair value (₹5.31)

Significantly Below Fair Value: 508664 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 508664 is unprofitable, so we can't compare its PE Ratio to the Hospitality industry average.

PE vs Market: 508664 is unprofitable, so we can't compare its PE Ratio to the Indian market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate 508664's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: 508664 is overvalued based on its PB Ratio (3.2x) compared to the IN Hospitality industry average (0.7x).


Next Steps

Future Growth

How is Best Eastern Hotels forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

32.8%

Forecasted Consumer Services industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Best Eastern Hotels has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

Past Performance

How has Best Eastern Hotels performed over the past 5 years?

-9.3%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 508664 is currently unprofitable.

Growing Profit Margin: 508664 is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: 508664 is unprofitable, and losses have increased over the past 5 years at a rate of -9.3% per year.

Accelerating Growth: Unable to compare 508664's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: 508664 is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (27.3%).


Return on Equity

High ROE: 508664 has a negative Return on Equity (-7.12%), as it is currently unprofitable.


Next Steps

Financial Health

How is Best Eastern Hotels's financial position?


Financial Position Analysis

Short Term Liabilities: 508664's short term assets (₹4.0M) do not cover its short term liabilities (₹18.3M).

Long Term Liabilities: 508664's short term assets (₹4.0M) do not cover its long term liabilities (₹17.5M).


Debt to Equity History and Analysis

Debt Level: 508664's debt to equity ratio (66.8%) is considered high.

Reducing Debt: 508664's debt to equity ratio has increased from 46.6% to 66.8% over the past 5 years.


Balance Sheet

Inventory Level: 508664 has a high level of physical assets or inventory.

Debt Coverage by Assets: 508664's debt is not covered by short term assets (assets are 0.2x debt).


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: 508664 has been profitable on average in the past, therefore cash runway is not a concern.

Forecast Cash Runway: 508664 has been profitable on average in the past, therefore cash runway is not a concern.


Next Steps

Dividend

What is Best Eastern Hotels's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate 508664's dividend yield against the bottom 25% of dividend payers, as the company has not reported any payouts.

High Dividend: Unable to evaluate 508664's dividend yield against the top 25% of dividend payers, as the company has not reported any payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if 508664's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if 508664's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: 508664 is not paying a notable dividend for the Indian market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of 508664's dividend in 3 years as they are not forecast to pay a notable one for the Indian market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

19.4yrs

Average board tenure


CEO

Vinaychand Kothari (71yo)

no data

Tenure

₹2,535,000

Compensation

Mr. Vinaychand Yadavsingh Kothari serves as the Chairman and Managing Director at Best Eastern Hotels Ltd. and has been its Director since October 31, 1998. 


CEO Compensation Analysis

Compensation vs Market: Vinaychand's total compensation ($USD33.64K) is below average for companies of similar size in the Indian market ($USD48.16K).

Compensation vs Earnings: Vinaychand's compensation has increased whilst the company is unprofitable.


Board Members

NamePositionTenureCompensationOwnership
Vinaychand Kothari
Chairman & MDno data₹2.54m51.02% 55.2m
Dilip Kothari
CFO, Joint MD & Director21yrs₹2.08m13% 14.1m
Manohar Tambat
Independent Director16.58yrsno datano data
Ramnik Baxi
Non-Executive Independent Director19.83yrsno datano data
Mangal Chheda
Non-Executive Independent Director19.42yrsno data0.11% 122.0k
Neelam Kothari
Non-Executive Woman Director5yrsno data3.56% 3.9m

19.4yrs

Average Tenure

69yo

Average Age

Experienced Board: 508664's board of directors are seasoned and experienced ( 19.4 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Best Eastern Hotels Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Best Eastern Hotels Limited
  • Ticker: 508664
  • Exchange: BSE
  • Founded: 1943
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: ₹108.177m
  • Shares outstanding: 16.85m
  • Website: https://www.ushaascot.com

Location

  • Best Eastern Hotels Limited
  • 401, Chartered House
  • 293/299, Dr. C.H. Street
  • Mumbai
  • Maharashtra
  • 400002
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
508664BSE (Mumbai Stock Exchange)YesEquity SharesININRMay 2007

Biography

Best Eastern Hotels Limited owns and operates hotel and resort in India. The company operates the Usha Ascot, a resort located at Matheran. Its facilities include restaurant, bar, health club, discotheque, indoor-outdoor recreation, conference facilities, banquet halls, and other facilities. The company was incorporated in 1943 and is based in Mumbai, India. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/03/31 13:47
End of Day Share Price2020/03/31 00:00
Earnings2019/12/31
Annual Earnings2019/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.