NSEI:AHLEAST

Stock Analysis Report

Executive Summary

Asian Hotels (East) Limited engages in the hotel business in India.

Snowflake

Fundamentals

Excellent balance sheet and slightly overvalued.

Share Price & News

How has Asian Hotels (East)'s share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

2.8%

AHLEAST

-0.05%

IN Hospitality

1.4%

IN Market


1 Year Return

-22.9%

AHLEAST

-7.4%

IN Hospitality

2.3%

IN Market

Return vs Industry: AHLEAST underperformed the Indian Hospitality industry which returned -7.4% over the past year.

Return vs Market: AHLEAST underperformed the Indian Market which returned 2.3% over the past year.


Shareholder returns

AHLEASTIndustryMarket
7 Day2.8%-0.05%1.4%
30 Day8.5%2.4%2.7%
90 Day-0.8%-5.7%-1.4%
1 Year-21.7%-22.9%-7.1%-7.4%4.3%2.3%
3 Year-9.7%-12.5%16.7%13.6%20.9%14.9%
5 Year8.3%2.7%46.2%41.3%41.2%28.2%

Price Volatility Vs. Market

How volatile is Asian Hotels (East)'s share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Asian Hotels (East) undervalued compared to its fair value and its price relative to the market?

36.2%

Undervalued compared to fair value


Share Price vs. Fair Value

Undervalued: AHLEAST (₹182.05) is trading below our estimate of fair value (₹285.51)

Significantly Undervalued: AHLEAST is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

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

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


Price to Earnings Growth Ratio

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


Price to Book Ratio

PB vs Industry: AHLEAST is good value based on its PB Ratio (0.3x) compared to the IN Hospitality industry average (1.1x).


Next Steps

Future Growth

How is Asian Hotels (East) forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

20.4%

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 Asian Hotels (East) 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 Asian Hotels (East) performed over the past 5 years?

37.2%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Earnings Trend: AHLEAST is unprofitable, but has reduced losses over the past 5 years at a rate of 37.2% per year.

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

Earnings vs Industry: AHLEAST is unprofitable, making it difficult to compare its past year earnings growth to the Hospitality industry (20.7%).


Return on Equity

High ROE: AHLEAST has a negative Return on Equity (-0.49%), as it is currently unprofitable.


Return on Assets

ROA vs Industry: AHLEAST is currently unprofitable, so its Return on Assets is negative.


Return on Capital Employed

ROCE Improving: AHLEAST is currently unprofitable, so its Return on Capital Employed is negative.


Next Steps

Financial Health

How is Asian Hotels (East)'s financial position?


Financial Position Analysis

Short Term Liabilities: AHLEAST's short term assets (₹1.1B) exceeds its short term liabilities (₹687.4M)

Long Term Liabilities: AHLEAST's short term assets (1.1B) do not cover its long term liabilities (1.2B)


Debt to Equity History and Analysis

Debt Level: AHLEAST's debt to equity ratio (16.2%) is considered satisfactory

Reducing Debt: AHLEAST's debt to equity ratio has reduced from 42.3% to 16.2% over the past 5 years.


Balance Sheet

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

Debt Coverage by Assets: AHLEAST's debt is not covered by short term assets (assets are 0.9x 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: Whilst unprofitable AHLEAST has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: AHLEAST is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by -6.5% per year.


Next Steps

Dividend

What is Asian Hotels (East)'s current dividend yield, its reliability and sustainability?

1.33%

Current Dividend Yield


Dividend Yield vs Market

company1.3%marketbottom25%0.6%markettop25%2.5%industryaverage0.5%forecastin3Yearsn/a

Current dividend yield vs market & industry


Stability and Growth of Payments

Notable Dividend: AHLEAST's dividend (1.33%) is higher than the bottom 25% of dividend payers in the Indian market (0.61%).

High Dividend: AHLEAST's dividend (1.33%) is low compared to the top 25% of dividend payers in the Indian market (2.51%).

Stable Dividend: AHLEAST has been paying a dividend for less than 10 years and during this time payments have been volatile.

Growing Dividend: AHLEAST has only been paying a dividend for 9 years, and since then payments have fallen.


Current Payout to Shareholders

Dividend Coverage: AHLEAST is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

What is the CEO of Asian Hotels (East)'s salary, the management and board of directors tenure and is there insider trading?

6.8yrs

Average management tenure


CEO

Umesh Saraf (55yo)

9.2yrs

Tenure

₹14,202,000

Compensation

Mr. Umesh M. Saraf serves as Managing Director of Unison Hotels Ltd. Mr. Saraf serves as a Managing Director of East at Asian Hotels (North) Ltd. since May 1, 2010. He has been Joint Managing Director of A ...


CEO Compensation Analysis

Compensation vs. Market: Insufficient data to establish whether Umesh's total compensation is reasonable compared to companies of similar size in the Indian market.

Compensation vs Earnings: Umesh's compensation has been consistent with company performance over the past year.


Management Age and Tenure

6.8yrs

Average Tenure

48yo

Average Age

Experienced Management: AHLEAST's management team is seasoned and experienced (6.8 years average tenure).


Board Age and Tenure

9.1yrs

Average Tenure

73.5yo

Average Age

Experienced Board: AHLEAST's board of directors are considered experienced (9.1 years average tenure).


Insider Trading

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


Ownership Breakdown


Management Team

  • Umesh Saraf (55yo)

    Joint MD & Director

    • Tenure: 9.2yrs
    • Compensation: ₹14.20m
  • Arun Saraf (60yo)

    Joint MD & Director

    • Tenure: 9.1yrs
    • Compensation: ₹18.58m
  • Saumen Chatterjee (48yo)

    Chief Legal Officer

    • Tenure: 0yrs
    • Compensation: ₹3.99m
  • Bimal Jhunjhunwala (58yo)

    CFO & VP of Corporate Finance

    • Tenure: 0yrs
    • Compensation: ₹4.31m
  • A. Srinivasan

    Executive Officer

    • Tenure: 0yrs
    • Compensation: ₹2.00k
  • Amit Paul (40yo)

    Director of Sales & Marketing

    • Tenure: 0yrs
  • Sujash Nameth (42yo)

    Director of F&B Service

    • Tenure: 0yrs
  • Clement D’ Cruz (48yo)

    Executive Chef

    • Tenure: 6.8yrs
  • P.J. Mammen (58yo)

    Chief Operating Officer

    • Tenure: 2yrs
  • Isha Pareek (32yo)

    Finance Controller

    • Tenure: 1.3yrs

Board Members

  • Amal Chakrabortti (89yo)

    Independent Director

    • Tenure: 6.4yrs
    • Compensation: ₹370.00k
  • Rama Jhawar (81yo)

    Independent Director

    • Tenure: 9.7yrs
    • Compensation: ₹290.00k
  • Padam Khaitan (66yo)

    Independent Director

    • Tenure: 9.7yrs
    • Compensation: ₹250.00k
  • Umesh Saraf (55yo)

    Joint MD & Director

    • Tenure: 9.2yrs
    • Compensation: ₹14.20m
  • Radhe Saraf (89yo)

    Non-Independent & Non-Executive Chairman

    • Tenure: 9.7yrs
    • Compensation: ₹50.00k
  • Arun Saraf (60yo)

    Joint MD & Director

    • Tenure: 9.1yrs
    • Compensation: ₹18.58m
  • Rita Bhimani

    Additional Woman Independent Director

    • Tenure: 4.6yrs
    • Compensation: ₹280.00k

Company Information

Asian Hotels (East) Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Asian Hotels (East) Limited
  • Ticker: AHLEAST
  • Exchange: NSEI
  • Founded: 2007
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: ₹2.110b
  • Shares outstanding: 11.53m
  • Website: https://www.ahleast.com

Number of Employees


Location

  • Asian Hotels (East) Limited
  • Hyatt Regency Kolkata
  • JA-1, Sector-III
  • Kolkata
  • West Bengal
  • 700098
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
533227BSE (Mumbai Stock Exchange)YesEquity SharesININRAug 2010
AHLEASTNSEI (National Stock Exchange of India)YesEquity SharesININRAug 2010

Biography

Asian Hotels (East) Limited engages in the hotel business in India. It operates Hyatt Regency Kolkata, a five-star hotel located in the city of Kolkata; and Hyatt Regency Chennai, a hotel situated in the c ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/10/16 12:48
End of Day Share Price2019/10/15 00:00
Earnings2019/06/30
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.