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.

Risks

  • Asian Hotels (East) is covered by less than 3 analysts.

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

3.4%

AHLEAST

5.8%

IN Hospitality

2.0%

IN Market


1 Year Return

-34.2%

AHLEAST

-15.0%

IN Hospitality

-6.1%

IN Market

AHLEAST underperformed the Hospitality industry which returned -15% over the past year.

AHLEAST underperformed the Market in India which returned -6.1% over the past year.


Share holder returns

AHLEASTIndustryMarket
7 Day3.4%5.8%2.0%
30 Day9.0%15.2%6.1%
90 Day-7.6%-6.5%-3.9%
1 Year-33.2%-34.2%-14.7%-15.0%-4.3%-6.1%
3 Year-9.5%-12.3%21.6%18.3%20.7%14.6%
5 Year-0.2%-5.3%54.4%49.3%41.3%28.0%

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 based on future cash flows and its price relative to the stock market?

37%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

Asian Hotels (East)'s share price is below the future cash flow value, and at a moderate discount (> 20%).

Asian Hotels (East)'s share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

Asian Hotels (East) is loss making, we can't compare its value to the IN Hospitality industry average.

Asian Hotels (East) is loss making, we can't compare the value of its earnings to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for Asian Hotels (East), we can't assess if its growth is good value.


Price Based on Value of Assets

Asian Hotels (East) is good value based on assets compared to the IN Hospitality industry average.


Next Steps

Future Growth

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

11.2%

Forecasted annual revenue growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Asian Hotels (East)'s revenue is expected to grow by 11.2% yearly, however this is not considered high growth (20% yearly).

Unable to determine if Asian Hotels (East) is high growth as no earnings estimate data is available.

Asian Hotels (East)'s revenue growth is positive but not above the India market average.

Unable to compare Asian Hotels (East)'s earnings growth to the India market average as no estimate data is available.

Unable to compare Asian Hotels (East)'s earnings growth to the low risk savings rate as no estimate data is available.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if Asian Hotels (East) will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


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

Asian Hotels (East) does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.

Unable to compare Asian Hotels (East)'s 1-year earnings growth to the 5-year average as it is not currently profitable.

Unable to compare Asian Hotels (East)'s 1-year growth to the IN Hospitality industry average as it is not currently profitable.


Return on Equity

It is difficult to establish if Asian Hotels (East) has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.


Return on Assets

Asian Hotels (East) used its assets less efficiently than the IN Hospitality industry average last year based on Return on Assets.


Return on Capital Employed

It is difficult to establish if Asian Hotels (East) improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.


Next Steps

Financial Health

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


Financial Position Analysis

Asian Hotels (East) is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Asian Hotels (East)'s long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

Asian Hotels (East)'s level of debt (16.2%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (42.3% vs 16.2% today).


Balance Sheet

High level of physical assets or inventory.

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.

Whilst loss making Asian Hotels (East) has sufficient cash runway for more than 3 years if it maintains the current positive free cash flow level.

Whilst loss making Asian Hotels (East) has sufficient cash runway for more than 3 years, due to free cash flow being positive and growing by 6.5% per year.


Next Steps

Dividend

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

1.36%

Current Dividend Yield


Dividend Yield and Payments Analysis

Asian Hotels (East)'s pays a higher dividend yield than the bottom 25% of dividend payers in India (0.57%).

Asian Hotels (East)'s dividend is below the markets top 25% of dividend payers in India (2.34%).

Asian Hotels (East) has been paying a dividend for less than 10 years and during this time payments have been volatile (annual drop of over 20%).

Asian Hotels (East) has only been paying a dividend for 9 years, and since then dividends per share have fallen.


Current Payout to Shareholders

The company is paying a dividend however it is incurring a loss.


Future Payout to Shareholders

Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.


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)

9.1yrs

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

Umesh's remuneration is higher than average for companies of similar size in India.

Umesh's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

6.8yrs

Average Tenure

48yo

Average Age

The average tenure for the Asian Hotels (East) management team is over 5 years, this suggests they are a seasoned and experienced team.


Board Age and Tenure

9.0yrs

Average Tenure

73.5yo

Average Age

The tenure for the Asian Hotels (East) board of directors is about average.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • Umesh Saraf (55yo)

    Joint MD & Director

    • Tenure: 9.1yrs
    • Compensation: ₹14.20m
  • Arun Saraf (60yo)

    Joint MD & Director

    • Tenure: 9yrs
    • 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: 1.9yrs
  • Isha Pareek (32yo)

    Finance Controller

    • Tenure: 1.2yrs

Board Members

  • Amal Chakrabortti (89yo)

    Independent Director

    • Tenure: 6.3yrs
    • Compensation: ₹370.00k
  • Rama Jhawar (81yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: ₹290.00k
  • Padam Khaitan (66yo)

    Independent Director

    • Tenure: 9.6yrs
    • Compensation: ₹250.00k
  • Umesh Saraf (55yo)

    Joint MD & Director

    • Tenure: 9.1yrs
    • Compensation: ₹14.20m
  • Radhe Saraf (89yo)

    Non-Independent & Non-Executive Chairman

    • Tenure: 9.6yrs
    • Compensation: ₹50.00k
  • Arun Saraf (60yo)

    Joint MD & Director

    • Tenure: 9yrs
    • Compensation: ₹18.58m
  • Rita Bhimani

    Additional Woman Independent Director

    • Tenure: 4.5yrs
    • 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: ₹2.124b
  • 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 Analysis2019/09/22 12:46
End of Day Share Price2019/09/20 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.