Indian Hotels
Market Cap
₹100.1b
Last Updated
2020/06/02 06:10 UTC
Data Sources
Company Financials +
Executive Summary
The Indian Hotels Company Limited, together with its subsidiaries, owns, operates, and manages hotels, palaces, and resorts in India and internationally.
Rewards
Risk Analysis
Earnings are forecast to decline by an average of -15.6% per year for the next 3 years
Snowflake Analysis
Acceptable track record with mediocre balance sheet.
Similar Companies
Share Price & News
How has Indian Hotels's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: INDHOTEL's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
24.2%
INDHOTEL
9.7%
IN Hospitality
8.2%
IN Market
1 Year Return
-44.9%
INDHOTEL
-40.2%
IN Hospitality
-18.2%
IN Market
Return vs Industry: INDHOTEL underperformed the Indian Hospitality industry which returned -42.1% over the past year.
Return vs Market: INDHOTEL underperformed the Indian Market which returned -19.9% over the past year.
Shareholder returns
| INDHOTEL | Industry | Market | |
|---|---|---|---|
| 7 Day | 24.2% | 9.7% | 8.2% |
| 30 Day | 5.3% | 4.7% | 1.5% |
| 90 Day | -32.1% | -25.7% | -11.5% |
| 1 Year | -44.7%-44.9% | -36.2%-40.2% | -16.6%-18.2% |
| 3 Year | -33.3%-38.1% | -13.4%-22.0% | -6.1%-11.1% |
| 5 Year | -7.5%-14.4% | 13.9%-0.9% | 19.2%8.0% |
Price Volatility Vs. Market
How volatile is Indian Hotels's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall St
Such Is Life: How Indian Hotels (NSE:INDHOTEL) Shareholders Saw Their Shares Drop 54%3 weeks ago | Simply Wall St
Is The Indian Hotels Company Limited's (NSE:INDHOTEL) CEO Being Overpaid?1 month ago | Simply Wall St
Is Indian Hotels (NSE:INDHOTEL) A Risky Investment?Valuation
Is Indian Hotels undervalued compared to its fair value and its price relative to the market?
25.24x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: INDHOTEL (₹84.15) is trading above our estimate of fair value (₹47.46)
Significantly Below Fair Value: INDHOTEL is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: INDHOTEL is poor value based on its PE Ratio (25.2x) compared to the Hospitality industry average (14.4x).
PE vs Market: INDHOTEL is poor value based on its PE Ratio (25.2x) compared to the Indian market (10.1x).
Price to Earnings Growth Ratio
PEG Ratio: INDHOTEL's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: INDHOTEL is overvalued based on its PB Ratio (2.5x) compared to the IN Hospitality industry average (0.8x).
Next Steps
Future Growth
How is Indian Hotels forecast to perform in the next 1 to 3 years based on estimates from 7 analysts?
-15.6%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: INDHOTEL's earnings are forecast to decline over the next 3 years (-15.6% per year).
Earnings vs Market: INDHOTEL's earnings are forecast to decline over the next 3 years (-15.6% per year).
High Growth Earnings: INDHOTEL's earnings are forecast to decline over the next 3 years.
Revenue vs Market: INDHOTEL's revenue (1.9% per year) is forecast to grow slower than the Indian market (7.2% per year).
High Growth Revenue: INDHOTEL's revenue (1.9% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: INDHOTEL's Return on Equity is forecast to be low in 3 years time (5.3%).
Next Steps
Past Performance
How has Indian Hotels performed over the past 5 years?
74.0%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: INDHOTEL has a large one-off gain of ₹904.6M impacting its December 31 2019 financial results.
Growing Profit Margin: INDHOTEL's current net profit margins (8.4%) are higher than last year (5.5%).
Past Earnings Growth Analysis
Earnings Trend: INDHOTEL has become profitable over the past 5 years, growing earnings by 74% per year.
Accelerating Growth: INDHOTEL's earnings growth over the past year (59.7%) is below its 5-year average (74% per year).
Earnings vs Industry: INDHOTEL earnings growth over the past year (59.7%) exceeded the Hospitality industry 19.2%.
Return on Equity
High ROE: INDHOTEL's Return on Equity (8.5%) is considered low.
Next Steps
Financial Health
How is Indian Hotels's financial position?
Financial Position Analysis
Short Term Liabilities: INDHOTEL's short term assets (₹10.0B) do not cover its short term liabilities (₹23.4B).
Long Term Liabilities: INDHOTEL's short term assets (₹10.0B) do not cover its long term liabilities (₹38.5B).
Debt to Equity History and Analysis
Debt Level: INDHOTEL's debt to equity ratio (32.2%) is considered satisfactory.
Reducing Debt: INDHOTEL's debt to equity ratio has reduced from 155.2% to 32.2% over the past 5 years.
Debt Coverage: INDHOTEL's debt is well covered by operating cash flow (49.3%).
Interest Coverage: INDHOTEL's interest payments on its debt are not well covered by EBIT (2.4x coverage).
Balance Sheet
Next Steps
Dividend
What is Indian Hotels's current dividend yield, its reliability and sustainability?
0.59%
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: INDHOTEL's dividend (0.59%) isn’t notable compared to the bottom 25% of dividend payers in the Indian market (0.83%).
High Dividend: INDHOTEL's dividend (0.59%) is low compared to the top 25% of dividend payers in the Indian market (3.47%).
Stability and Growth of Payments
Stable Dividend: INDHOTEL's dividend payments have been volatile in the past 10 years.
Growing Dividend: INDHOTEL's dividend payments have fallen over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (15%), INDHOTEL's dividend payments are thoroughly covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: INDHOTEL's dividends in 3 years are forecast to be well covered by earnings (30.2% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
4.0yrs
Average management tenure
CEO
Puneet Chhatwal (55yo)
2.58yrs
Tenure
₹60,164,000
Compensation
Mr. Puneet Chhatwal has been the Chief Executive Officer and Managing Director of Indian Hotels Company Ltd (IHCL) since November 6, 2017 and its Director since November 6, 2017. Mr. Chhatwal serves as Chi ...
CEO Compensation Analysis
Compensation vs Market: Puneet's total compensation ($USD796.27K) is about average for companies of similar size in the Indian market ($USD647.38K).
Compensation vs Earnings: Puneet's compensation has increased by more than 20% in the past year.
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD, CEO & Director | 2.58yrs | ₹60.16m | no data | |
| Executive VP & CFO | 3.08yrs | ₹33.10m | no data | |
| Senior VP | no data | ₹15.90m | no data | |
| Vice President of Corporate Finance | no data | no data | no data | |
| Executive VP & General Counsel | no data | no data | no data | |
| Senior Vice President of Global Sales & Marketing | no data | ₹5.42m | no data | |
| Executive VP & Global Head of Human Resources | no data | no data | no data | |
| Corporate Chef of Premium Hotels & Executive Chef of Taj President Hotel - Mumbai | no data | ₹6.92m | no data | |
| Senior Vice President of Business & International Consular Corps Relations | 16.42yrs | no data | no data | |
| Executive Vice President of Real Estate & Development | 4.83yrs | no data | no data |
4.0yrs
Average Tenure
56yo
Average Age
Experienced Management: INDHOTEL's management team is considered experienced (4 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| MD, CEO & Director | 2.58yrs | ₹60.16m | no data | |
| Additional Independent Director | 0.83yr | no data | no data | |
| Non-Executive | 1.83yrs | ₹30.00k | no data | |
| Additional Independent Director | 0.83yr | no data | no data | |
| Non-Executive | 1.83yrs | ₹25.76m | 0.0053% ₹5.3m | |
| Chairman of the Board | 3.33yrs | ₹210.00k | 0.0084% ₹8.4m | |
| Non-Executive Independent Director | 5.75yrs | ₹4.44m | no data | |
| Additional Independent Director | 0.83yr | no data | no data |
1.8yrs
Average Tenure
59yo
Average Age
Experienced Board: INDHOTEL's board of directors are not considered experienced ( 1.8 years average tenure), which suggests a new board.
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: INDHOTEL insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
The Indian Hotels Company Limited's company bio, employee growth, exchange listings and data sources
Key Information
- Name: The Indian Hotels Company Limited
- Ticker: INDHOTEL
- Exchange: NSEI
- Founded: 1899
- Industry: Hotels, Resorts and Cruise Lines
- Sector: Consumer Services
- Market Cap: ₹100.136b
- Shares outstanding: 1.19b
- Website: https://www.tajhotels.com
Number of Employees
Location
- The Indian Hotels Company Limited
- Express Towers
- 9th Floor
- Mumbai
- Maharashtra
- 400021
- India
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| 500850 | BSE (Mumbai Stock Exchange) | Yes | Ordinary Shares | IN | INR | Mar 1993 |
| INDHOTEL | NSEI (National Stock Exchange of India) | Yes | Ordinary Shares | IN | INR | Mar 1993 |
Biography
The Indian Hotels Company Limited, together with its subsidiaries, owns, operates, and manages hotels, palaces, and resorts in India and internationally. The company operates hotels under the Taj, SeleQtions, Vivanta, and Ginger brand names. It also operates spas, salons, and boutiques. As of February 25, 2020, the company operated approximately 200 hotels with an inventory of 25,000 rooms in 100 locations, which included 42 hotels under development. The Indian Hotels Company Limited was founded in 1899 and is based in Mumbai, India.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/06/02 06:10 |
| End of Day Share Price | 2020/06/01 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/03/31 |
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.