NSEI:TAJGVK

Stock Analysis Report

TAJGVK Hotels & Resorts

Executive Summary

TAJGVK Hotels & Resorts Limited owns, operates, and manages hotels, palaces, and resorts under the Taj brand name in India.

Snowflake

Fundamentals

Proven track record with imperfect balance sheet.

Risks

  • TAJGVK Hotels & Resorts has significant price volatility in the past 3 months.
  • TAJGVK Hotels & Resorts is covered by less than 3 analysts.

Similar Companies

Share Price & News

How has TAJGVK Hotels & Resorts's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-4.8%

NSEI:TAJGVK

-1.9%

IN Hospitality

-0.7%

IN Market


1 Year Return

-39.4%

NSEI:TAJGVK

-28.5%

IN Hospitality

-12.8%

IN Market

TAJGVK underperformed the Hospitality industry which returned -28.5% over the past year.

TAJGVK underperformed the Market in India which returned -12.8% over the past year.


Share holder returns

TAJGVKIndustryMarket
7 Day-4.8%-1.9%-0.7%
30 Day-34.6%-9.7%-3.2%
90 Day-32.3%-19.5%-6.7%
1 Year-39.2%-39.4%-28.2%-28.5%-11.0%-12.8%
3 Year-18.8%-19.5%1.0%-1.6%19.2%13.0%
5 Year12.8%11.6%21.0%17.3%38.0%24.9%

Price Volatility Vs. Market

How volatile is TAJGVK Hotels & Resorts's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is TAJGVK Hotels & Resorts undervalued based on future cash flows and its price relative to the stock market?

26.36x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

TAJGVK Hotels & Resorts's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

TAJGVK Hotels & Resorts's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

TAJGVK Hotels & Resorts is overvalued based on earnings compared to the IN Hospitality industry average.

TAJGVK Hotels & Resorts is overvalued based on earnings compared to the India market.


Price Based on Expected Growth

Unable to calculate PEG ratio for TAJGVK Hotels & Resorts, we can't assess if its growth is good value.


Price Based on Value of Assets

TAJGVK Hotels & Resorts is overvalued based on assets compared to the IN Hospitality industry average.


Next Steps

Future Growth

How is TAJGVK Hotels & Resorts expected to perform in the next 1 to 3 years based on estimates from 1 analyst?

6.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

TAJGVK Hotels & Resorts's revenue is expected to grow by 8.2% yearly, however this is not considered high growth (20% yearly).

TAJGVK Hotels & Resorts's earnings are expected to grow by 6.2% yearly, however this is not considered high growth (20% yearly).

TAJGVK Hotels & Resorts's revenue growth is positive but not above the India market average.

TAJGVK Hotels & Resorts's earnings growth is positive but not above the India market average.

TAJGVK Hotels & Resorts's earnings growth is positive but not above the low risk savings rate of 7.6%.


Earnings per Share Growth Estimates


Future Return on Equity

Unable to establish if TAJGVK Hotels & Resorts will efficiently use shareholders’ funds in the future without estimates of Return on Equity.


Next Steps

Past Performance

How has TAJGVK Hotels & Resorts performed over the past 5 years?

56.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

TAJGVK Hotels & Resorts has delivered over 20% year on year earnings growth in the past 5 years.

TAJGVK Hotels & Resorts's 1-year earnings growth is less than its 5-year average (20.7% vs 56.8%)

TAJGVK Hotels & Resorts's earnings growth has exceeded the IN Hospitality industry average in the past year (20.7% vs 20.4%).


Return on Equity

TAJGVK Hotels & Resorts has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

TAJGVK Hotels & Resorts used its assets more efficiently than the IN Hospitality industry average last year based on Return on Assets.


Return on Capital Employed

TAJGVK Hotels & Resorts has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is TAJGVK Hotels & Resorts's financial position?


Financial Position Analysis

TAJGVK Hotels & Resorts's short term (1 year) commitments are greater than its holdings of cash and other short term assets.

TAJGVK Hotels & Resorts's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

TAJGVK Hotels & Resorts's level of debt (50.2%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has been reduced over the past 5 years (66.6% vs 50.2% today).

Debt is well covered by operating cash flow (29.9%, greater than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 3x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.2x debt.


Next Steps

Dividend

What is TAJGVK Hotels & Resorts's current dividend yield, its reliability and sustainability?

0.49%

Current Dividend Yield


Dividend Yield and Payments Analysis

TAJGVK Hotels & Resorts's pays a lower dividend yield than the bottom 25% of dividend payers in India (0.63%).

TAJGVK Hotels & Resorts's dividend is below the markets top 25% of dividend payers in India (2.51%).

Dividends per share have been volatile in the past 10 years (annual drop of over 20%).

Dividends per share have fallen over the past 10 years.


Current Payout to Shareholders

Dividends paid are thoroughly covered by earnings (7.7x coverage).


Future Payout to Shareholders

No need to calculate the sustainability of TAJGVK Hotels & Resorts's dividends in 3 years as they are not expected to pay a notable one for India.


Next Steps

Management

What is the CEO of TAJGVK Hotels & Resorts's salary, the management and board of directors tenure and is there insider trading?

10.2yrs

Average board tenure


CEO

G. Indira Reddy (75yo)

0.0yrs

Tenure

₹36,508,000

Compensation

Mrs. G. Indira Krishna Reddy, B.Sc. has been Managing Director of TAJGVK Hotels & Resorts Limited since April 25, 2010 and served as it's Chief Executive Officer. Mrs. Reddy serves as Vice Chairperson of N ...


CEO Compensation Analysis

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

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


Board Age and Tenure

10.2yrs

Average Tenure

73yo

Average Age

The average tenure for the TAJGVK Hotels & Resorts board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

No 3 month open market individual insider trading information.


Ownership Breakdown


Management Team

  • G. Indira Reddy (75yo)

    MD & Director

    • Tenure: 0.0yrs
    • Compensation: ₹36.51m
  • Shalini Bhupal (56yo)

    Joint MD & Executive Director

    • Tenure: 10.2yrs
    • Compensation: ₹20.78m
  • J. Murthy

    CFO, Compliance Officer & Company Secretary

    • Tenure: 4.8yrs
    • Compensation: ₹9.73m
  • Mala Paropkari

    Vice President of Investor Relations

    • Tenure: 0.0yrs

Board Members

  • Kotireddy Reddy (82yo)

    Lead Independent Director

    • Tenure: 0.0yrs
    • Compensation: ₹205.00k
  • Devarayapuram Kaarthikeyan (80yo)

    Non-Executive Independent Director

    • Tenure: 18.3yrs
    • Compensation: ₹175.00k
  • G. Indira Reddy (75yo)

    MD & Director

    • Tenure: 0.0yrs
    • Compensation: ₹36.51m
  • Gunapati Venkata Reddy (55yo)

    Non-Executive Director

    • Tenure: 24.6yrs
    • Compensation: ₹100.00k
  • Gunapati Venkata Reddy (82yo)

    Non-Executive Chairman

    • Tenure: 14.3yrs
    • Compensation: ₹125.00k
  • N. Anil Reddy (60yo)

    Independent Non-Executive Director

    • Tenure: 0.3yrs
    • Compensation: ₹40.00k
  • Shalini Bhupal (56yo)

    Joint MD & Executive Director

    • Tenure: 10.2yrs
    • Compensation: ₹20.78m
  • Ch. G. Murthy (88yo)

    Independent Non-Executive Director

    • Tenure: 7.3yrs
    • Compensation: ₹195.00k
  • Mandavilli Bhaskara Rao (71yo)

    Non-Executive Independent Director

    • Tenure: 9.8yrs
    • Compensation: ₹205.00k
  • Krishna Bhupal (36yo)

    Non-Executive Non-Independent Director

    • Tenure: 9.8yrs
    • Compensation: ₹185.00k

Company Information

TAJGVK Hotels & Resorts Limited's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: TAJGVK Hotels & Resorts Limited
  • Ticker: TAJGVK
  • Exchange: NSEI
  • Founded: 1995
  • Industry: Hotels, Resorts and Cruise Lines
  • Sector: Consumer Services
  • Market Cap: ₹7.969b
  • Shares outstanding: 62.70m
  • Website: https://www.tajgvk.in

Number of Employees


Location

  • TAJGVK Hotels & Resorts Limited
  • Taj Krishna
  • Road No 1
  • Hyderabad
  • Andhra Pradesh
  • 500034
  • India

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
532390BSE (Mumbai Stock Exchange)YesEquity SharesININRDec 2000
TAJGVKNSEI (National Stock Exchange of India)YesEquity SharesININRDec 2000

Biography

TAJGVK Hotels & Resorts Limited owns, operates, and manages hotels, palaces, and resorts under the Taj brand name in India. It operates Taj Krishna, Taj Banjara, Taj Deccan, and Vivanta by Taj in Hyderabad ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/20 12:43
End of Day Share Price2019/08/20 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.