EIH Ltd.
ISIN: INE230A01023 • Market Cap: ₹18,608 Cr
The 5-Pillar Quality Audit for EIH Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (34.1%), Return on Capital Employed (16.9%), and equity compounding (11.9%).
2. Financial Health & Solvency
Weight: 25%Debt-to-Equity is 0.00 with comfortable interest coverage and clean working capital.
3. Growth & Compounding Track Record
Weight: 20%Historical 3Y Sales CAGR (6.4%) and 3Y PAT CAGR (2.5%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 26.15 vs PEG of 1.56 and Dividend Yield of 0.5%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 32.9%, backed by 20.4% institutional ownership.
Key Fundamental Strengths
Fortress Balance Sheet (D/E: 0.00)
The company operates virtually debt-free, shielding net margins from interest rate cycles and monetary tightening.
Consistent Market Standing (Mid Cap)
Established player in the Consumer Services sector with an overall fundamental quality score of 67/100.
Areas to Watch & Potential Risks
Sectoral & Macro Headwinds (Consumer Services)
Subject to broader cyclical demand, raw material price shifts, and regulatory frameworks governing the Consumer Services space.
Quantitative Strategy Eligibility
Checking EIHOTEL against established Indian wealth creation frameworks:
Coffee Can Investing Framework
Passes Saurabh Mukherjea's Coffee Can rule: 10%+ sustained revenue growth and 15%+ ROCE/ROE.
Quality Factor Screener (High RoIC + Low Debt)
Scorecard of 67/100 or leverage profile sits below strict quality index hurdles.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Consumer Services Sector Peer Comparison
Compare EIHOTEL directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| EIH Ltd. (EIHOTEL)Current | 67/100 | ₹18,608 Cr | 26.15 | 16.9% | 0.00 | — |
| Eternal Ltd. (ETERNAL) | 61/100 | ₹3.09 Lakh Cr | 713.64 | 2.9% | 0.00 | View |
| Avenue Supermarts Ltd. (DMART) | 66/100 | ₹2.60 Lakh Cr | 84.88 | 16.4% | 0.04 | View |
| Trent Ltd. (TRENT) | 74/100 | ₹1.57 Lakh Cr | 86.78 | 29.6% | 0.07 | View |
| Lenskart Solutions Ltd. (LENSKART) | 63/100 | ₹1.11 Lakh Cr | 169.67 | 8.4% | 0.03 | View |
| Indian Hotels Co. Ltd. (INDHOTEL) | 75/100 | ₹1.03 Lakh Cr | 48.02 | 16.0% | 0.00 | View |
Frequently Asked Questions: EIH Ltd.
Q:What is the 5-Pillar Fundamental Score for EIH Ltd. (EIHOTEL)?
EIH Ltd. has a RupeeTools Fundamental Score of 67/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (73/100), Financial Health (84/100), Growth (48/100), Valuation (63/100), and Ownership Quality (60/100).
Q:Is EIHOTEL fundamentally strong for long-term investment?
EIHOTEL currently holds a moderate quality rating of 67/100. While it operates in the Consumer Services sector, investors should monitor its profit margins before initiating long-term positions.
Q:Does EIHOTEL pass the Coffee Can Investing filter?
Yes! EIHOTEL satisfies both core pillars of Coffee Can Investing: achieving consistently high capital returns (ROCE/ROE >= 15%) alongside double-digit multi-year revenue growth.
Q:How does EIHOTEL compare against other Consumer Services peers?
Within India's Consumer Services sector, EIHOTEL trades at a P/E of 26.15 and generates an ROCE of 16.9%. Compare its 5-Pillar score of 67/100 against top sector peers like Eternal Ltd. (61/100), Avenue Supermarts Ltd. (66/100).
Regulatory & SEBI Research Analyst Compliance Disclaimer:
This 5-pillar fundamental score is an automated quantitative health check generated purely from historical public financial statements, corporate filings, and exchange disclosures for educational and informational purposes only. It does NOT constitute investment advice, a stock recommendation, or a solicitation to buy or sell securities. RupeeTools is not a SEBI-registered Research Analyst. Please consult a SEBI-registered financial advisor before making investment decisions.