Indian Hotels Co. Ltd.
ISIN: INE053A01029 • Market Cap: ₹1.03 Lakh Cr
The 5-Pillar Quality Audit for Indian Hotels Co. Ltd.
Evaluated across Profitability, Financial Health, Historical Compounding, Valuation Safety, and Ownership Governance:
1. Profitability & Capital Efficiency
Weight: 25%Measures operating margins (33.0%), Return on Capital Employed (16.0%), and equity compounding (16.0%).
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 (13.8%) and 3Y PAT CAGR (21.6%).
4. Valuation Multiple & Margin of Safety
Weight: 15%Trades at P/E of 48.02 vs PEG of 4.66 and Dividend Yield of 0.5%.
5. Ownership Quality & Governance
Weight: 15%Promoter holding stands at 38.1%, backed by 46.3% 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.
High-Velocity Profit Compounding (3Y PAT CAGR: 21.6%)
Net earnings have compounded at 21.6% annualized, demonstrating operating leverage.
Deep Institutional Sponsorship (46.3%)
Mutual funds, domestic DIIs, and foreign FIIs hold 46.3%, providing strong governance scrutiny.
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 INDHOTEL 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)
Qualifies for Indian Quality Indices with overall score of 75/100 and clean gearing.
GARP / Value-Growth Blend
Valuation multiple or return metrics require further cyclical pullback.
Consumer Services Sector Peer Comparison
Compare INDHOTEL directly against top industry peers by market capitalization:
| Company | 5-Pillar Score | Market Cap | P/E | ROCE | D/E | Scorecard |
|---|---|---|---|---|---|---|
| Indian Hotels Co. Ltd. (INDHOTEL)Current | 75/100 | ₹1.03 Lakh Cr | 48.02 | 16.0% | 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 |
| FSN E-Commerce Ventures Ltd. (NYKAA) | 69/100 | ₹93,800 Cr | 366.22 | 29.4% | 0.53 | View |
Frequently Asked Questions: Indian Hotels Co. Ltd.
Q:What is the 5-Pillar Fundamental Score for Indian Hotels Co. Ltd. (INDHOTEL)?
Indian Hotels Co. Ltd. has a RupeeTools Fundamental Score of 75/100, placing it in the 'Solid & Healthy' category. Its pillar scores are: Profitability (81/100), Financial Health (89/100), Growth (79/100), Valuation (32/100), and Ownership Quality (82/100).
Q:Is INDHOTEL fundamentally strong for long-term investment?
Yes, INDHOTEL exhibits solid fundamental strength with a 75/100 score, driven by a return on equity of 16.0% and a debt-to-equity ratio of 0.00.
Q:Does INDHOTEL pass the Coffee Can Investing filter?
Yes! INDHOTEL 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 INDHOTEL compare against other Consumer Services peers?
Within India's Consumer Services sector, INDHOTEL trades at a P/E of 48.02 and generates an ROCE of 16.0%. Compare its 5-Pillar score of 75/100 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.