Indian hospitality industry to bounce back in Q2, Motilal Oswal says

Lemon Tree Hotels

02/09/2024 09:08

** Indian hospitality industry is positioned for strong
2QFY25, following a relatively soft Q1, fuelled by increasing
average room rate and improved occupancy, Motilal Oswal analysts
say
    ** Sector to bounce back driven by pent-up demand, improved
convention centre bookings, stronger wedding season and
favourable demand-supply dynamics - MO
    ** Says, key hospitality players will witness revenue per
available room growth of ~9-11% YoY in Q2
    ** Majority of players are accelerating their execution
plans and rapidly expanding their inventories, to benefit from
anticipated upcycle within industry - brokerage
    ** Reiterates 'Buy' rating on Indian Hotels Co  IHTL.NS  at
TP of 715 rupees; maintains 'Buy' on Lemon Tree Hotels  LEMO.NS 
at TP 170 rupees - MO
    ** Shares of ITC  ITC.NS , IHTL, and Chalet Hotels
 CHAL.NS , up 1.5%, 0.3%, and 2.7%, respectively; LEMO down 1.8%

 (Reporting by Aleef Jahan in Bengaluru)
 ((aleefjahan.cs@thomsonreuters.com))