Hotels are not just about luxury and holidays — they are also a smart way to grow your money through the stock market. As more people in India are travelling for business, family functions, tourism, and even destination weddings, the hotel industry is growing very fast. Big hotel companies are making good profits from this rising demand. Because of this, hotel stocks are looking strong and attractive for investors. In this article, we will share with you the best hotel stocks in India you must watch this year, if you want steady returns and to take benefit from India’s growing travel and tourism sector.
Best Hotel Stocks List in India
Here we have shared the list of some of the best hotel stocks in India. These companies are well-known in the hospitality industry and are showing good performance in the share market. If you are planning to invest, you can consider these hotel stocks for long-term growth and steady returns.
Hotel Company Name | Market Cap (Cr) | Current Price (Rs) | 1-Year Return (%) |
---|---|---|---|
Indian Hotels Company Ltd | 1,07,227.15 | 786.25 | 42.20% |
TAJ GVK Hotels and Resorts Ltd | 3,136.96 | 501.65 | 54.71% |
ITC Hotels Ltd | 34,845.05 | 177.75 | 3.43% |
Chalet Hotels Ltd | 16,643.03 | 769.60 | 4.28% |
EIH Ltd | 22,731.99 | 366.15 | -9.60% |
Ventive Hospitality Ltd | 16,935.27 | 730.15 | 3.66% |
Lemon Tree Hotels Ltd | 10,176.83 | 134.59 | 3.73% |
Mahindra Holidays and Resorts India Ltd | 5,955.49 | 309.45 | -18.22% |
Juniper Hotels Ltd | 5,921.90 | 275.85 | -39.94% |
Samhi Hotels Ltd | 3,197.80 | 147.77 | -29.43% |
1. Indian Hotels Company Ltd
The Market Cap of Indian Hotels Company Ltd is ₹1,07,227.15 crore. The stock’s 1-month return is 4.19%, while its 1-year return is 42.2%. It is currently 13.82% away from its 52-week high.
Indian Hotels Company Ltd, the parent of the iconic Taj Hotels, is one of the oldest and most trusted names in the Indian hospitality sector. It operates famous brands like Taj, Vivanta, Ginger, and SeleQtions. The company has a strong presence not only in India but also in international markets. It is known for offering world-class luxury services and maintaining high standards of customer satisfaction. Indian Hotels is focusing on expanding its portfolio by opening new hotels and entering asset-light management contracts to improve margins. The company’s focus on sustainability, innovation, and digital transformation makes it a top choice for long-term investors looking for consistent growth in the hospitality space.
2. TAJ GVK Hotels and Resorts Ltd
The Market Cap of TAJ GVK Hotels and Resorts Ltd is ₹3,136.96 crore. The stock’s 1-year return is 54.71%. TAJ GVK Hotels and Resorts operates premium hotels under the Taj brand in important cities like Hyderabad, Chandigarh, and Chennai. It is a joint venture between the GVK Group and Indian Hotels Company Ltd (Taj Group). These hotels cater to luxury travelers, business professionals, and tourists. TAJ GVK benefits from its strong connection with the well-established Taj brand and maintains a high standard of hospitality, offering unique experiences through excellent locations and premium services. The company continues to focus on expanding its footprint while upgrading existing properties to meet modern demands. Strong recovery in travel and hospitality post-COVID has helped boost its performance.
3. ITC Hotels Ltd
The Market Cap of ITC Hotels Ltd is ₹34,845.05 crore. The stock’s 1-year return is 3.43%. ITC Hotels is a part of the diversified ITC Group, which is known for FMCG, agri-business, and hotels. ITC Hotels has established itself as a leading luxury hotel chain through its brands like ITC Grand, Fortune Hotels, and Welcomhotel. The company is deeply committed to sustainability, green buildings, and responsible luxury, making it a preferred choice for both business and leisure travelers. ITC Hotels continues to grow steadily, focusing on premium segments while exploring newer opportunities through management contracts and franchise models. It benefits from synergies with ITC’s food and FMCG businesses, making its hotel segment well-positioned for future growth.
4. Chalet Hotels Ltd
The Market Cap of Chalet Hotels Ltd is ₹16,643.03 crore. The stock’s 1-year return is 4.28%. Chalet Hotels Ltd owns and operates high-end hotels primarily in metro cities like Mumbai, Bengaluru, and Hyderabad. These hotels operate under global hospitality brands like Marriott International. Chalet focuses on urban hospitality, targeting business travelers and premium corporate clients. The company’s strategy revolves around developing high-quality properties in strategic locations to maximize revenue per available room (RevPAR). Apart from hospitality, Chalet also earns from commercial real estate through leasing office spaces in key locations. With rising demand for business travel and high-end stays, Chalet continues to upgrade and expand its portfolio to capture future growth opportunities.
5. EIH Ltd
The Market Cap of EIH Ltd is ₹22,731.99 crore. The stock’s 1-year return is -9.6%. EIH Ltd is the parent company of Oberoi Hotels & Resorts and Trident Hotels, both respected names in the global luxury hospitality industry. EIH is known for its strong focus on luxury, exclusivity, and personalized service. Its hotels are located in prime destinations across India and abroad, catering to high-net-worth individuals, celebrities, and global travelers. Despite short-term stock performance challenges, the company’s reputation remains unmatched in the luxury segment. EIH is also expanding through new properties and renovation of existing ones. Its focus on offering timeless luxury, exceptional service, and culinary excellence keeps it relevant among premium travelers.
6. Ventive Hospitality Ltd
The Market Cap of Ventive Hospitality Ltd is ₹16,935.27 crore. The stock’s 1-year return is 3.66%. Ventive Hospitality is a rising player in India’s premium hospitality market. The company focuses on delivering modern, upscale experiences through its network of luxury hotels and resorts. With India’s growing demand for tourism and business travel, Ventive is strategically expanding its presence in key urban and tourist hubs. The company’s strong management team and vision for long-term growth through innovation, quality service, and premium positioning make it one to watch. Ventive is also looking to strengthen partnerships with global hospitality brands to enhance its offerings and scale up its operations.
7. Lemon Tree Hotels Ltd
The Market Cap of Lemon Tree Hotels Ltd is ₹10,176.83 crore. The stock’s 1-year return is 3.73%. Lemon Tree Hotels is India’s largest mid-priced hotel chain, known for offering quality stays at affordable prices. Its properties serve business travelers, tourists, and families seeking comfort without luxury prices. Lemon Tree has adopted an asset-light model for expansion through management contracts, which helps improve margins and reduce risks. The company is also moving into the upscale segment with its Aurika brand. With a wide network of hotels across India’s tier 1 and tier 2 cities, Lemon Tree’s steady growth is supported by India’s expanding middle class, rising domestic tourism, and demand for organized budget accommodation.
8. Mahindra Holidays and Resorts India Ltd
The Market Cap of Mahindra Holidays and Resorts India Ltd is ₹5,955.49 crore. The stock’s 1-year return is -18.22%. Mahindra Holidays operates under the Club Mahindra brand, offering a unique vacation ownership model (timeshare) that allows families to pre-book holidays for years in advance. The company operates resorts in India and abroad in exotic locations, providing activities and experiences focused on family fun and relaxation. While its stock performance has seen challenges, the long-term business model benefits from loyal customers and recurring income. Mahindra Holidays continues to expand its portfolio through new resorts and global partnerships. The growth of India’s middle class and rising interest in planned holidays make this a steady player in the leisure travel segment.
9. Juniper Hotels Ltd
The Market Cap of Juniper Hotels Ltd is ₹5,921.90 crore. The stock’s 1-year return is -39.94%. Juniper Hotels operates premium and luxury hotels under partnerships with Hyatt Hotels Corporation. Its properties cater to affluent business travelers and tourists looking for world-class service and high-end experiences. Despite challenges reflected in its current stock performance, Juniper remains focused on strengthening its position in India’s hospitality sector by operating in prime locations. With strategic expansion, strong brand partnerships, and a focus on premium segments, Juniper Hotels aims to improve performance and capture more market share as the hospitality sector recovers.
10. Samhi Hotels Ltd
The Market Cap of Samhi Hotels Ltd is ₹3,197.80 crore. The stock’s 1-year return is -29.43%. Samhi Hotels operates mid-to-upscale hotels under global brands like Marriott, Hyatt, and IHG. The company focuses on business travelers and urban markets, offering reliable service in strategic city locations. Samhi has grown through acquisitions and partnerships, building a diverse portfolio of properties. Though its recent stock performance shows pressure, the company’s focus on operational efficiency, brand partnerships, and corporate clientele positions it well for future growth. With India’s business travel on the rise, Samhi’s strategic locations and global connections make it a potential turnaround story.
Best Hotel Stocks in India Based on 5-Year Net Profit Margin
If you want to select hotel stocks based on financial strength, then checking the 5-year average net profit margin is a good idea. A higher profit margin shows the company is running its business more efficiently. Below is the list of hotel stocks in India with their average net profit margin from the last 5 years.
Hotel Company Name | 5-Year Avg Net Profit Margin (%) |
---|---|
Ventive Hospitality Ltd | 19.50% |
Benares Hotels Ltd | 12.14% |
EIH Associated Hotels Ltd | 6.95% |
U. P. Hotels Ltd | 5.85% |
Royal Orchid Hotels Ltd | 2.82% |
TAJ GVK Hotels and Resorts Ltd | 2.75% |
Kamat Hotels (India) Ltd | 2.53% |
Mahindra Holidays and Resorts India Ltd | 1.09% |
Indian Hotels Company Ltd | -0.61% |
Chalet Hotels Ltd | -3.26% |
Factors to Consider Before Investing in Hotel Stocks in India
Before investing in hotel stocks in India, it is important to look at some key factors. Check the financial health of the company, including revenue, profit, and debt. Study market demand like tourism trends and occupancy rates. Understand how government policies may help or impact the business. Lastly, review the management team’s performance and how well they run the business for long-term growth.
Factors to Consider Before Investing in Hotel Stocks
Before buying hotel stocks in India, check the company’s financial strength, tourism demand, government policies, and how well the management is running the business. These factors help in choosing the right stock for long-term growth.
Advantages of Investing in Hotel Stocks
Investing in hotel stocks offers many benefits like high returns from growing tourism, stable income from steady occupancy, and capital appreciation as property values rise. Hotel stocks also help in diversifying your portfolio, reducing overall investment risk.
Conclusion
Hotel stocks in India can be a good choice for long-term investors looking to benefit from the growth of tourism, business travel, and hospitality services. By selecting strong and financially stable companies, investors can enjoy steady returns, potential capital growth, and portfolio diversification. However, it is always important to do proper research, check financial performance, and understand market trends before investing. With the right approach, hotel stocks can offer good opportunities for wealth creation in the coming years.