Market

Indian Hotels stock jumps 4% after HSBC raises target price by 25%, maintains 'buy' call

Updated : December 15, 2020 11:27 AM IST

Indian Hotels share price jumped over 4 percent on Tuesday after HSBC raised the stock target price by 25 percent.

The stock rose as much as 4.3 percent to its day's high of Rs 134 per share.

The brokerage maintains a 'buy' call on Indian Hotels with the target at Rs 151 per share from Rs 120.50 earlier.

Indian Hotels share price jumped over 4 percent on Tuesday after HSBC raised the stock target price by 25 percent. Staying bullish on the stock, the brokerage maintains a 'buy' stance on Indian Hotels with the target set at Rs 151 per share from Rs 120.50 earlier.

The stock rose as much as 4.3 percent to its day's high of Rs 134 per share.

As per the brokerage, seasonal recovery in demand and pick-up in banquet business should boost the company's profitability. It further said that the firm should also benefit from some consolidation and its focus on growth.

Wider availability of vaccines could further boost demand, the brokerage firm noted.

Earlier this month, the firm announced the signing of three Taj hotels—two in Kolkata, West Bengal and one in Patna, Bihar. These new hotels are in partnership with Ambuja Neotia Group.

In Q2, the company's profit fell by over 300 percent on year on year basis. The hospitality firm posted a loss of Rs 219 crore in the Q2 versus a profit of Rs 80.11 crore for the corresponding period.

Income from operations was at Rs 256 crore as compared to Rs 1,007.44 crore for the same quarter last year.

Indian Hotels stock jumps 4% after HSBC raises target price by 25%, maintains 'buy' call

You May Also Like

L&T Q3FY21 operationally stronger than expectations but revenue down 1.8%

Closing Bell: Sensex, ends 531 points lower, Nifty down 1%; RIL falls over 5% post Q3

Kotak Mahindra Bank Q3 profit rises 16% to Rs 1,853 crore, NII up 17%

Trending on CNBC-TV18

recommended for you