Buy, Sell Or Hold: Indian Hotels Company, EIH, Chalet Hotels, Lemon Tree Hotels, SAMHI Hotels — Analyst Forecast
- September 28, 2026
- Posted by: Ankit Jaiswal
- Category: Market
India’s listed hotels and restaurants stocks are led by hotel operators riding strong domestic travel, wedding and business demand, while quick-service restaurant chains such as Jubilant FoodWorks and Devyani International are covered in our food sector piece. This piece checks five listed hotel operators on valuation and profitability.
Sector Snapshot (28 September 2026)
| Stock | LTP (Rs) | 52W High | 52W Low | P/E vs Industry | ROE | Our View |
|---|---|---|---|---|---|---|
| Indian Hotels Company | 716.80 | 757.40 | 565.00 | 44.76 / 37.11 | 15.97% | Hold |
| EIH | 290.35 | 413.95 | 271.15 | 24.91 / 37.11 | 13.68% | Buy on Dips |
| Chalet Hotels | 872.55 | 1,019.10 | 691.35 | 36.53 / 37.11 | 17.45% | Buy on Dips |
| Lemon Tree Hotels | 104.00 | 174.20 | 99.61 | 28.22 / 37.11 | 16.32% | Hold |
| SAMHI Hotels | 152.12 | 217.30 | 127.00 | 6.19 / 37.11 | 18.37% | Buy on Dips |
Quick Answer
SAMHI Hotels, EIH and Chalet Hotels stand out among these hotels and restaurants stocks, pairing at-or-below-industry valuations with solid return on equity, SAMHI at the deepest discount and EIH with an almost debt-free balance sheet. Indian Hotels Company carries a premium multiple, and Lemon Tree Hotels’ near-low share price comes with the heaviest debt in the group.
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Indian Hotels Company: Hold
Indian Hotels Company, the Taj group’s hotel operator, trades at Rs 716.80, down close to 5% from its 52-week high of Rs 757.40. It posts a return on equity of 15.97%, but its price-to-earnings ratio of 44.76 is above the industry average of 37.11. With the sector leader already trading near its highs at a premium multiple, this looks like a hold rather than a fresh buy.
EIH: Buy on Dips
EIH, which operates the Oberoi and Trident hotels, is at Rs 290.35, down close to 30% from its 52-week high of Rs 413.95. It trades at a price-to-earnings ratio of 24.91, well below the industry average of 37.11, with a return on equity of 13.68% and a debt-to-equity ratio of just 0.05. That mix of a meaningful discount, reasonable returns and an almost debt-free balance sheet makes it one of the more attractive hotels and restaurants stocks to accumulate on dips.
Chalet Hotels: Buy on Dips
Chalet Hotels trades at Rs 872.55, down close to 14% from its 52-week high of Rs 1,019.10. It combines a strong return on equity of 17.45% with a price-to-earnings ratio of 36.53, almost exactly at the industry average of 37.11. That balance of solid profitability and a fair valuation, with a debt-to-equity ratio of 0.64, makes it worth watching for accumulation on pullbacks.
Lemon Tree Hotels: Hold
Lemon Tree Hotels is at Rs 104.00, close to its 52-week low of Rs 99.61 and down close to 40% from its high of Rs 174.20. It posts a return on equity of 16.32% and a price-to-earnings ratio of 28.22, below the industry average of 37.11, but its debt-to-equity ratio of 1.44 is the highest in this group. That leverage, alongside a steep and ongoing price decline, keeps this in hold territory rather than a buy on the discount alone.
SAMHI Hotels: Buy on Dips
SAMHI Hotels trades at Rs 152.12, down close to 30% from its 52-week high of Rs 217.30. It stands out with a price-to-earnings ratio of just 6.19 against an industry average of 37.11, alongside a return on equity of 18.37%, the strongest in this group. A single-digit multiple in a sector averaging 37 also invites a look at how sustainable those earnings are, and its debt-to-equity ratio of 0.85 is worth watching, but the combination of a deep discount and strong returns makes it the standout among these hotels and restaurants stocks.
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What Ties These Hotels and Restaurants Stocks Together
Across these hotels and restaurants stocks, four of the five trade below the industry average valuation while earning double-digit returns on equity, a healthy pattern reflecting strong occupancy and room rates across the sector. Indian Hotels Company’s premium reflects its brand leadership, while Lemon Tree Hotels’ leverage and steep fall set it apart as the more cautious name. Occupancy levels, average room rates, wedding-season and business travel demand and new room additions can all move these numbers meaningfully from one quarter to the next.
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Conclusion
Hotels and restaurants stocks in India currently show SAMHI Hotels, EIH and Chalet Hotels as the better placed picks for gradual accumulation among these hotels and restaurants stocks, while Indian Hotels Company and Lemon Tree Hotels are more reasonable holds given a premium multiple in one case and heavy debt in the other. As always, treat this as a starting point rather than a final word.
Disclaimer: This article is for informational and educational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any security. Stock market investments are subject to market risks. Please verify all data independently and consult a SEBI-registered investment adviser before making any investment decisions. Univest Financial Services Private Limited, SEBI Registered Investment Adviser, Registration No. INH000013776.
Frequently Asked Questions
A few common questions on these hotels and restaurants stocks, answered briefly below for quick reference.
Which hotels and restaurants stocks look attractive right now?
SAMHI Hotels, EIH and Chalet Hotels all combine at-or-below-industry valuations with solid return on equity among these hotels and restaurants stocks, with EIH also nearly debt-free.
Why is SAMHI Hotels’ price-to-earnings ratio so low?
SAMHI Hotels trades at a price-to-earnings ratio of 6.19 against an industry average of 37.11, which is a very deep discount, though it is worth checking how sustainable its recent earnings are before treating it as a bargain.
Does Lemon Tree Hotels carry a lot of debt?
Yes, Lemon Tree Hotels has a debt-to-equity ratio of 1.44, the highest among these hotels and restaurants stocks, which is worth weighing against its cheaper valuation and near-low share price.
Why is Indian Hotels Company rated a hold?
Indian Hotels Company trades at a price-to-earnings ratio above the industry average and close to its 52-week high, so its solid 15.97% return on equity is already reflected in the price.
Where are restaurant chains like Jubilant FoodWorks covered?
Quick-service restaurant chains such as Jubilant FoodWorks and Devyani International are covered in our food sector article, so this list focuses on hotel operators.
Where can I track these hotels and restaurants stocks in real time?
You can track live prices, set price alerts, and follow quarterly results for Indian Hotels Company, EIH, Chalet Hotels, Lemon Tree Hotels and SAMHI Hotels using the Univest iOS App and Univest Android App.
