Is ITC Hotels the Best Stock in Its Sector? A Look at the Numbers
- September 16, 2026
- Posted by: Harsh Piplani
- Category: Market
ITC Hotels CMP Rs 152 (16 Sep 2026). Market cap Rs 31,714 Cr. ROE 7.01%. P/E 36.51x versus Industry P/E 36.59x.
Quick Answer
ITC Hotels is one of the names investors compare when screening the Hospitality sector, built on a 7.01% return on equity and a P/E of 36.51x against an Industry P/E of 36.59x. ITC Hotels Ltd owns and operates hotels across luxury, premium and mid-market segments in India, demerged from ITC Ltd in 2025 as an independent listed hospitality company. Whether ITC Hotels is the best stock in its sector depends on whether an investor is optimising for return ratios, valuation, or both. This article breaks down the metrics, including a comparison against named Hospitality sector peers, so you can judge that for yourself.
Is ITC Hotels the best stock in its sector? The stock trades on the NSE at Rs 152 as of 16 September 2026, within its 52-week range of Rs 137.30 to Rs 248.00. ITC Hotels Ltd owns and operates hotels across luxury, premium and mid-market segments in India, demerged from ITC Ltd in 2025 as an independent listed hospitality company.
ITC Hotels sits in the Hospitality sector, and its 7.01% ROE and 36.51x P/E give a starting point for judging where it stands against comparable listed names. The rest of this article compares those numbers against verified peers and the sector’s Industry P/E benchmark.
Also read – Is Abbott India the Best Stock in Its Sector? A Look at the Numbers
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About ITC Hotels
ITC Hotels Ltd owns and operates hotels across luxury, premium and mid-market segments in India, demerged from ITC Ltd in 2025 as an independent listed hospitality company. At a market capitalisation of Rs 31,714 Cr, it is tracked as part of the Hospitality sector on Univest.
Is ITC Hotels the Best Stock in Its Sector?
ITC Hotels makes its case as the best stock in its sector primarily on valuation relative to its Industry P/E, combining a 7.01% ROE with a 36.51x P/E against the sector’s 36.59x Industry P/E. ITC Hotels trades almost exactly at its 36.59x Industry P/E, with a 7.01% ROE that trails Chalet Hotels and EIH Associated Hotels in this comparison, reflecting its early stage as a newly independent listed company.
| Metric | ITC Hotels |
|---|---|
| CMP (NSE) | Rs 151.89 |
| 52-Week High / Low | Rs 248.00 / Rs 137.30 |
| Market Cap | Rs 31,714 Cr |
| P/E (TTM) vs Industry P/E | 36.51x vs 36.59x |
| P/B | 2.72 |
| ROE | 7.01% |
| EPS (TTM) | Rs 4.17 |
| Dividend Yield | 0.00% |
| Debt to Equity | 0.01 |
Compare ITC Hotels Against Other Hospitality Sector Stocks
How ITC Hotels Compares Against Its Hospitality Sector Peers
The table below sets ITC Hotels against 3 other Hospitality sector names, using the same live data source for every company. A peer average row is included for P/E, ROE and debt to equity, calculated across the 3 peer companies.
| Company | Market Cap (Rs Cr) | P/E | ROE | Debt to Equity |
|---|---|---|---|---|
| ITC Hotels | 31,714 | 36.51 | 7.01% | 0.01 |
| Chalet Hotels | 19,192 | 36.35 | 17.45% | 0.64 |
| EIH Associated Hotels | 1,758 | 20.01 | 14.47% | 0.01 |
| The Indian Hotels Company | 1,02,167 | 44.25 | 15.97% | 0.22 |
| Peer average (3 companies) | – | 33.54 | 15.96% | 0.29 |
Against this peer set, ITC Hotels’s 7.01% ROE is below the 15.96% peer average, and its P/E of 36.51x runs above the peer average of 33.54x. ITC Hotels trades almost exactly at its 36.59x Industry P/E, with a 7.01% ROE that trails Chalet Hotels and EIH Associated Hotels in this comparison, reflecting its early stage as a newly independent listed company.
What Makes ITC Hotels Worth Watching in Hospitality
- Near debt free: A debt to equity ratio of 0.01 gives ITC Hotels significant flexibility as it builds out its post-demerger balance sheet.
- In line with Industry P/E: A 36.51x P/E versus a 36.59x Industry P/E shows the stock trading almost exactly at Hospitality sector norms.
- Multi-segment hotel portfolio: Operating across luxury, premium and mid-market segments diversifies ITC Hotels’ exposure across different traveller budgets.
ITC Hotels Valuation: Is It Justified?
ITC Hotels trades almost exactly at its 36.59x Industry P/E, with a 7.01% ROE that trails Chalet Hotels and EIH Associated Hotels in this comparison, reflecting its early stage as a newly independent listed company. As with any single stock, investors should weigh this against their own valuation discipline and risk appetite rather than the sector label alone.
Also read – Is Bata India the Best Stock in Its Sector? A Look at the Numbers
Download the Univest iOS App or Univest Android App to track ITC Hotels and other Hospitality sector stocks.
How to Track ITC Hotels Before You Invest
Before deciding whether ITC Hotels deserves its label as the best stock in its sector for your own portfolio, compare it directly against Hospitality sector peers using the steps below.
- Open the Univest Screener and search for ITC Hotels to view live price, valuation ratios, and peer comparisons within the Hospitality sector.
- Compare its P/E, P/B, and ROE against other Hospitality sector stocks before deciding if the current valuation fits your strategy.
- Set a price alert around key support and resistance zones using the Univest app so you are notified of meaningful moves.
- Open a broking account on Univest if you decide to add the stock, and size the position based on your own risk appetite and portfolio allocation.
Conclusion
ITC Hotels earns a place in the best stock in its sector conversation on the strength of a 7.01% ROE and a P/E of 36.51x against a 36.59x Industry P/E, with named peer comparisons in this article backing up that picture. As with any individual stock decision, this analysis is educational and investors should do their own research or consult a SEBI-registered advisor before investing.
Disclaimer: Data and figures in this article are sourced from publicly available information. These may or may not be accurate. Please verify all data with the official NSE (nseindia.com) and BSE (bseindia.com) websites before making any investment decision. Investments in securities are subject to market risk. This content is for educational purposes only and is not investment advice by Univest (SEBI RA INH000013776).
Is ITC Hotels the best stock in its sector?
Ans. ITC Hotels has a 7.01% ROE and trades at 36.51x P/E against a 36.59x Industry P/E, and compares below the peer average ROE of 15.96% in this article’s named comparison, so the answer depends on what an investor is prioritising.
What is the current share price of ITC Hotels?
Ans. ITC Hotels was trading at Rs 151.89 on the NSE as of 16 September 2026, within its 52-week range of Rs 137.30 to Rs 248.00.
What sector does ITC Hotels belong to?
Ans. ITC Hotels is classified under the Hospitality sector on Univest.
How does ITC Hotels compare to its sector peers on P/E?
Ans. ITC Hotels’s P/E of 36.51x is above the 33.54x average of the 3 named peers compared in this article.
What is ITC Hotels’s return on equity?
Ans. ITC Hotels reported a return on equity of 7.01%, which is below the 15.96% average of its named peers in this comparison.
Should I invest in ITC Hotels based on its sector position?
Ans. ITC Hotels’s sector position and metrics make it worth researching further, but any investment decision should factor in your own risk appetite, its valuation relative to peers, and independent research or advice from a SEBI-registered advisor.
