Of Upcoming IPO of Lemon Tree Hotels and US Interest Rate Hike

Thu, 22 Mar Pre-Open

   Previous Close   

   09:30 am   

   11:30 am   

   01:30 pm   

   Closing   

Upcoming IPO of Lemon Tree Hotels Ltd

A slew of initial public offers (IPOs) are hitting the market in this month. One of the latest in the offering is Lemon Tree Hotels Ltd. The issue is opening on 26^th March 2018.

Recently, there has been a lot of buzz around tourism. This has led to brokerage houses initiating coverage on many hospitality companies.

So, why the sudden noise about being bullish on the hotel industry? Let us explain the same with the help of the chart:

The chart below illustrates the change in occupancy, ADR and RevPAR across India between the fiscal years 2007 and 2017:

From the above chart we can interpret few things:

1. Occupnacy levels have increased since FY14 and even more notably since FY15. This is primarily on account of improvement in demand. Further a deceleration in the rate of new supply too has boosted the occupancy rates.
2. An increase in occupancy level has led to a surge in Average Daily Rate (ADR) and Revenue Per Available Room (RevPAR). RevPAR is calculated by multiplying a hotels average daily room rate (ADR) by its occupancy rate.

This trend as witnessed in the precedding two years can improve further with introduction of e-visa and with the domestic economy improving.

Foreign Tourist Arrival (FTAs) at 101.77 lakh grew by 15.6% in FY17 as compared to a year ago. The Government of India has planned to take the FTA figure to 20 million by 2020.

Not only this, the domestic travel is also set to improve with increasing disposable income in the hands of people.

All these factors have led to the analysts being bullish on the hotel industry. Given the tailwinds, does the business model of Lemon Tree and the valuations leave any upside on the table for the investor? We would be releasing the IPO note on this Saturday. Stay tuned!

Interest Rate Hike by the US to Keep Global Markets on the Edge

Even though a 0.25% interest rate hike is a given at today's Federal Reserve Open Market Committee meeting, there is enough suspense to keep global markets on the edges of their seats.

In the last forecast round in December, the median Fed forecast looked for three rate hikes in 2018. Most economists see the Fed sticking to this forecast but others think the odds tilt in favor of the outlook increasing to four hikes. In case the commentary tilts towards four rate hikes for 2018, there could be a correction in the stock markets globally as money shift towards safe assets such as US treasuries from equities.

For information on how to pick stocks that have the potential to deliver big returns, download our special report now!

Read the latest Market Commentary

Top Gainers TodayTop Gainers over 1-WeekTop Gainers over 1-MonthTop Gainers over 1-YearTop Gainers over 3-YrsTop Gainers over 5-YrsTop Losers TodayTop Losers over 1-WeekTop Losers over 1-MonthTop Losers over 1-YearTop Losers over 3-YrsTop Losers over 5-YrsOnly BuyersOnly SellersMost Active StocksMost Popular Stocks52 Week High Stocks52 Week Low Stocks

INDICESBSE (Rs 0 to 1)BSE (Rs 1 to 2)BSE (Rs 2 to 4)BSE (Rs 4 to 10)BSE (Rs 10 to 20)BSE (Above Rs 20)BSE - AllBSE-30BSE-100BSE-200BSE-500BSE AutoBSE BankexBSE Capital GoodsBSE Consumer DurablesBSE FMCGBSE HealthcareBSE ITBSE MetalBSE Oil & GasBSE PSUBSE TeckBSE RealtyBSE PowerBSE A GroupBSE B GroupBSE Mid-CapBSE Small-CapBSE Basic MaterialsBSE Consumer DiscretionaryBSE IndustrialsBSE UtilitiesBSE Sensex 50BSE Sensex Next 50BSE Bharat 22BSE 150 MidCapBSE 250 SmallCapBSE 250 LargeMidCapBSE 400 MidSmallCapBSE AllCapBSE LargeCapBSE SmallCap SelectBSE 100 LargeCap TMCBSE InfraBSE ManufacturingBSE CPSEBSE Private BankBSE Diversified FinancialsBSE MomentumBSE Low VolatilityBSE QualityBSE Enhanced ValueBSE Divident StabilityS&P BSE IPOBSE SMEIPOBSE 100 ESGBSE CarbonexBSE GreenexNSE (Rs 0 to 10)NSE (Rs 10 to 20)NSE (Above Rs 20)NSE - AllNSE-50NSE ITNSE Nifty Midcap 50NSE JR. NiftyNSE Bank NiftyNIFTY Next 50NIFTY 100NIFTY 200NIFTY 500NIFTY MidCap 100NIFTY SmallCap 250NIFTY SmallCap 50NIFTY SmallCap 100NIFTY LargeMidCap 250NIFTY MidSmallCap 400NIFTY AutoNIFTY Consumer DurablesNIFTY FinanceNIFTY FMCGNIFTY MediaNIFTY MetalNIFTY PharmaNIFTY Private BankNIFTY PSU BankNIFTY RealtyNIFTY Oil & GasNIFTY SME EmergeNIFTY CommoditiesNIFTY CPSENIFTY EnergyNIFTY India ConsumptionNIFTY InfraNIFTY MNCNIFTY PSENIFTY Serv SectorNIFTY100 Liquid 15NIFTY Midcap Liquid 15NIFTY Midcap 150 Quality 50NIFTY50 Equal WeightNIFTY100 Equal WeightNIFTY100 Low Volatility 30NIFTY100 Alpha 30NIFTY Alpha 50NIFTY Dividend Opportunities 50NIFTY High Beta 50NIFTY Low Volatility 50NIFTY200 Quality 30NIFTY 500 Value 50NIFTY 100 Quality 30SECTORSAgricultureAirlinesAluminiumAsset Management CompaniesAutomobilesAuto AncillariesBanks (Private)Banks (PSU)BankingCementChemicalsDefenceDiagnosticsDronesEngineeringElectric VehicleElectric Vehicle BatteryEnergy SourcesESGEthanolFertilizersFintechFMCGFoodGreen HydrogenHotelsInfrastructureInsuranceInvestment and FinanceInvITIT (Large)IT (Others)LogisticsMediaMetalMiningIndia's Big Tech StocksIndian PharmaMNC PharmaPSUPaintPaperPlasticPowerRating AgenciesReal EstateREITsRenewable EnergyRetailingSemiconductorShippingSteelSugarSupply ChainTelecomTextilesTravel Support Services

10 results 25 results 50 results 100 results All results

Indian Share Market Update: Top Gainers and Losers