SAMHI Hotels Limited

Consumer Cyclical — Lodging · NSE

₹147.31+₹2.32 (+1.60%)

DalalBaazaar Score

69 / 100

🟢 Good

Verdict

REASONABLE

Risk

High

Driven by moderate debt load, short-term liabilities exceed short-term assets, micro-cap size, which brings thin liquidity.

In simple words: Strong business and financial position, with both sales and profits growing well. Short-term liquidity is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 7:00 pm

Understanding the Business

Company site ↗

The 60-second version of SAMHI Hotels Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

SAMHI Hotels Limited, a hotel ownership and asset management platform, operates as a hotel development and investment company in India.

IndustryLodging

SectorConsumer Cyclical

Employees2,774

Annual revenue₹1,248 Cr

How does it make money?

Turns over ₹1,248 Cr a year. Of every ₹100 of sales, about ₹40 reaches shareholders as profit, with ₹37 left at the operating level before interest, tax and depreciation. Each of its 2,774 employees supports ₹45.0 lakh of revenue a year, the signature of a people-led business.

Revenue / employee₹45.0 lakh

Who are its competitors?

The closest listed comparisons in its industry are MARUTI SUZUKI INDIA LTD., TITAN COMPANY LIMITED, TRENT LTD, AVENUE SUPERMARTS LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 10.8% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE25.9%

What is the outlook?

7 analysts covering the stock expect revenue to grow about 13.9% and earnings to grow about 42.6% in the year to 2028. These are estimates by people who follow the company, not a forecast for the wider industry.

Est. revenue growth+13.9%

Est. earnings growth+42.6%

Analysts7

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +69% while net margin moved -188% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+69%

Margin effect-188%

DalalBaazaar Score

69/ 100

Good

Weighted across six categories. Every point is explained below.

✓ Beta of 0.79 — historically steadier than the index
✗ Micro Cap: thinner liquidity and sharper drawdowns are normal
✗ Profits have swung sharply from year to year — earnings are hard to forecast

Quality vs. Valuation

Company Quality

71/ 100

Good

How good the business is, ignoring the share price entirely.

Valuation

80/ 100

Cheap

What you are being asked to pay, ignoring how good the business is.

A good business currently available at an undemanding price — the combination this framework is built to look for.

Historical Valuation

Current P/E

5.7x

1.3Y Median

44.1x

16 monthly readings · mean 36.1x · range 5.8x–55.0x

Sector Median

69.2x

median of 4 sector peers

🟢Current valuation is approximately 87% below its 1.3y median of 44.1x. Cheaper than its own history, which is worth a reason too: the market may be pricing in something the backward-looking numbers do not show.

🟢Against its sector it trades 92% below the peer median of 69.2x.

vs. its own history

Cheap

44.1x median over 16 months · -87%

vs. sector peers

Cheap

69.2x median of 4 peers · -92%

vs. generic bands

Cheap

Below 15x

EV/EBITDA

10.8x

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Debt is being paid down
Total debt is down 32% over 3 years.

🔴 What Needs Attention1

Return on capital is falling
ROCE has declined from 15.1% to 10.8% — often a sign of competition or overexpansion.

Red Flags

1 item require attention · 1 watch

🟡Short-term liquidity is tightFinancial
Current ratio of 0.81 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Deleveraging frees up earnings
Debt is down 32% over 3 years. Every rupee of interest not paid drops to the bottom line, so profit can grow even if revenue does not.
Priced below its own history
The stock trades 87% below its own median multiple. If the business performs as it has and simply re-rates back to normal, that gap is return on its own.
Cheaper than its peers
It trades 92% below the sector median. Either the market sees a problem the numbers do not show, or the discount closes.

🔴 Bear CaseWhat could go wrong?

The debt load needs earnings to hold up
Debt is 4.0x EBITDA. At that level a downturn in earnings turns a manageable balance sheet into a refinancing problem, and lenders get paid before shareholders.
Earnings are hard to forecast
Profit has swung sharply from year to year, so any single year — good or bad — is a weak guide to the next. Cyclical earnings deserve lower multiples for that reason.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 14% a year✓ 19.1% CAGR
Latest reported year was 12.1%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 35%✓ 36.7%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Debt / EBITDA falls below 3x✗ 4.0x
Already stretched, so this is a reduction target rather than a level to hold. Around 3x is where lenders typically start attaching conditions.
4Interest cover stays above 3x✗ 2.7x
How much operating profit can fall before interest stops being comfortably covered.
5Free cash flow remains positive✓ ₹71 Cr
Profit that never becomes cash eventually stops being profit.

Investment Checklist

9 / 12 checks passed

✓ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✓ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✗ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✓ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✓ Analyst consensus isn't majority-sell
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

6 good · 5 neutral · 0 weak

Market Cap

₹3,276 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

5.7x

Cheap

Cheap against the generic band

P/B Ratio

2.14x

Fair

Moderate premium to the company's book value

EPS (TTM)

₹25.79

Profitable

Profitable on a per-share basis

ROE

23.0%

Strong

Strong capital efficiency

ROCE

10.8%

Moderate

Moderate return on the capital in the business

Debt/Equity

0.81x

Moderate

Moderate leverage

Revenue Growth (YoY)

12.1%

Healthy

Healthy top-line growth

Profit Growth (YoY)

51.5%

Healthy

Profits growing at a healthy clip

Dividend Yield

None

No dividend yield reported — usually means no payout, but verify if one was recently initiated

Free Cash Flow

₹71 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

12.1x

Flat

At or above the trailing multiple — no earnings uplift is being priced in

Operating Margin

22.1%

Good

Healthy core-business profitability

Net Margin

39.3%

Good

Strong bottom-line conversion

Current Ratio

0.81

Adequate

Adequate, but no real cushion

Beta (vs Nifty)

0.79

Defensive

Steadier than the market

52W Range Position

22%

Mid-range

Technical Snapshot

SMA 20 / SMA 50

151.3 / 156.2

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

32.9

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹739 Cr	₹957 Cr	₹1,121 Cr	₹1,248 Cr	+19.1%
EBITDA	₹271 Cr	₹287 Cr	₹414 Cr	₹458 Cr	+19.1%
EBITDA Margin	36.7%	30.0%	37.0%	36.7%	—
PAT (Net Profit)	-₹339 Cr	-₹235 Cr	₹86 Cr	₹503 Cr	—
EPS	₹-15.53	₹-14.67	₹3.84	₹25.47	—
ROE	—	-22.6%	7.5%	23.0%	—
ROCE	15.1%	3.7%	8.4%	10.8%	—
Total Debt	₹2,744 Cr	₹2,123 Cr	₹2,246 Cr	₹1,854 Cr	-12.2%
Free Cash Flow	₹210 Cr	₹237 Cr	₹220 Cr	₹71 Cr	-30.3%

🟢 Revenue has grown at 19.1% a year over 3 years.

🟢 EBITDA has grown at 19.1% a year over 3 years.

🟡 EBITDA Margin has held roughly flat at 36.7% over 3 years.

🟢 PAT (Net Profit) has turned positive, from -₹339 Cr to ₹503 Cr.

🟢 EPS has turned positive, from ₹-15.53 to ₹25.47.

🟢 ROE has risen from -22.6% to 23.0% over 3 years (+45.6 pts).

🔴 ROCE has fallen from 15.1% to 10.8% over 3 years (-4.3 pts).

🟢 Total Debt has shrunk at 12.2% a year over 3 years.

🔴 Free Cash Flow has shrunk at 30.3% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹4,454 Cr

Total Liabilities

₹2,168 Cr

Cash & Equivalents

₹159 Cr

Operating Cash Flow

₹407 Cr

Capex

-₹336 Cr

Shareholding (proxy)

Institutional Holding

32.1%

Insider Holding

24.0%

Analyst Consensus

Recommendations

7 Buy · 0 Hold · 0 Sell

Target Price (Mean)

₹222.29

+50.9% vs CMP

Target Range

₹199 – ₹275

Peer Comparison

Company	P/E	ROE
MARUTI SUZUKI INDIA LTD.	25.2x	13.4%
TITAN COMPANY LIMITED	68.5x	36.7%
TRENT LTD	87.2x	25.9%
AVENUE SUPERMARTS LIMITED	69.9x	12.7%

Recent News

2 positive2 mixed2 general

SAMHI Hotels (NSEI:SAMHI) Stock Forecast & Analyst Predictions

Simply Wall Street, 09 OctAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

Samhi Hotels Ltd. Share Price Rise: Fundamentals Reviewed

Univest, 10 SeptPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

SAMHI Hotels posts 30% profit jump, stock slides

BusinessLine, 08 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

Samhi Hotels Cuts Debt, Targets Rs 3,000 Crore Free Cash Flow. Can Its Valuation Discount Narrow?

NDTV Profit, 23 Jul

SAMHI Hotels Q1 Net Profit Rises to ₹18.3 Crore; Approves ₹750 Crore Fundraise

Sahi, 03 AugResults

🟢Potentially positiveReported improvement. Check whether it came from volume, price or a one-off item before treating it as a trend.

SAMHI Hotels climbs 8% as Street eyes up to 55% upside on growth prospects

Business Standard, 06 Apr

Watch Items

Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

StrongBusiness Quality · Growth · Profitability · Valuation

MiddlingFinancial Health

WeakRisk

Points for each in the Score ↑

Attractive on both counts

A good business currently available at an undemanding price — the combination this framework exists to look for. The work left is qualitative: whether the advantage the numbers imply is one you can identify and expect to last.

2 of 5 tripwires tripped — Debt / EBITDA falls below 3x; Interest cover stays above 3x · see Key things to watch ↑