Chalet Hotels Ltd. (CHALET) AI Stock Analysis

• Market Cap: ₹190.59B
• Dividend Yield: N/A
• Average Volume (3M): 9.11K
• Price to Earnings (P/E): 32.9
• Beta (1Y): 1.01
• Revenue Growth: 70.56%
• EPS Growth: 579.58%
• Country: IN
• Employees: 2,287
• Sector: Real Estate
• Sector Strength: 53
• Industry: Travel Lodging
• EPS (TTM): 7.10
• Shares Outstanding: 218,739,430
• 10 Day Avg. Volume: 6,910
• 30 Day Avg. Volume: 9,113
• PEG Ratio: -2.51
• Price to Book (P/B): 6.08
• Price to Sales (P/S): 10.75
• P/FCF Ratio: -988.25
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: ₹984.00 ▲(12.93% Upside)

Chalet Hotels Ltd. shows strong financial performance with significant revenue growth and improved margins, contributing positively to the stock score. However, technical analysis indicates bearish momentum, and the valuation suggests the stock may be overvalued, which negatively impacts the overall score. The absence of earnings call and corporate events data means these factors do not influence the score.

Positive Factors

Revenue Growth

Chalet Hotels has demonstrated strong revenue growth, indicating successful market expansion and increased demand for its services, which is a positive indicator of its long-term business prospects.

Margin Improvement

Improved margins reflect effective cost management and operational efficiency, enhancing profitability and providing a buffer against market fluctuations.

Decreased Leverage

Reduced leverage decreases financial risk and enhances the company's ability to invest in growth opportunities, supporting long-term stability.

Negative Factors

High Capital Expenditures

High capital expenditures, while potentially growth-oriented, have strained free cash flow, which could limit financial flexibility and impact future investments.

Moderate Equity Ratio

A moderate equity ratio suggests a balanced but not overly strong capital structure, which may limit the company's ability to leverage for growth without increasing financial risk.

Absence of Dividend Yield

Without a dividend yield, the company may be less appealing to investors seeking regular income, potentially limiting its investor base and impacting stock stability.

Chalet Hotels Ltd. Business Overview & Revenue Model

Company Description

Chalet Hotels Limited develops, owns, and manages hotels in India. Its portfolio comprises seven operating hotels, including a serviced residence located in Mumbai, Bengaluru, Hyderabad, and Pune representing 2,179 keys under the JW Marriott, Westin, Marriott, Marriott Executive Apartments, Renaissance, Four Points by Sheraton, and Novotel brands. The company is also involved in the commercial and retail operations, and real estate development. Chalet Hotels Limited was incorporated in 1986 and is headquartered in Mumbai, India.

How the Company Makes Money

Chalet Hotels generates revenue primarily through the operation of its hotel properties, which includes room rentals, food and beverage services, and other ancillary services such as event hosting and conferencing facilities. The company's revenue model is largely driven by occupancy rates and average daily rates (ADR) for its rooms. In addition to this, Chalet Hotels benefits from management contracts and franchise agreements that allow it to earn fees from hotels managed on behalf of third-party owners. Strategic partnerships with global hotel chains and travel booking platforms further enhance its visibility and customer reach, contributing to its earnings. Seasonal promotions and loyalty programs also play a crucial role in attracting repeat customers, thereby boosting revenue.

Chalet Hotels Ltd. Financial Statement Overview

Summary

Chalet Hotels Ltd. has demonstrated impressive financial recovery and growth post-pandemic. The income statement shows strong revenue growth and margin improvements, indicating efficient operations and profitability. The balance sheet reflects decreased leverage and solid equity growth, reducing financial risk. However, high capital expenditures have impacted free cash flow, a potential area for improvement.

Income Statement

Chalet Hotels Ltd. has shown a strong recovery in revenue growth with a significant increase from 5,078 million to 17,178 million over the last five years. The gross profit margin has improved to 71.7% in 2025, and the net profit margin has turned positive at 8.3%. The EBIT margin has also shown a substantial recovery to 71.7% in 2025, although previously, margins were negative in 2022. This indicates robust cost management and profitability improvement.

Balance Sheet

The company has maintained a stable equity base, with stockholders' equity increasing to 30,462 million in 2025 from 13,412 million in 2022. The debt-to-equity ratio decreased from 1.8 in 2022 to 0.9 in 2025, reflecting reduced leverage risk. However, the equity ratio remains moderate at 43.1%, suggesting a balanced approach to asset financing.

Cash Flow

Operating cash flow has improved significantly to 9,503 million in 2025, supporting better liquidity. However, free cash flow turned negative at -187 million due to high capital expenditures. The operating cash flow to net income ratio indicates strong cash earnings, demonstrating efficient cash conversion from net income.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	22.56B	17.22B	14.18B	11.32B	5.14B	2.88B
Gross Profit	14.91B	12.42B	10.06B	7.81B	2.90B	1.32B
EBITDA	9.26B	7.36B	5.86B	4.54B	989.85M	82.14M
Net Income	2.85B	1.43B	2.78B	1.83B	-815.29M	-1.39B
Balance Sheet
Total Assets	0.00	70.63B	57.50B	49.53B	44.43B	39.89B
Cash, Cash Equivalents and Short-Term Investments	2.30B	2.85B	1.21B	1.35B	1.03B	457.68M
Total Debt	0.00	26.04B	30.05B	28.53B	25.97B	19.39B
Total Liabilities	-30.46B	40.18B	38.99B	34.09B	31.02B	25.73B
Stockholders Equity	30.46B	30.46B	18.51B	15.44B	13.41B	14.16B
Cash Flow
Free Cash Flow	0.00	-187.35M	2.53B	3.02B	206.28M	118.85M
Operating Cash Flow	0.00	9.50B	6.89B	4.77B	622.20M	601.71M
Investing Cash Flow	0.00	-13.85B	-6.35B	-5.92B	-3.96B	-499.22M
Financing Cash Flow	0.00	4.96B	-1.08B	1.26B	4.11B	-340.89M

Chalet Hotels Ltd. Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 871.30
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:CHALET, the sentiment is Negative. The current price of 871.3 is below the 20-day moving average (MA) of 884.83, below the 50-day MA of 906.54, and below the 200-day MA of 902.58, indicating a bearish trend. The MACD of -9.38 indicates Negative momentum. The RSI at 44.42 is Neutral, neither overbought nor oversold. The STOCH value of 47.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:CHALET.

Chalet Hotels Ltd. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
EIHOTEL	72 Outperform	₹227.57B	34.22	―	0.41%	7.74%	0.11%
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
PARKHOTELS	61 Neutral	₹28.93B	32.75	―	0.36%	14.08%	29.33%
CHALET	57 Neutral	₹190.59B	32.92	―	―	70.56%	579.58%
SAMHI	57 Neutral	₹40.15B	22.72	―	―	11.04%	―
LEMONTREE	54 Neutral	₹128.98B	58.15	―	―	16.03%	44.95%
ITDC	53 Neutral	₹48.88B	67.66	―	0.50%	6.56%	4.21%

Chalet Hotels Ltd. Corporate Events

Chalet Hotels Secures Strong Credit Rating from ICRA

Chalet Hotels Limited announced that it has received a credit rating assignment from ICRA Limited for its various debt instruments and bank facilities. The ratings, which include an AA- with a stable outlook for long-term instruments and an A1+ for short-term instruments, reflect the company’s strong financial position and operational stability. This credit rating is likely to enhance Chalet Hotels’ credibility in the financial markets, potentially impacting its borrowing costs and investment attractiveness.

Chalet Hotels Releases Corporate Presentation for Investor Conference

Chalet Hotels Limited has released a corporate presentation for an upcoming investor conference, which has been shared with the National Stock Exchange of India and BSE Limited. This presentation is part of the company’s efforts to engage with investors and provide insights into its operations and strategic direction, potentially impacting its market positioning and stakeholder relations.

Chalet Hotels Declares Interim Dividend with Tax Deduction Details

Chalet Hotels Limited has announced the declaration of an interim dividend of Re.1 per equity share for the financial year 2025-26, as approved by its Board of Directors. The company has communicated to its shareholders about the tax deduction process applicable to this dividend, in compliance with the Income-tax Act, 1961. The dividend will be distributed electronically to shareholders who have updated their bank details, with tax deducted at source as required.

Chalet Hotels Updates Code for Fair Disclosure of Sensitive Information

Chalet Hotels Limited has revised its Code for the fair disclosure of Unpublished Price Sensitive Information (UPSI), in compliance with SEBI’s Prohibition of Insider Trading Regulations, 2015. This amendment, approved by the Board of Directors, aims to enhance transparency and ensure fair dissemination of sensitive information, thereby strengthening the company’s regulatory compliance and governance standards.