Kamat Hotels (India) Ltd (KAMATHOTEL) AI Stock Analysis

• Market Cap: ₹5.38B
• Dividend Yield: N/A
• Average Volume (3M): 6.00K
• Price to Earnings (P/E): 10.1
• Beta (1Y): 0.76
• Revenue Growth: 9.52%
• EPS Growth: -39.66%
• Country: IN
• Employees: 1,539
• Sector: Services
• Sector Strength: N/A
• Industry: Travel Lodging
• EPS (TTM): 5.87
• Shares Outstanding: 29,480,072
• 10 Day Avg. Volume: 3,831
• 30 Day Avg. Volume: 6,001
• PEG Ratio: -2.02
• Price to Book (P/B): 3.02
• Price to Sales (P/S): 2.32
• P/FCF Ratio: 17.08
• 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: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 61 Neutral
• Price Target: ₹190.00 ▼(-20.60% Downside)
• Action: Reiterated Date: 02/04/26
• Date: Action: Reiterated 02/04/26

The score is supported by solid financial performance (strong revenue growth, improving equity position, positive free cash flow), but is held back by weak technicals with the stock trading below major moving averages and negative MACD. Valuation is moderate (P/E ~20), providing neither a clear discount nor a premium signal based on the provided data.

Positive Factors

Consistent Revenue Growth & Strong Gross Margins

Consistent revenue growth combined with strong gross margins indicates the company can maintain core profitability from operations. This supports pricing power and operational resilience across cycles, enabling reinvestment in properties and services and supporting steady top-line durability over months.

Positive Operating and Free Cash Flow

Positive operating cash flow and sustainable free cash flow provide the company with internal funding for maintenance capex, debt reduction and strategic investments. This cash generation ability enhances financial flexibility and is a durable support for operations and creditor confidence.

Improved Balance Sheet and Equity Position

A material increase in equity and reduction in absolute debt improves solvency and liquidity cushions. Improved return on equity noted in the summary reflects better profitability per capital employed, strengthening the company's capacity to absorb shocks and fund medium-term growth.

Negative Factors

Moderate Net Profit Margin

A moderate net margin means a smaller portion of revenue converts to bottom-line profit after operating and financial costs. Over 2-6 months this limits retained earnings for reinvestment, raises sensitivity to cost inflation or rate moves, and constrains margin of safety versus peers.

Remaining Financial Leverage

Despite improvements, relatively high leverage raises interest and refinancing risk and reduces strategic flexibility. In a sector exposed to demand swings, sustained leverage can amplify earnings volatility and constrain investment choices until deleveraging is more complete.

Slowing Free Cash Flow Growth and Slight OCF Decline

A drop in free cash flow growth and a slight operating cash flow decline signal that cash conversion may be weakening. Persisting this trend would limit capital spending, debt paydown and capacity to weather slower demand, making long-term investment plans and payout policies harder to sustain.

Kamat Hotels (India) Ltd Business Overview & Revenue Model

Company Description

Kamat Hotels (India) Limited, together with its subsidiaries, engages in the hospitality business in India. It operates hotels and resorts under the brands, such as The Orchid, Fort Jadhavgadh, and Lotus Konark Resorts, as well as Mahodadhi Palace. The company also operates restaurants; and provides hotel consultancy, setups, and other related services. Kamat Hotels (India) Limited was incorporated in 1986 and is based in Mumbai, India.

How the Company Makes Money

Kamat Hotels (India) Ltd primarily earns revenue from operating hospitality properties. Key revenue streams typically include: (1) room revenue from selling nightly stays (transient, corporate, and group/banquet bookings), (2) food and beverage revenue from in-hotel restaurants, bars, banquets, and outside catering linked to its properties, and (3) ancillary hotel revenue from services such as meeting/events facilities and other guest services provided on-site. The company’s earnings are influenced by occupancy levels, average room rates, banquet/event volumes, and food-and-beverage throughput at its properties, along with location demand and seasonality. Specific, property-level revenue split, named brand contributions, or material partnerships are not available in the provided context and are therefore null.

Kamat Hotels (India) Ltd Financial Statement Overview

Summary

Income statement strength (Score 75) is driven by consistent revenue growth and strong gross margins, but net margin is only moderate. The balance sheet (Score 65) shows improved equity and reduced debt, though leverage remains a risk. Cash flow (Score 70) is positive with solid operating/free cash flow, but with slowing free cash flow growth.

Income Statement

Kamat Hotels has shown consistent revenue growth over the past years, with a significant jump in revenue from 2024 to 2025. The gross profit margin has been strong, reflecting effective cost management. However, the net profit margin remains moderate, suggesting room for improvement in cost controls below the gross profit line or in financial expenses.

Balance Sheet

The balance sheet indicates improving financial stability, with a healthy jump in stockholders' equity and a reduced debt load from 2024 to 2025. The debt-to-equity ratio has improved due to increased equity, although it remains relatively high, indicating financial leverage that could pose risks if not managed carefully. Return on equity has improved, reflecting better profitability relative to equity.

Cash Flow

Cash flow statements reveal a solid operating cash flow, although it has seen a slight decline from the previous year. Free cash flow remains positive, demonstrating the company's ability to generate cash from operations. However, the free cash flow growth rate has dropped, signaling potential challenges in sustaining cash generation levels.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	3.61B	3.62B	2.91B	2.88B	1.42B	636.10M
Gross Profit	1.26B	1.13B	1.02B	2.22B	1.28B	443.95M
EBITDA	1.03B	1.05B	1.31B	3.51B	375.81M	138.44M
Net Income	378.66M	465.84M	448.47M	3.13B	-226.72M	-362.94M
Balance Sheet
Total Assets	6.65B	5.89B	6.18B	6.09B	4.67B	4.65B
Cash, Cash Equivalents and Short-Term Investments	505.12M	289.03M	76.15M	92.99M	226.05M	135.21M
Total Debt	2.58B	2.04B	2.65B	3.46B	4.60B	4.70B
Total Liabilities	3.70B	3.11B	4.12B	4.55B	6.48B	6.23B
Stockholders Equity	2.82B	2.78B	2.06B	1.54B	-1.81B	-1.59B
Cash Flow
Free Cash Flow	174.80M	491.58M	646.51M	1.10B	248.30M	-65.01M
Operating Cash Flow	283.95M	663.63M	718.56M	1.16B	306.85M	10.11M
Investing Cash Flow	-164.97M	342.96M	1.45B	-407.37M	-48.81M	-41.18M
Financing Cash Flow	-150.47M	-960.40M	-2.19B	-887.73M	-167.34M	46.27M

Kamat Hotels (India) Ltd Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 239.30
• 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:KAMATHOTEL, the sentiment is Negative. The current price of 239.3 is above the 20-day moving average (MA) of 186.06, above the 50-day MA of 200.43, and below the 200-day MA of 247.38, indicating a bearish trend. The MACD of -4.28 indicates Negative momentum. The RSI at 38.78 is Neutral, neither overbought nor oversold. The STOCH value of 55.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KAMATHOTEL.

Kamat Hotels (India) Ltd Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
VHLTD	74 Outperform	₹9.60B	21.57	―	―	-11.23%	-65.46%
ADVANIHOTR	72 Outperform	₹4.78B	12.58	―	3.31%	0.14%	7.90%
ASIANHOTNR	66 Neutral	₹5.64B	-2.80	―	―	8.18%	―
KAMATHOTEL	61 Neutral	₹5.38B	10.10	―	―	9.52%	-39.66%
SINCLAIR	59 Neutral	₹3.78B	18.56	―	0.94%	-0.10%	-54.46%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%

Kamat Hotels (India) Ltd Corporate Events

Kamat Hotels Schedules Virtual Meet With Analysts and Institutional Investors

Kamat Hotels (India) Ltd has announced that it will participate in a virtual investor group meeting with analysts and institutional investors on Tuesday, March 10, 2026, at 12:00 noon IST, organized by Arihant Capital Market Ltd via video conferencing. The company emphasized that only information already in the public domain will be discussed, with no unpublished price-sensitive information to be shared, and noted that the schedule may change and the disclosure is also available on its website for regulatory compliance transparency.