Mahindra Holidays & Resorts India Limited (MHRIL) AI Stock Analysis

• Market Cap: ₹61.58B
• Dividend Yield: N/A
• Average Volume (3M): 4.73K
• Price to Earnings (P/E): 46.0
• Beta (1Y): 0.94
• Revenue Growth: 4.25%
• EPS Growth: 17.51%
• Country: IN
• Employees: 4,339
• Sector: Services
• Sector Strength: N/A
• Industry: Gambling, Resorts & Casinos
• EPS (TTM): 2.75
• Shares Outstanding: 202,039,320
• 10 Day Avg. Volume: 3,427
• 30 Day Avg. Volume: 4,731
• PEG Ratio: 4.58
• Price to Book (P/B): 7.69
• Price to Sales (P/S): 2.22
• P/FCF Ratio: 20.35
• 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: 57 Neutral
• Price Target: ₹315.00 ▲(3.67% Upside)

The overall stock score of 57 reflects solid financial performance with improved profitability and leverage management. However, technical indicators suggest a bearish trend, and the high P/E ratio indicates potential overvaluation. The absence of a dividend yield further impacts the valuation negatively.

Positive Factors

Recurring membership revenue

The time‑share membership model yields recurring membership fees and annual maintenance charges, creating predictable, repeatable cash inflows. This durable subscription-like revenue supports long-term cash conversion, member loyalty and lowers revenue volatility versus pure room‑rate exposure.

Strong brand & group affiliation

Club Mahindra’s recognized brand and affiliation with the Mahindra Group provide durable competitive advantages in distribution, corporate partnerships and customer trust. Brand scale aids resort demand, cross-selling and member acquisition, supporting steady long‑term market positioning.

Improving leverage and profitability

Material reduction in leverage alongside a rising ROE signals stronger capital structure and more efficient use of equity. Sustained improvement enhances financial flexibility, lowers refinancing risk and creates capacity for strategic reinvestment or deleveraging over the medium term.

Negative Factors

High reliance on debt

A low equity ratio indicates continued dependence on external debt despite improvements. High leverage raises interest and refinancing risk, reducing resilience to travel demand shocks and constraining capital allocation options for capex, buybacks or sustained member benefits.

Slowing free cash flow growth

Although FCF is positive, a decelerating growth rate limits the company’s ability to accelerate debt reduction, expand resort footprint or increase discretionary shareholder returns. Slower FCF trend can pressure long‑term investment capacity and strategic flexibility.

Variable operating margins

Fluctuating EBIT/EBITDA margins point to inconsistent cost control and sensitivity to occupancy and seasonal demand. Persistent margin volatility complicates forecasting, weakens cushion against downturns and can impair sustainable profitability even with strong gross margins.

Mahindra Holidays & Resorts India Limited Business Overview & Revenue Model

Company Description

Mahindra Holidays & Resorts India Limited operates in the leisure and hospitality sector. It engages in the sale of vacation ownership and other related services. The company's flagship brand is Club Mahindra or CMH25, which entitles its members to a week's holiday every year for 25 years. It also provides Club Mahindra Fundays, a corporate product that allows enrolled organizations to offer holiday entitlements to its employees either as a part of their reward and recognition programs or as an employment prerequisite; Bliss, a points-based product targeted at the 50-plus age group, which offers a week's holiday every year for 10 years; and GoZest, which is a three-year points-based product aimed at millennial travelers in the less than 30 years age-group. The company operates a network of resorts across various destinations, including hill stations, beaches, backwaters, wildlife sanctuaries, forts, and heritage destinations in India, as well as in international destinations, such as Bangkok, Pattaya, Phuket, Kuala Lumpur, Singapore, Dubai, Colombo, and Bhutan. As of March 31, 2022, it operated 4,568 room units across its 84 resorts. The company was incorporated in 1996 and is based in Mumbai, India. Mahindra Holidays & Resorts India Limited is a subsidiary of Mahindra & Mahindra Limited.

How the Company Makes Money

MHRIL generates revenue primarily through its vacation ownership model, where customers purchase a time-share membership that allows them to vacation at any of the company's resorts across India and abroad. This model ensures a steady income stream from membership fees and annual maintenance charges. Additionally, MHRIL earns income from its resort operations, including room rentals, food and beverage services, and other hospitality services provided to guests. The company also engages in partnerships with travel agencies and other service providers, enhancing its offerings and expanding its customer base. Seasonal promotions and special packages further boost revenue, attracting both existing members and new customers seeking vacation options.

Mahindra Holidays & Resorts India Limited Financial Statement Overview

Summary

Mahindra Holidays & Resorts India Limited shows solid revenue growth and improved profitability, with ongoing improvements in leverage and shareholder returns. Cash flow generation is strong, but the company relies heavily on debt, which poses a risk. Overall, the financial health is robust, with areas of concern being leverage and cash flow growth sustainability.

Income Statement

The revenue growth over the years is stable, with a notable increase from 2022 to 2025. Gross profit margin is strong at 65.8% for 2025, showing efficient cost management. Net profit margin has improved from 3.5% in 2022 to 4.6% in 2025, indicating better profitability. However, EBIT and EBITDA margins have seen fluctuations, suggesting some variability in operational efficiency.

Balance Sheet

The debt-to-equity ratio has improved from 10.26 in 2022 to 4.01 in 2025, indicating better leverage management. Return on Equity (ROE) improved significantly to 16.3% in 2025, showcasing enhanced shareholder returns. However, the equity ratio remains low at 7.4% in 2025, suggesting a high reliance on debt financing.

Cash Flow

Free cash flow has been positive and growing, with a marginal increase in 2025. However, the free cash flow growth rate has slowed. The operating cash flow to net income ratio is robust, indicating strong cash generation relative to net income. The free cash flow to net income ratio is also strong, but the growth rate requires attention.

Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	28.29B	27.07B	26.44B	24.60B	19.55B	16.53B
Gross Profit	16.90B	8.42B	17.04B	16.14B	5.38B	3.50B
EBITDA	7.01B	5.79B	6.37B	5.86B	4.86B	3.64B
Net Income	1.30B	1.28B	1.16B	1.15B	675.11M	-130.77M
Balance Sheet
Total Assets	0.00	106.14B	98.46B	93.17B	88.46B	85.21B
Cash, Cash Equivalents and Short-Term Investments	10.00B	10.00B	9.42B	7.60B	7.15B	4.62B
Total Debt	0.00	31.31B	27.38B	26.23B	25.67B	24.87B
Total Liabilities	-7.89B	98.26B	93.13B	89.19B	85.86B	84.31B
Stockholders Equity	7.89B	7.80B	5.24B	3.90B	2.50B	846.80M
Cash Flow
Free Cash Flow	0.00	2.95B	2.87B	4.20B	3.66B	2.61B
Operating Cash Flow	0.00	6.21B	6.24B	6.81B	4.98B	3.82B
Investing Cash Flow	0.00	-4.01B	-4.49B	-2.10B	-2.57B	-2.37B
Financing Cash Flow	0.00	-2.85B	-1.90B	-4.59B	-2.17B	-1.54B

Mahindra Holidays & Resorts India Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 303.85
• 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:MHRIL, the sentiment is Negative. The current price of 303.85 is below the 20-day moving average (MA) of 307.38, below the 50-day MA of 314.84, and below the 200-day MA of 335.31, indicating a bearish trend. The MACD of -3.33 indicates Negative momentum. The RSI at 43.30 is Neutral, neither overbought nor oversold. The STOCH value of 22.19 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:MHRIL.

Mahindra Holidays & Resorts India Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TAJGVK	72 Outperform	₹25.72B	17.79	―	0.48%	9.49%	40.16%
ROHLTD	61 Neutral	₹10.41B	22.56	―	0.61%	10.77%	-4.40%
ORIENTHOT	59 Neutral	₹20.61B	41.69	―	0.48%	19.69%	17.02%
MHRIL	57 Neutral	₹61.58B	45.99	―	―	4.25%	17.51%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
LEMONTREE	54 Neutral	₹118.60B	53.87	―	―	16.03%	44.95%
ITDC	53 Neutral	₹48.35B	66.93	―	0.50%	6.56%	4.21%

Mahindra Holidays & Resorts India Limited Corporate Events

Mahindra Holidays Faces Rs 72.14 Crore Tax Demand, Says No Material Business Impact

Mahindra Holidays & Resorts India Limited has disclosed that it has received an assessment order from the Income Tax Department’s Assessment Unit for Assessment Year 2022-23, raising a tax demand of Rs 72.14 crore linked to Income Computation and Disclosure Standards (ICDS) and transfer pricing adjustments under the Income Tax Act, 1961. The company has stated that the order does not have a material impact on its financial position, operations, or other activities, and it plans to pursue legal remedies before the appropriate authority, signalling that the demand is being contested and is not expected to alter its core business performance in the near term.

Mahindra Holidays Increases Equity Share Capital Through ESOP Allotment

Mahindra Holidays & Resorts India Limited has announced the allotment of 3,000 equity shares under its Employees Stock Options Scheme – 2020, following a resolution passed by its Securities Allotment Committee. This allotment increases the company’s issued and paid-up equity share capital, with the new shares ranking equally with existing shares in terms of dividend and corporate benefits, potentially enhancing employee engagement and aligning interests with company performance.

Mahindra Holidays Schedules Investor Meeting with Wellington Management

Mahindra Holidays & Resorts India Limited has announced a scheduled meeting with Wellington Management, set for December 9, 2025. This one-on-one meeting is part of the company’s efforts to engage with analysts and institutional investors, although no unpublished price-sensitive information will be disclosed. Such engagements are crucial for maintaining transparency and fostering investor relations, which can impact the company’s market perception and stakeholder confidence.

Mahindra Holidays Schedules Analyst Meeting with J.P. Morgan

Mahindra Holidays & Resorts India Limited has announced a scheduled virtual meeting with J.P. Morgan India Private Limited on December 10, 2025. This meeting is part of the company’s compliance with SEBI regulations and aims to engage with analysts and institutional investors, although no unpublished price-sensitive information will be shared.

Mahindra Holidays Expands into Leisure Hospitality

Mahindra Holidays & Resorts India Limited has announced a significant strategic move to enter the leisure hospitality business, as approved by its Board of Directors. This expansion is expected to enhance its core vacation ownership business, and the company is organizing a conference call to discuss this development with investors and analysts, indicating a proactive approach to engaging stakeholders and potentially strengthening its market position.

Mahindra Holidays Schedules Investor Meeting with Invisage Capital

Mahindra Holidays & Resorts India Limited has announced a scheduled meeting with Invisage Capital Pte Ltd. on November 26, 2025. This one-on-one, in-person meeting is part of the company’s ongoing engagement with analysts and institutional investors, ensuring transparency and compliance with SEBI regulations. The company has clarified that no unpublished price-sensitive information will be disclosed during this meeting.

Mahindra Holidays Engages Investors with Strategic Presentation

Mahindra Holidays & Resorts India Limited announced that it will present at the Mahindra Group Investor Day, sharing its strategic insights and future plans with analysts and institutional investors. The presentation, which is also available on the company’s website, underscores Mahindra Holidays’ commitment to transparency and engagement with its stakeholders, although no unpublished price-sensitive information will be disclosed.

Mahindra Holidays Expands into Leisure Hospitality with New Subsidiary

Mahindra Holidays & Resorts India Limited has announced its entry into the leisure hospitality sector through a wholly owned subsidiary, Mahindra Hotels and Residences India Limited, under the brand ‘Mahindra Signature Resorts’. This strategic move aims to diversify the company’s business portfolio and attract fast-growing customer categories within the tourism sector, with an initial investment of approximately Rs.1000 Crore.

Mahindra Holidays Expands into Leisure Hospitality with New Subsidiary

Mahindra Holidays & Resorts India Limited has announced its entry into the leisure hospitality sector through a new wholly owned subsidiary, Mahindra Hotels and Residences India Limited, under the brand name ‘Mahindra Signature Resorts’. This strategic move aims to diversify and scale the company’s existing vacation ownership business, targeting fast-growing categories and customers in the tourism sector. The company plans to invest approximately Rs.1000 Crore in this new venture, indicating a significant commitment to expanding its market presence and offerings.

Mahindra Holidays Announces Key Managerial Change

Mahindra Holidays & Resorts India Limited announced a change in its key managerial personnel. Mr. Dhanraj Mulki has retired as the Company Secretary and Compliance Officer, effective October 31, 2025, and Ms. Mansi Laheri will assume the position starting November 1, 2025. This change is part of the company’s compliance with SEBI regulations, ensuring transparency and proper disclosure of material events to stakeholders.