SAMHI currently trades at attributable FY26/FY27/FY28E EV/Ebitda multiple of 12x/10.1x/8.2x, at a significant discount to peers, despite strong growth prospects. We believe growth pick up in H2 along with consistent profitability and net debt reduction can aid material rerating for the stock.
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Yes Securities Report
We believe Samhi Hotels Ltd. has significant potential for outperformance from the current levels based on following factors:
Growth is expected to see strong pick-up in H2,
Consistent capacity addition provides growth visibility,
Renovation and Rebranding to drive ARR growth,
Portfolio Mix shifting towards premium segments,
Balance sheet improving with consistent reduction in net debt/Ebitda,
Attractive Valuations backed by strong growth prospects with revenue/Ebitda/PAT CAGR expected at +13%/17%/54%.
We value SAMHI at Sep-27 EV/Ebitda of 15x. Reiterate Buy with target price of Rs 300.
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