Lemon Tree Hotels Ltd

NSE: LEMONTREE BSE: 541233

₹104.78

(0.87%)

Sun, 13 Sept 2026, 05:53 pm

Market Cap (in Cr)8302.74

PE Ratio35.34

Dividend0

Consumer Services

Hotels/Resorts/Cruise lines

24.5K

Lemon Tree Hotels Analysis

Pros

Cons

No need to calculate the sustainability of Lemon Tree Hotels's dividends in 3 years as they are not expected to pay a notable one for India.
Unable to evaluate Lemon Tree Hotels's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
Unable to evaluate Lemon Tree Hotels's dividend against the top 25% market benchmark as the company has not reported any payouts.

Pros

Cash flow for Lemon Tree Hotels is expected to increase by more than 50% in 2 years time.
Lemon Tree Hotels's earnings are expected to grow significantly at over 20% yearly.
Lemon Tree Hotels's earnings growth is expected to exceed the India market average.
Lemon Tree Hotels's earnings growth is expected to exceed the low risk savings rate of 7.2%.
Lemon Tree Hotels is expected to become profitable in 3 years time.
An improvement in Lemon Tree Hotels's performance (ROE) is expected over the next 3 years.
Lemon Tree Hotels's revenue growth is expected to exceed the India market average.

Cons

Lemon Tree Hotels is expected to be loss making next year.
Lemon Tree Hotels's is expected to be loss making in 2 years.
Lemon Tree Hotels is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
Performance (ROE) is not expected to exceed the current IN Hospitality industry average.
Lemon Tree Hotels's revenue is expected to increase but not above the 50% threshold in 2 years time.
Lemon Tree Hotels's revenue is expected to grow by 10.5% yearly, however this is not considered high growth (20% yearly).

Pros

Lemon Tree Hotels has been profitable on average in the past, therefore cash runway is not a concern.
Lemon Tree Hotels has been profitable on average in the past, therefore cash runway is not a concern.

Cons

Lemon Tree Hotels's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
Debt is not well covered by operating cash flow (9.8%, less than 20% of total debt).
Debt is not covered by short term assets, assets are 0.1x debt.
Lemon Tree Hotels's long term commitments exceed its cash and other short term assets.
The level of debt compared to net worth has increased over the past 5 years (46.4% vs 97.8% today).
Lemon Tree Hotels is making a loss, therefore interest payments are not well covered by earnings.
Lemon Tree Hotels's level of debt (97.8%) compared to net worth is high (greater than 40%).
High level of physical assets or inventory.

Pros

The tenure for the Lemon Tree Hotels board of directors is about average.
Patu's remuneration is about average for companies of similar size in India.
More shares have been bought than sold by Lemon Tree Hotels individual insiders in the past 3 months.
The tenure for the Lemon Tree Hotels management team is about average.

Cons

Pros

Cons

Pros

Cons

Unable to compare Lemon Tree Hotels's 1-year earnings growth to the 5-year average as it is not currently profitable.
Lemon Tree Hotels does not make a profit even though their year on year earnings growth rate was positive over the past 5 years.
Lemon Tree Hotels used its assets less efficiently than the IN Hospitality industry average last year based on Return on Assets.
It is difficult to establish if Lemon Tree Hotels improved its use of capital last year versus 3 years ago (Return on Capital Employed) as it is currently loss-making.
It is difficult to establish if Lemon Tree Hotels has efficiently used shareholders’ funds last year (Return on Equity greater than 20%) as it is loss-making.
Unable to compare Lemon Tree Hotels's 1-year growth to the IN Hospitality industry average as it is not currently profitable.

Pros

NSEI:LEMONTREE is up 72.8% outperforming the Hospitality industry which returned 11.5% over the past month.
NSEI:LEMONTREE is up 72.8% outperforming the market in India which returned 8% over the past month.

Cons

Lemon Tree Hotels's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).
Lemon Tree Hotels's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).
Lemon Tree Hotels is overvalued based on assets compared to the IN Hospitality industry average.
Lemon Tree Hotels is loss making, we can't compare its value to the IN Hospitality industry average.
Lemon Tree Hotels is loss making, we can't compare the value of its earnings to the India market.
LEMONTREE underperformed the Hospitality industry which returned -35.6% over the past year.
LEMONTREE underperformed the Market in India which returned -14.5% over the past year.