Hotel stocks to buy: India’s hospitality sector is likely to see positive momentum in the second half of the financial year 2026-27, supported by a robust events calendar, healthy wedding season and continued pricing power.
The country’s hospitality and tourism sector is likely to see positive growth in the near term, led by healthy structural tailwinds and favourable demand-supply dynamics. Additionally, rising domestic travel fuelled by increasing MICE (Meetings, Incentives, Conferences & Exhibitions) activity, weddings, cultural events, and leisure and corporate travel will also boost the outlook for the segment, according to Motilal Oswal Financial Services Limited.
While maintaining a positive outlook for the sector, the brokerage remained bullish on three hotel stocks— Indian Hotels Company Limited, Lemon Tree Hotels Limited, and Ventive Hospitality Limited.
Strong growth expected in Q2FY27
India’s hospitality and tourism industry concluded the second quarter of financial year 2026-27 (FY 27) on a strong footing, supported by rising demand due to corporate travel, MICE, and large-format events.
Industry revenue growth is likely to continue with similar momentum in the next two quarters of FY27, according to the brokerage report. Resilient demand across cities, healthy corporate/MICE demand, and sustained pricing power will remain among the key contributors to segment growth.
“Healthy October bookings, a stronger wedding calendar, and rising events/conferences provide favourable visibility into 2HFY27,” noted the brokerage in its report released on Wednesday.
Top hotel stocks to buy
Motilal Oswal maintained its ‘Buy’ rating on three stocks — Indian Hotels, Lemon Tree Hotels and Ventive Hospitality Limited. “We reiterate our BUY rating on IH (TP: INR870), LEMONTRE (TP: INR140), and VENTIVE (TP:750),” noted the brokerage in its report.
Indian Hotels share price target
The brokerage maintained its ‘Buy’ rating for the stock with a target price of ₹870 per share. Indian Hotels Company Limited closed 2.04% higher at ₹729 per share on BSE with an Mcap of ₹1,03,768.21 crore on Wednesday. The stock has delivered 27% return in six months and around 1% return in one month.
Lemon Tree Hotels share price target
Motilal Oswal reiterated ‘Buy’ rating for Lemon Tree stock with a target price of ₹140 per share. The stock closed unchanged at ₹104.25 apiece on BSE with an Mcap of ₹8,259.17 crore on Wednesday. The hotel stock has delivered negative 37% return in one year and 14% return in two years.
Ventive Hospitality share price target
Ventive Hospitality also received a ‘Buy’ rating with a target price of ₹750 per share. The stock closed marginally lower at ₹559 per share on BSE with an Mcap of ₹13,054.98 crore on Wednesday. Its share price has declined 19.7% in one year.
