Royal Orchid Hotels Stock Price Analysis and Quick Research Report. Is Royal Orchid Hotels an attractive stock to invest in?

Stock investing requires careful analysis of financial data to determine a company's true net worth. This is generally done by examining the company's profit and loss account, balance sheet and cash flow statement, which can be time-consuming and cumbersome.

Examining a company's financial ratios is an easier way to determine its performance, which can help to make sense of the overwhelming amount of information in its financial statements. 

Here are a few indispensable ratios that should be a part of every investor’s research process, or, in simpler words, how to analyse Royal Orchid Hotels. 

• PE ratio: Price to Earnings ratio, which indicates how much an investor is willing to pay for a share for every rupee of earnings. A general rule of thumb is that shares trading at a low P/E are undervalued (it depends on other factors too). Royal Orchid Hotels has a PE ratio of 20.1067382620654 which is high and comparatively overvalued.

• Return on Assets (ROA): Return on Assets measures how effectively a company can earn a return on its investment in assets. In other words, ROA shows how efficiently a company can convert the money used to purchase assets into net income or profits. Royal Orchid Hotels has ROA of 7.3929% which is a bad sign for future performance. (Higher values are always desirable.)

• Current ratio: The current ratio measures a company's ability to pay its short-term liabilities with its short-term assets. A higher current ratio is desirable so that the company could be stable to unexpected bumps in business and economy. Royal Orchid Hotels has a Current ratio of 0.619.

• Return on equity: ROE measures the ability of a firm to generate profits from its shareholders' investments in the company. In other words, the return on equity ratio shows how much profit each rupee of common stockholders’ equity generates. Royal Orchid Hotels has a ROE of 12.9189%. (Higher is better)

• Debt to equity ratio: It is a good metric to check out the capital structure along with its performance. Royal Orchid Hotels has a Debt to Equity ratio of 0.1246 which means that the company has low proportion of debt in its capital.

• Sales growth: Royal Orchid Hotels has reported revenue growth of 2.7075% which is poor in relation to its growth and performance. 

• Operating Margin: This will tell you about the operational efficiency of the company. The operating margin of Royal Orchid Hotels for the current financial year is 24.6547530523639%.

• Dividend Yield: It tells us how much dividend we will receive in relation to the price of the stock. The current year dividend for Royal Orchid Hotels is Rs 2.5 and the yield is 0.813%.

• Earnings Per Share: It tells us how much profit is allocated to to each outstanding share of a common stock. The latest EPS of Royal Orchid Hotels is Rs 15.271. The higher the EPS, the better it is for investors. 

One can find all the Financial Ratios of Royal Orchid Hotels in Ticker for free. Also, one can get the intrinsic value of Royal Orchid Hotels by using Valuation Calculators, which are available with a Finology ONE subscription. 

Royal Orchid Hotels FAQs

Q1. What is Royal Orchid Hotels share price today?
Ans: The current share price of Royal Orchid Hotels is Rs 307.05.

Q2. What is the market capitalisation of Royal Orchid Hotels?
Ans: Royal Orchid Hotels has a market capitalisation of Rs 842.091226575 Cr., calculated based on its latest share price.

Q3. What are the P/E and P/B ratios of Royal Orchid Hotels?
Ans: The PE ratio of Royal Orchid Hotels is 20.1067382620654 and the P/B ratio of Royal Orchid Hotels is 3.00345683649574, showing how the stock is valued against its earnings and book value.

Q4. What is the 52-week high and low of Royal Orchid Hotels share?
Ans: The 52-week high share price of Royal Orchid Hotels is Rs 439.45, and the 52-week low share price of Royal Orchid Hotels is Rs 260.6.

Q5. Does Royal Orchid Hotels pay dividends?
Ans: Currently, Royal Orchid Hotels pays dividends. Dividend yield of Royal Orchid Hotels is around 0.813%.

Q6. What are the face value and book value of Royal Orchid Hotels shares?
Ans: The face value of Royal Orchid Hotels shares is Rs 10, while the book value per share of Royal Orchid Hotels is around Rs 102.2322. Face value is the nominal value set by the company, whereas book value reflects its accounting worth.

Q7. What is the debt of Royal Orchid Hotels?
Ans: Royal Orchid Hotels has a total debt of Rs 34.5761 Cr., which affects investor sentiment and financial stability. 

Q8. What are the ROE and ROCE of Royal Orchid Hotels?
Ans: The ROE of Royal Orchid Hotels is 12.9189% and ROCE of Royal Orchid Hotels is 18.1436%. ROE shows how efficiently the company is generating profit from shareholders’ equity, while the ROCE is reflects how efficiently the company uses its capital to generate returns.

Q9. Is Royal Orchid Hotels a good buy for the long term?
Ans: The Royal Orchid Hotels long-term outlook depends on debt levels, earnings growth, and sector trends. If it sustains profits and manages debt well, it may be considered for long-term investment.

Q10. Is Royal Orchid Hotels undervalued or overvalued?
Ans: Based on valuation ratios like P/E, P/B, and EV/EBITDA, one can analyse whether the Royal Orchid Hotels appears undervalued or overvalued at current levels. You can check detailed valuation metrics and peer comparisons on Finology Ticker.

Q11. How to check Royal Orchid Hotels’s financials?
Ans: You can review Royal Orchid Hotels’s financial statements - including balance sheet, income statement, and quarterly results - on Finology Ticker.