If you’re a new stock investor (or a day-trader), or even if you’re someone with experience, this piece is for you.
In this piece, I’ve shared the best stocks in the Indian subcontinent as far as the “travel and tourism” industry goes.
Let’s not waste time and get started eh?
Contents
How to select the best travel and tourism stocks in India?
Well, before picking a stock, market research is of course super important. Here’s what I look for when I choose my stocks:
- Revenue Growth: This is basically how much money the firm has made in the past vs. how much they are making now. Obviously, you also need to look at profit margins, their debt:equity ratio (their worth vs. debt), and their cash flow (investors/sitting cash etc).
- Find out how much of the market they own as well in whatever industry they operate in. In this specific case, we already know these are stocks from the travel and tourism industries in India. You simply need to look at the market-share.
- The people behind the company/firm are pretty important. Check their creditability, past performance, market-view and so on.
- Then there’s valuation. What’s the stock price compared to the money the company is making. Always compare this to other similar stocks to get a better idea.
- Always look for third-party forces, such as the economy in India(GDP growth), Inflation rates, and specially the governments’ actions for the industry/specific company. E.g. “Adani” is a stock that gained massive traction because controversial links with the sitting Indian government. Similarly, Bike taxies getting banned in Delhi and other Indian states will definitely impact the share prices for Uber and Rapido (if it was a publicly listed company).
- Your goal: You obviously need to select stocks based on your investment style. Are you in for the long game or just need to make a few quick bucks? Are you aiming for a regular dividend income or just wish to make profits off the stock price?
There are a few other factors but I’m sure you’ve got an idea, haven’t you?
Well, fortunately, you do not have to actually go through all of that research.
I’ve already done that for you and compiled this list of the best travel and tourism stocks in India. Let’s get started?
Best Travel and Tourism stocks in India
Here are some Indian travel and tourism stocks to start with:
1. MakeMyTrip (MMYT)
The company has already reported a 63% quarterly increase in bookings for 2023. That’s massive, isn’t it?
It operates in almost all the travel tourism segments including flights, trains, hotels, bus booking and even curated travel packages!
2. Indian Hotels Corporation (IHCL)
I’m sure you’ve heard of the Taj hotels, haven’t you? Indian Hotels Corporation (IHCL) is the parent company of the Taj Group of Hotels.
It runs some of the best hotels and resorts not just throughout India but also overseas. IHCL is the undisputed monarch of the Indian hotel sector, and it intends to remain so.
3. Interglobe Aviation Ltd. (INDIGO)
InterGlobe Aviation is the parent firm of IndiGo, one of India’s hippest low-cost carriers. IndiGo is India’s Ryanair, but much better.
They have a sizable market share when it comes to transporting people in India, and they’re poised to go off as the country’s air travel expands.
4. Lemon Tree (LEMONTREE)
LEMONTREE: Lemon Tree Hotels is the Indian hotel industry’s Goldilocks – not too posh, not too inexpensive – just perfect!
They have hotels in 36 locations across India, and they’re all ready to gain from the growing middle-class hospitality sector in India. Lemon Tree Hotels is the place to be if you want to party without breaking the bank.
5. Thomas Cook (THOMASCOOK)
Do you remember that spectacular trip you had and had the time of your life? Thomas Cook India is the firm that made it possible.
They provide a wide range of travel services, from vacation packages, cruise, hotels, flights and even VISA services! They are, to a large degree, India’s travel gurus.
6. Indian Railway Catering and Tourism Corporation (IRCTC)
IRCTC is managed by the Ministry of Railways, govt. of India. In the year 2022, it netted a 22% increase in profit from its previous year. Similarly, it had a 70% surge in profits as compared to Q2 which is another pretty good buy-signal, isn’t it?
It doesn’t have almost any debt, and it has a monopoly on the Indian railway market.
Frequently Asked Questions
If you’re on this page, you’re clearly interested in stocks and you’re probably new. Even if you’ve got tons of experience, you may have a few questions about these stocks. Let me try and answer a few of them?
- What are the best exchanges to trade travel and tourism stocks in India?
Zerodha is often termed the Indian stock market’s Robin Hood, isn’t it? It’s known for its simple trading interface and low brokerage fees. It’s not made just for the bigshots; anyone with basic trading knowledge can start investing right away.
Upstox, the coolest kid on the block, lets you trade stocks, futures, and options. And their smartphone app is so simple to use that even your granny (if she’s interested) can use it.
5paisa is one of the less-popular (or maybe I just was living under a rock) but very feature-rich stock exchanges in India. It offers shares, mutual funds, and other financial instruments for trading. All you need is a phone and you’re all set.
Financial and legal disclaimer
Nothing on this article is financial advice. We are not recommending/encouraging you to invest in these stocks purely based on our opinion or research.
Always do your own research before investing in stocks. It’s an extremely volatile market and may result in heavy losses for you. We will not be responsible for any of your losses.
Final words- Best Travel and Tourism stocks in India
So, these were the best travel and tourism stocks in India, in my opinion, for 2024 folks. These are best simply because given their market dominance, they’re evergreen.
Meaning, even if the market trend changes or negative policies/events occur, they’re probably your best bets.
Do note that stocks are heavily influenced by “current” events in the country. Hence, depending on when you’re reading this, you must do your own research and see if these stocks are or aren’t worth your time (and money).
That’s about it folks. Share the list with your other friends who may be trying to get into travel and tourism stocks in India, they’ll thank you.