Recent Price Movement and Market Context
On 8 December 2025, HLV's stock price touched Rs.8.75, the lowest level recorded in the past year. This decline comes after two consecutive days of losses, during which the stock has returned -3.4%. The stock's performance today underperformed its sector by 0.48%, reflecting a broader weakness within the Hotels & Resorts industry. Notably, HLV is trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, signalling sustained downward momentum.
In contrast, the broader market index, Sensex, opened flat but later traded lower by 0.31%, standing at 85,445.51 points. The Sensex remains close to its 52-week high of 86,159.02, just 0.84% away, and is supported by bullish moving averages, with the 50-day moving average positioned above the 200-day moving average. This divergence highlights the relative underperformance of HLV compared to the overall market.
Long-Term Performance and Valuation
HLV's one-year stock return stands at -55.75%, a stark contrast to the Sensex's positive 4.57% return over the same period. The stock's 52-week high was Rs.21.13, indicating a substantial decline of nearly 59% from that peak. Over the past year, the company’s profits have fallen by approximately 54.9%, underscoring the financial pressures faced by the business.
The stock is currently trading at valuations considered risky relative to its historical averages. This risk is compounded by the company's weak ability to service its debt, as reflected in an average EBIT to interest ratio of -3.16, indicating that earnings before interest and taxes are insufficient to cover interest expenses.
Perfect timing to enter! This Small Cap from IT - Software just turned profitable with growth momentum clearly building up. Get in before the broader market notices!
- - New profitability achieved
- - Growth momentum building
- - Under-the-radar entry
Financial Results and Profitability Trends
The company reported negative quarterly results for the period ending September 2025. Net sales for the quarter stood at Rs.35.83 crores, the lowest recorded in recent periods. The profit before depreciation, interest, and taxes (PBDIT) was negative at Rs.-6.21 crores, while the net profit after tax (PAT) was a loss of Rs.-8.80 crores, representing a decline of 845.8% compared to previous quarters.
These figures highlight the ongoing challenges in generating positive operating profits. The company’s operating profit growth over the last five years has averaged 14.73% annually, which is considered modest within the sector. The weak long-term fundamental strength is reflected in these results, contributing to the stock’s subdued performance.
Shareholding and Market Pressure
Another factor influencing the stock’s performance is the high proportion of promoter shares pledged, which stands at 36.49%. In declining markets, a significant level of pledged shares can exert additional downward pressure on stock prices, as promoters may be compelled to liquidate holdings to meet margin requirements.
HLV’s underperformance extends beyond the last year, with the stock lagging behind the BSE500 index over the past three years, one year, and three months. This consistent trend points to challenges in both near-term and long-term growth prospects within the Hotels & Resorts sector.
Is HLV your best bet? SwitchER suggests better alternatives across peers, market caps, and sectors. Discover stocks that could deliver more for your portfolio!
- - Better alternatives suggested
- - Cross-sector comparison
- - Portfolio optimization tool
Sector and Market Comparison
HLV operates within the Hotels & Resorts industry, a sector that has experienced varied performance in recent times. While the broader market indices such as Sensex have maintained levels near their yearly highs, HLV’s stock has not mirrored this trend. The sector itself has faced headwinds, but HLV’s relative underperformance suggests company-specific factors are at play.
The stock’s current trading below all major moving averages contrasts with the Sensex’s position above its 50-day and 200-day moving averages, indicating a divergence in momentum and investor sentiment between the company and the broader market.
Summary of Key Metrics
To summarise, HLV’s stock price has declined to Rs.8.75, marking a 52-week low. The stock has returned -55.75% over the past year, while profits have fallen by nearly 55%. Quarterly results show net sales at Rs.35.83 crores and a net loss of Rs.-8.80 crores. The company’s ability to cover interest expenses remains weak, and a significant portion of promoter shares are pledged, adding to market pressures.
These factors collectively contribute to the stock’s current valuation and trading behaviour, reflecting the challenges faced by HLV in the Hotels & Resorts sector.
Get 1 year of Weekly Picks FREE when you subscribe to MojoOne. Offer ends soon. Start Saving Now →
