Is Howard Hotels overvalued or undervalued?

Aug 13 2025 08:03 AM IST
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As of August 12, 2025, Howard Hotels is considered very expensive and overvalued with a PE Ratio of 26.41 and an EV to EBITDA of 13.15, despite outperforming the Sensex with a 1-year return of 15.92%.
As of 12 August 2025, the valuation grade for Howard Hotels has moved from fair to very expensive. This indicates that the company is currently overvalued. Key ratios include a PE Ratio of 26.41, an EV to EBITDA of 13.15, and a ROE of 6.35%. In comparison to peers, Indian Hotels Co has a significantly higher PE Ratio of 62.48, while ITC Hotels stands at 68.07, both indicating a premium valuation in the industry.

Given these metrics and the overall market context, Howard Hotels appears to be overvalued relative to its peers and its financial performance. The company's recent stock performance has outpaced the Sensex, with a 1-year return of 15.92% compared to the Sensex's 0.74%, but this does not mitigate the valuation concerns highlighted by the current ratios.
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