Analyzing Apeejay Surrendra Park Hotels: A Wise Approach for Investors Post IPO

 Recommendation on  Apeejay Surrendra Park Hotels stock

Apeejay Surrendra Park Hotels  had  offered  its shares in the fixed price band of Rs 147-155 with a minimum bid of 96 equity shares.  Apeejay Surrendra Park Hotels  operates 27 hotels across different categories and will list on both BSE and NSE on February 12, 2024. Apeejay Surrendra Park Hotels  IPO Had  aimed to raise around ₹920 crore

Apeejay Surrendra Park Hotels  IPO opened for subscription on February 5, 2024, & Apeejay Surrendra Park IPO  was subscribed 62.91 times & 32.00 times in the retail category, 79.23 times in QIB, 55.26 times in the NII category on the final day of bidding.

Now, Short term or Long term Investors should look the Risk factors associated with Apeejay Surrendra Park Hotels company before making any decision after IPO Listing.

The risks associated with investing in Apeejay Surrendra Park Hotels include:

Market Risks:

 Investments in the securities market are subject to market risks.

Financial Performance:

 While the company has shown a positive financial trajectory with consistent growth in assets, net worth, and reserves, there has been a decline in revenue and profit after tax by September 2023, which warrants scrutiny.

Revenue Concentration:

 The company is exposed to the risk of revenue concentration, as almost 49% of total bookings come from Online Travel Agents, which can be a potential risk factor

Operational Risks:

 Delays in hotel development, challenges in constructing serviced apartments, and non-compliance with regulations are potential operational risks associated with the company

Investors should carefully consider these risks along with the company's financials, market conditions, and management strategies before making an investment decision.

What is the growth potential of Apeejay surrendra park hotels in the next 5 years?

Apeejay Surrendra Park Hotels has demonstrated a positive financial trajectory with consistent growth in assets, net worth, and reserves. The company's total assets have steadily increased, reaching 1383 Crore by September 2023, suggesting effective capital deployment for potential expansion and overall financial health. Additionally, the company has shown a substantial surge in revenue, doubling from ₹1,788.30 million in 2021 to ₹5,061.30 million in 2023, reflecting its ability to scale operations and capture market share.

. Furthermore, considering the growth of India's travel and tourism sector, the stock might hold potential for investment. However, investors should carefully assess the risk factors and analyze the company's financials thoroughly before making an investment decision.

Apeejay Surrendra Park Hotels buy, sell or hold after IPO Listing:

As per the media news, some Brokerage firms had given a "Subscribe for long-term" rating to the IPO.

As per “Multibbager stock Ideas” (PS group) Point of view, Apeejay Surrendra Park Hotels  IPO was overpriced.  If we will check the Financials of the Apeejay Surrendra Park Hotels then  company had shown a positive financial trajectory with consistent growth in assets, net worth, and reserves, although a decline in revenue and profit after tax by September 2023 warrants scrutiny. Therefore,  Investors should carefully consider the company's financials, market conditions, and management strategies before making an investment decision.

Apeejay Surrendra Park Hotels is the eighth largest hotel chain in India, operating under five brands - THE Park, THE Park Collection, Zone by The Park, Zone Connect by The Park, and Stop by Zone. The company has a significant presence in the hospitality industry, consistently outperforming competitors and demonstrating impressive occupancy rates. However, it is important to note that almost 49% of the total bookings come from Online Travel Agents, which exposes the company to the risk of revenue concentration. While specific market share data is not available, the company's strong brand presence and diverse portfolio of hotels indicate a notable position in the hospitality industry.

 On the basis of Above discussion, Our website www.multibaggerstoclideas.com , (PS Group) recommends only long term investors to stay invest in Apeejay Surrendra Park Hotels stock with strict Stoploss. In The Hospitality Industry competition is higher and expenses are higher. We can’t make final judgement on the stock on the basis of Past few financial performances  of Apeejay Surrendra Park Hotels before IPO to launch in the Indian stock market.

Long Term Investors should Keep Strict Stoploss in “Apeejay Surrendra Park Hotels stock”  around 120rs to 125rs Max on closing basis.

By any chance, Short term investors should take exit with small profit from Apeejay Surrendra Park Hotels stock on IPO day listing or after that.