Royal Orchid Hotels Ltd. (Orchid) operates a chain of business hotels in India. It has a mix of businesses all concentrated in hospitality industry. It owns hotels assets, has interest in associate companies driven by branding, and contract management of third party hotels. It has 24 associated subsidiaries within the corporate structure.
Orchid had been on my list for further evaluation for quite sometime, but I never felt excited about the company. Recently, one of my readers (Sumi) left a comment requesting my views on this company, more so because it seems to be paying impressive dividends. My objective in this analysis to see if Orchid is a good fit for my portfolio (and hopefully it will also take care of my reader’s request).
Trend Analysis
The whole reason for any business to exist is to generate sales revenue and make more profits. At a minimum, the parameters listed below should have continuously increasing trends. All the data below is based on last 8 years i.e. from 2000 to 2008.
