In the world of leisure and vacations, there’s a name that’s captured the hearts of over 250,000 families in India – Mahindra Holidays & Resorts India Ltd. (MHRIL). Their beloved ‘Club Mahindra’ brand has become synonymous with quality family getaways. As we step into September 2023, the MHRIL stock is valued at ₹398, a number that has investors wondering about its future. Can this company, with a heartwarming reputation in the leisure hospitality sector, reach the milestone of ₹1000 INR per share by 2030? With a market cap of ₹8,013 Cr and a robust return on equity (ROE) of 35.9%, we’re embarking on a journey to explore the possibilities in this article. Let’s uncover what lies ahead for Mahindra Holidays & Resorts India and its investors.
ABOUT MAHINDRA HOLIDAYS & RESORTS INDIA
Club Mahindra, also known as Mahindra Holidays & Resorts India Limited, has established itself as a prominent player in India’s hospitality sector since its inception in 1996.
Operating under the Mahindra Group, this company offers family vacations through membership-based vacation ownership, enabling families to create enduring memories over 25 or 10 years.
With an impressive portfolio of more than 110 resorts worldwide, with a significant presence in India, Club Mahindra is affiliated with an extensive network of 4,500 RCI resorts.
Importantly, it holds the distinction of being the largest vacation ownership brand globally, excluding the United States, solidifying its position as a significant name in the global leisure and hospitality industry.
Mahindra Holidays & Resorts India Q1 FY2024 Results: Summary and Key Points
- Total income for Q1 FY2023-24 stood at ₹651.83 crores, reflecting an 11.35% decrease compared to the previous quarter.
- The company reported a net profit of ₹0.18 crores for Q1 FY2023-24, a significant drop from ₹56.42 crores in the previous quarter.
- Earnings per share (EPS) for the quarter was ₹0.01, down from ₹2.81 in the previous quarter.
- In a year-on-year comparison, total income for Q1 FY2023-24 increased by 2.32% compared to Q1 FY2022-23.
- However, the net profit for Q1 FY2023-24 showed a substantial decline of 99.39% compared to the same quarter in the previous year, with an EPS of ₹0.01 compared to ₹1.48.
MAHINDRA HOLIDAYS & RESORTS INDIA IN RECENT NEWS
- Mahindra Holidays & Resorts India Limited has officially communicated that the Securities Allotment Committee of its Board of Directors, through a Circular Resolution, has granted and distributed a total of 1,63,784 equity shares to its employees as part of the Mahindra Holidays & Resorts India Limited Employees’ Stock Options Scheme. This announcement was made through an official exchange filing by the company.
- Mahindra Holidays & Resorts India Limited has formally announced that, via a Circular Resolution, its Board of Directors’ Securities Allotment Committee has authorized the allocation of 1,63,784 equity shares to employees under the Mahindra Holidays & Resorts India Limited Employees’ Stock Options Scheme. The company made this disclosure through an official filing on the stock exchange.
HOW TO BUY MAHINDRA HOLIDAYS & RESORTS INDIA SHARES IN INDIA?
To buy Mahindra Holidays & Resorts India shares in India, you can use the services of various stockbrokers and financial institutions. Here are some popular ones:
- Zerodha
- HDFC Securities
- ICICI Direct
- Axis Direct
- Kotak Securities
- Sharekhan
- Angel Broking
- Motilal Oswal
- Edelweiss
- 5Paisa
MAHINDRA HOLIDAYS & RESORTS INDIA SHARE PRICE TARGET 2023 TO 2025
Let’s examine the statistics regarding the projected share price target for the period between 2023 and 2025, after conducting a thorough review of the company.
When | Maximum Price | Minimum Price |
September 2023 | ₹417.90 | ₹379.91 |
October 2023 | ₹405.73 | ₹368.84 |
November 2023 | ₹413.84 | ₹376.22 |
December 2023 | ₹426.26 | ₹387.51 |
In September 2023, Mahindra Holidays & Resorts India’s share price is expected to stand at ₹417.90, and as the year progresses, it is projected to experience a gradual increase. By December 2023, it is anticipated to reach ₹426.26, signifying a continued upward trajectory, making it an attractive option for potential investors.
When | Maximum Price | Minimum Price |
January 2024 | ₹434.96 | ₹378.22 |
February 2024 | ₹443.83 | ₹385.94 |
March 2024 | ₹448.32 | ₹389.84 |
April 2024 | ₹435.26 | ₹378.49 |
May 2024 | ₹426.72 | ₹371.06 |
June 2024 | ₹456.60 | ₹397.04 |
July 2024 | ₹470.29 | ₹408.95 |
August 2024 | ₹479.70 | ₹417.13 |
September 2024 | ₹489.29 | ₹425.47 |
October 2024 | ₹497.25 | ₹432.39 |
November 2024 | ₹517.14 | ₹449.69 |
December 2024 | ₹527.48 | ₹458.68 |
In January 2024, Mahindra Holidays & Resorts India’s share price will commence at ₹434.96, and throughout the year, it will experience a steady climb. By December 2024, it is anticipated to reach a maximum of ₹527.48, illustrating a consistent upward trend. Simultaneously, the minimum price for December 2024 is expected to be ₹458.68, offering an optimistic perspective for prospective investors.
When | Maximum Price | Minimum Price |
January 2025 | ₹538.03 | ₹413.87 |
February 2025 | ₹566.35 | ₹435.65 |
March 2025 | ₹577.68 | ₹444.37 |
April 2025 | ₹571.96 | ₹439.97 |
May 2025 | ₹560.74 | ₹431.34 |
June 2025 | ₹574.76 | ₹442.12 |
July 2025 | ₹583.51 | ₹448.86 |
August 2025 | ₹604.68 | ₹465.14 |
September 2025 | ₹616.77 | ₹474.44 |
October 2025 | ₹629.11 | ₹483.93 |
November 2025 | ₹610.78 | ₹469.83 |
December 2025 | ₹623.00 | ₹479.23 |
As we step into January 2025, Mahindra Holidays & Resorts India’s share price is poised to kick off at ₹538.03, and the journey ahead appears promising. Over the course of the year, this growth story is expected to persist, culminating in a maximum share price of ₹623.00 by December 2025. For investors, this journey also offers a safety net, with a minimum price for December 2025 projected at ₹479.23, making it a potentially rewarding investment opportunity.
Year | Maximum Price | Minimum Price |
2026 | ₹716.45 | ₹501.51 |
2027 | ₹608.98 | ₹426.29 |
2028 | ₹791.67 | ₹530.42 |
2029 | ₹1,029.18 | ₹720.42 |
2030 | ₹1,080.64 | ₹756.44 |
Looking ahead from 2026 to 2030, Mahindra Holidays & Resorts India’s share price is on a compelling trajectory. Starting at ₹716.45 in 2026, it showcases consistent growth year after year, reaching ₹1,080.64 in 2030. This steady ascent suggests a favorable outlook for investors, with the potential for substantial returns as the company continues to demonstrate a robust performance.
MAHINDRA HOLIDAYS & RESORTS INDIA FINANCIAL CONDITION (LAST 5 YEARS)
Year | 2019 | 2020 | 2021 | 2022 | 2023 |
Sales | 2,239 | 2,372 | 1,730 | 2,013 | 2,517 |
Expenses | 2,055 | 1,996 | 1,489 | 1,691 | 2,036 |
Operating Profit | 184 | 375 | 241 | 323 | 481 |
Other Income | 55 | 58 | 116 | 163 | 106 |
Interest | 40 | 85 | 91 | 105 | 126 |
Depreciation | 101 | 247 | 264 | 271 | 290 |
Profit Before Tax | 98 | 2 | 111 | 171 | 140 |
Tax % | 39% | 232% | 667% | 39% | 33% |
Net Profit | 60 | -134 | -14 | 68 | 85 |
EPS (in Rs) | 3.02 | -6.59 | -0.65 | 3.37 | 5.72 |
Dividend Payout % | 0% | 0% | 0% | 0% | 0% |
Mahindra Holidays & Resorts India has experienced significant fluctuations in its financial performance over the last five years. In 2019, the company reported healthy sales of 2,239 crore rupees, accompanied by expenses amounting to 2,055 crore rupees, resulting in a relatively modest operating profit of 184 crore rupees. However, the subsequent years saw mixed results, with 2020 showcasing a commendable increase in operating profit to 375 crore rupees, while 2021 brought challenges with a reduced operating profit of 241 crore rupees.
The financial picture took a noteworthy downturn in 2020 when the company reported a net profit of -134 crore rupees, primarily due to a high expense-to-sales ratio. Fortunately, by 2022, Mahindra Holidays & Resorts managed to rebound with a net profit of 68 crore rupees, showcasing resilience in their operations. It’s important to note that the tax percentage fluctuated dramatically over this period, peaking at 667% in 2021, which may have had a substantial impact on profitability. Overall, Mahindra Holidays & Resorts India’s financial condition has displayed a mixed performance, with efforts to stabilize and regain profitability in the latter years of this period.
MAHINDRA HOLIDAYS & RESORTS INDIA SHARE PRICE TARGET BY BROKERAGE FIRMS AND EXPERTS
ICICI Direct recommends purchasing shares of Mahindra Holidays & Resorts India with a target price of Rs 400.
Also read:
Nestle India Share Price Target 2023, 2024, 2025 to 2030: Can Nestle touch 30,000 INR?
FAQs
The share price target for Mahindra Holidays & Resorts India by 2025 is expected to reach from ₹538.03 in January to ₹623.00 in December. Extrapolating this trend, it’s reasonable to expect the share price to continue growing beyond 2025.
According to the data, Mahindra Holidays & Resorts India’s share price is projected to reach ₹1,080.64 by 2030. This suggests a specific share price target for the company by that year, indicating a positive long-term outlook for potential investors.
Can Mahindra Holidays & Resorts India’s stock reach ₹1,000 INR?
According to the analysis, by 2030, Mahindra Holidays & Resorts India’s share price is projected to be ₹1,080.64. While it doesn’t reach exactly ₹1,000 INR, it is expected to come close to that mark, indicating the potential for significant growth in the company’s stock value.
Is it worthwhile to invest in Mahindra Holidays & Resorts India for the long term?
Considering the consistent upward trajectory in Mahindra Holidays & Resorts India’s share price, it appears to be a promising long-term investment. Investors seeking potential growth and positive returns may find it worthwhile to consider Mahindra Holidays & Resorts India as part of their long-term investment portfolio.
Will the Mahindra Holidays & Resorts India stock grow?
Yes, based on the price analysis and the analyzed trends, Mahindra Holidays & Resorts India’s stock is expected to continue its growth trajectory.It’s important to be aware that investing in the stock market comes with inherent uncertainties, and historical performance does not ensure future returns. It’s advisable to engage in thorough research and seek advice from a financial expert before making any investment decisions.
CONCLUSION
In conclusion, as we explore Mahindra Holidays & Resorts India’s share price target from 2023 to 2030 and the possibility of it reaching ₹1,000 INR, several key factors emerge. The company has shown a consistent growth trend over the years, with a remarkable return on equity (ROE) track record and a reduction in working capital requirements, indicating strong financial management. However, there are concerns, such as the stock trading at 20.5 times its book value, the absence of dividend payouts despite repeated profits, and a relatively modest sales growth rate.
While the analysis suggests the potential for Mahindra Holidays & Resorts India’s share price to continue its upward trajectory, reaching ₹1,000 INR could be a significant milestone that depends on multiple market dynamics and the company’s ability to sustain its growth momentum. Investors should approach with caution, considering the company’s current overvalued price-to-earnings (P/E) ratio and the need for a deeper understanding of its future strategies and market conditions before anticipating such a substantial price target. It’s essential to conduct thorough research and seek professional financial advice when evaluating investment decisions in this context.
What did we learn?
- 1 ABOUT MAHINDRA HOLIDAYS & RESORTS INDIA
- 2 Mahindra Holidays & Resorts India Q1 FY2024 Results: Summary and Key Points
- 3 HOW TO BUY MAHINDRA HOLIDAYS & RESORTS INDIA SHARES IN INDIA?
- 4 MAHINDRA HOLIDAYS & RESORTS INDIA SHARE PRICE TARGET 2023 TO 2025
- 5 MAHINDRA HOLIDAYS & RESORTS INDIA FINANCIAL CONDITION (LAST 5 YEARS)
- 6 MAHINDRA HOLIDAYS & RESORTS INDIA SHARE PRICE TARGET BY BROKERAGE FIRMS AND EXPERTS
- 7 FAQs
- 7.1 What is the share price target for Mahindra Holidays & Resorts India by 2025?
- 7.2 What is the share price target for Mahindra Holidays & Resorts India by 2030?
- 7.3 Can Mahindra Holidays & Resorts India’s stock reach ₹1,000 INR?
- 7.4 Is it worthwhile to invest in Mahindra Holidays & Resorts India for the long term?
- 7.5 Will the Mahindra Holidays & Resorts India stock grow?
- 8 CONCLUSION