Hotel Rally?

hunter · 1 Hotel Rally? Wed Jul 20, 2011 10:28 am

hunter

Moderator

Posts : 786
Equity Stars : 7132
Reputation : 114
Join date : 2011-04-27

The demand for hotels is increasing steadily.

KHL, CHOT, SHOT, HSIG, EDEN etc.

Do you also see that?

raa · 2 Re: Hotel Rally? Wed Jul 20, 2011 10:39 am

raa

Manager - Equity Analytics

Posts : 246
Equity Stars : 5260
Reputation : 23
Join date : 2011-03-22

... I have shares in Taj, AHUN, GHLL, MARA, and LHL and they are going the opposite way Sad

raa · 3 Re: Hotel Rally? Wed Jul 20, 2011 11:00 am

raa

Manager - Equity Analytics

Posts : 246
Equity Stars : 5260
Reputation : 23
Join date : 2011-03-22

Actually, you are right that hotels are seeing significant interest today... large turnover contribution and best sector performance in the market so far...too early to see if it is a run tho. Volumes aren't moving as fast... plus no real catalyst in the market for a run to start.

hunter · 4 Re: Hotel Rally? Wed Jul 20, 2011 11:33 am

hunter

Moderator

Posts : 786
Equity Stars : 7132
Reputation : 114
Join date : 2011-04-27

Here is my quick glance at the hotel shares might move up based on the chart patterns.
Anyway to me, hotels look still a little expensive.

Mkt price: yesterday's close
Risk: (Confidence level; higher/+ve the better)

Hotel Rally? Temp13

nuwank · 5 Re: Hotel Rally? Wed Jul 20, 2011 12:00 pm

nuwank

Senior Equity Analytic

Posts : 53
Equity Stars : 5102
Reputation : 13
Join date : 2011-02-28

CHOT seems to be really undervalued just by looking at the book value. Net asset value is around 36.
That is a very low estimate of the assets as they have not re-valued anything for a long, long time.
Great hotel/rest house locations but they need capital to refurbish the buildings and bring it up to standard. A foreign party coming in and buying at these low levels will push the entire company to new highs.
Don't forget that CHOT owns the only 2 hotels in the Kandy City, Queens and Suisse Hotel. Great value at this moment, I think.

ashlee · 6 Re: Hotel Rally? Wed Jul 20, 2011 8:28 pm

ashlee

Manager - Equity Analytics

Posts : 195
Equity Stars : 5288
Reputation : 14
Join date : 2011-01-31

Yehh CHOT is really undervalued at the current levels.. I remember this was trading at 300s in 2008 before it shot up to 2000 after announcing the split.. After that it droped to 19 to stagnated for a lot of at 21 level before going up to 45 level in the post war era and again came down to 35 range when the interest for hotels went down.. This should be a good time to collect..