SEBI Reg. Investment Advisor

Download App

MoneyWorks4Me

Check Before You Invest : India Tourism Development Corporation Ltd

BSE: 532189 NSE: ITDC ISIN: INE353K01014
  |   Sector:  Travel & Hospitality   |   Industry:  Hotel, Resort & Restaurants

Snapshot

Q.1 Which industry/sub-sector does India Tourism Development Corporation Ltd belong to?
India Tourism Development Corporation Ltd belongs to the Travel & Hospitality sector, operating specifically within the Hotel, Resort & Restaurants segment.
Q.2 Is India Tourism Development Corporation Ltd a good quality company?
India Tourism Development Corporation Ltd is a average quality company, based on a somewhat consistent multi-year financial track record.

This assessment is based on company’s performance on Revenue growth, ROCE, Equity and Assets, key margin ratios, cash conversion cycle, and debt to cash flow from operations and how it compares with its long term averages.

Q.3 Is India Tourism Development Corporation Ltd undervalued or overvalued?
India Tourism Development Corporation Ltd appears Overvalued, as its key valuation ratios are higher than their past averages.

Based on the industry it operates in, the relevant valuation ratios include one of the following, P/E, P/BV, P/Sales, EV/EBITDA or a combination of two or more.

Valuation Ratios Current 5-year
Historic Median
Price to Earnings 63.05 66.84
Price to Book 13.68 12.54
Price to Sales 8.49 9.03
EV to EBITDA 40.83 45.16
Q.4 Is India Tourism Development Corporation Ltd a good buy now?
India Tourism Development Corporation Ltd is a good buy now, based on strong price trend analysis suggesting prices may rise. However, you need to check its quality and valuation before making a decision

Performance Analysis

We have analysed the performance of the company on the following:

  • How has it performed on generating Profits?

    By checking its Revenue growth, Gross, Operating and Net Margins compared to its last 5-year median.

  • How efficiently has it utilized Capital?

    By checking its ROCE, ROA, ROE and its Cash Conversion Cycle.

  • How is it managing its Debt?

    By checking its Debt to Equity and Cash Flow from Operations.

A: What are the trends in revenue and profit margins?

Q.1 Revenue growth of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd revenue growth is 7.2% for FY-2025, which is below its 5-year CAGR of 10.46%, indicating slower growth.

Q.2 Gross Profit margin of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Gross profit margin which is the profit after deduction of direct costs, is 18.5% for FY-2025, which is in line with its 5-year median of 18.5%, indicating stable margins.

Q.3 Operating Profit Margin of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Operating Profit Margin which is the profit after deduction of all operating costs, is 14.98% for FY-2025, which is in line with its 5-year median of 14.98% indicating stable margins.

Q.4 Net Profit Margin of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Net Profit Margin is 14.26% for FY-2025, is above its 5-year median of 11.85%, indicating increasing margins.
Current Level 5-year
Historic Median
Gross Profit Margin (%) 18.5 18.5
Operating Profit Margin (%) 14.98 14.98
Net Profit Margin (%) 14.26 11.85

B: Does the business utilize capital efficiently?

Q.5 Return on Asset of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Return on Asset is 9.67%, which is above its 5-year historical median of 6.93%, indicating improved asset utilization efficiency.

Q.6 Return on capital employed (ROCE) of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Return on capital employed is 29.74% for FY-2025, which is above its 5-year historical median of 26.14%. The current ROCE is above its estimated weighted average cost of capital (WACC) of 14%, indicating value creation.

Q.7 Return on Equity (ROE) of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Return on equity is 24.29% for FY-2025, which is above its 5-year historical median of 17.58%, indicating the business is making better use of its shareholders capital.

Q.8 Cash conversion cycle of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Cash conversion cycle is -17 days, in line with its 5-year historical median of -17 days, indicating stable working capital management. However, you need to compare this with its peers in the industry.
Current Level 5-year
Historic Median
Asset Turnover (x) 0.68 0.55
ROE (%) 24.29 17.58
ROCE (%) 29.74 26.14
Cash Conversion Cycle -17 days -17 days

C: How much debt does the business have and is it at a sustainable level?

Q.9 Debt to Equity ratio of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Debt-to-Equity ratio is 0.00, which is lower the industry average of 0.06, indicating lower debt levels in the industry.

Q.10 Debt to cash flow from operations of India Tourism Development Corporation Ltd?
India Tourism Development Corporation Ltd Debt to cash flow from operations is 0.01, which is at a healthy level.

Ownership & governance

D: Promoter shareholding and pledge status of India Tourism Development Corporation Ltd?

Q.1 Promoter shareholding and pledge status of India Tourism Development Corporation Ltd?
Promoters hold 87.03% of the India Tourism Development Corporation Ltd, with 0.00% of their stake pledged, indicating no pledge risk.

Peer comparison (industry-wise, mcap)

E: How does India Tourism Development Corporation Ltd performance compare with that of its Peers?

Q.1 Revenue growth of India Tourism Development Corporation Ltd vs industry peers?
India Tourism Development Corporation Ltd revenue CAGR is 10.46%, compared to the industry median CAGR of 3.58%, indicating faster growth and gaining its market share.
Profit Metrics
Current Level 5-year
Industry Median
Revenue Growth (%) 7.2 3.6
Gross Profit Growth (%) -3.7 15.6
Operating Profit Growth (%) -9.6 13.5
Net Profit Growth (%) 24.6 18.8
Operating Efficiency
Current Level 5-year
Industry Median
Asset Turnover (x) 0.68 0.27
ROE (%) 24.29 2.92
ROCE (%) 29.74 6.09
Cash Conversion Cycle (days) -16.67 -

Valuation & price assessment

Q.1 Stock return of India Tourism Development Corporation Ltd over the last decade?
Over the last 9 year(s), the stock has delivered a CAGR of 10% based on the current price.
9Y 5Y 3Y 1Y
Share Price
CAGR
10% 11.6% 22.3% 11.8%
Q.2 Valuation ratios of India Tourism Development Corporation Ltd vs historical?
The current P/E ratio of 63.05 is lower than its historical median of 66.84, indicating that the stock is trading below its historical average valuation.
Q.3 How do the current valuation ratios compare with 5-year historical median and industry numbers?
Valuation Ratios Current 5-year
Historic Median
5-year
Industry Median
Price to Earnings 63.05 66.84 32.28
Price to Book 13.68 12.54 1.81
Price to Sales 8.49 9.03 5.80
EV to EBITDA 40.83 45.16 17.25

About MoneyWorks4Me

MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.

Our Vision

To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

MoneyWorks4Me ensures this through:

×