Indian Hotels CoNSE:INDHOTEL -0.67%84 Operating Margin % is 29.12% as of Mar. 2026, which is 133% above its 10-year median of 12.49. GuruFocus rates NSE:INDHOTEL with a GF Score™ of 84/100 and a GF Value™ of ₹851.81 (Modestly Undervalued). The stock has 2 warning signs investors should review. Among 844 Travel & Leisure companies, Indian Hotels Co ranks better than 89.57% on this metric.
The historical rank and industry rank for Indian Hotels Co's Operating Margin % or its related term are showing as below:
NSE:INDHOTEL'
s Operating Margin % Range Over the Past 10 Years
Min: -51.56 Med: 12.49 Max: 28
Current: 26.73
NSE:INDHOTEL's Operating Margin % is ranked better than 89.57% of 844
companies
in the Travel & Leisure industry
Industry Median: 8.135
vs NSE:INDHOTEL: 26.73
Indian Hotels Co's 5-Year Average Operating Margin % Growth Rate was 0.00% per year.
Indian Hotels Co (NSE:INDHOTEL) Operating Margin % Explanation
Just like Gross Margin %, it is important to see a company maintains its operating margin over time. Among the same industry, a company with higher operating margin is more efficient in its operation. It is also more stable during industry slowdown or recessions. Peter Lynch prefers those with higher margins than those with lower margins.
Be Aware
Operating Margin % can be manipulated by adjusting the rate of depreciation, depletion and amortization (DDA).
If a company is facing competition, its Operating Margin % may decline. Often the Operating Margin % declines well before the company's Revenue or even profit decline. Therefore, Operating Margin % is a very important indicator of whether the company is facing problems.
For instance, by 2012, Nokia (NOK)'s problems were well known and its stock had lost more than 90% of its market value since 2007. But Nokias Operating Margin % had already been in decline since 2002, although its Earnings per Share (Diluted) were still rising. Investors who paid attention to Operating Margin % would have avoided this huge loss. The same can be said for Research-in-Motion (RIMM).
Therefore, Operating Margin % is a very important screening filter for GuruFocus. GuruFocus's Buffett-Munger screener requires that the profit margin is either consistent or expanding. The Model Portfolio of the Buffett-Munger screener has outperformed the market every year since inception in 2009.
Indian Hotels Co Operating Margin % Related Terms
Indian Hotels Co Operating Margin % Historical Data
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The historical data trend for Indian Hotels Co's Operating Margin % can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
NSE:INDHOTEL vs MAR, HLT, H: Operating Margin % Comparison
For the Lodging subindustry, Indian Hotels Co's Operating Margin %, along with its competitors' market caps and Operating Margin % data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Indian Hotels Co Operating Margin % vs Travel & Leisure Industry
For the Travel & Leisure industry and Consumer Cyclical sector, Indian Hotels Co's Operating Margin % distribution charts can be found below:
* The bar in red indicates where Indian Hotels Co's Operating Margin % falls into.
Operating Margin % - also known as operating income margin, operating profit margin and return on sales (ROS) - is the ratio of Operating Income divided by net sales or Revenue, usually presented in percent.
Indian Hotels Co's Operating Margin % for the fiscal year that ended in Mar. 2026 is calculated as
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Indian Hotels Co (NSE:INDHOTEL) has a Operating Margin % of 29.12% as of Mar. 2026. Operating margin is the ratio of total operating income to net sales. View historical data on Indian Hotels Co and its competitors. This is 133% above median its historical median of 12.49. According to the industry distribution chart, Indian Hotels Co ranks #88 out of 844 companies in the Travel & Leisure industry, placing it in the top 10.4%.
Is Indian Hotels Co's Operating Margin % too high?
Indian Hotels Co's current Operating Margin % of 29.12% is 133% above median its 10-year median of 12.49. The Travel & Leisure industry median Operating Margin % is 8.14. Indian Hotels Co's value of 29.12% is 258% above this industry median. Based on the distribution chart, Indian Hotels Co ranks #88 out of 844 companies in the Travel & Leisure industry, which is in the top quartile — a strong position relative to peers. Overall, Indian Hotels Co has a GF Score™ of 84/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Indian Hotels Co's Operating Margin % compare to MAR and HLT?
According to the Travel & Leisure industry distribution chart, Indian Hotels Co ranks #88 out of 844 companies for Operating Margin %. This places Indian Hotels Co in the top 10% of its industry — outperforming the majority of peers. The industry median Operating Margin % is 8.14. Indian Hotels Co's value of 29.12% is 258% above this benchmark. While the company's 10-year median is 12.49 vs. the industry median of 8.14, Indian Hotels Co has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Operating Margin % for a Travel & Leisure company?
The median Operating Margin % among Travel & Leisure companies is 8.14, based on 844 companies in the industry. Companies in the top quartile (top 25%) have a Operating Margin % significantly above this median, while those in the bottom quartile fall well below. However, Operating Margin % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Indian Hotels Co's current Operating Margin % of 29.12% is 258% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Operating Margin % mean?
A high Operating Margin % can signal that a stock is expensive relative to its fundamentals. Operating margin is the ratio of total operating income to net sales. View historical data on Indian Hotels Co and its competitors. For the Travel & Leisure industry, the median Operating Margin % is 8.14 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Indian Hotels Co's current Operating Margin % is 29.12%, which is 133% above median its own 10-year median of 12.49. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Indian Hotels Co stock overvalued right now?
Based on GuruFocus' analysis, Indian Hotels Co (NSE:INDHOTEL) is currently considered Modestly Undervalued. The stock's GF Value™ is ₹851.81, compared to a current price of ₹720.65 — trading 15.4% below its estimated fair value. The current Operating Margin % is 29.12%, which is 133% above median its 10-year median of 12.49 and 258% above the Travel & Leisure industry median of 8.14. Indian Hotels Co's overall GF Score™ is 84/100 with 2 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Operating Margin % calculated?
Operating Margin % is calculated from a company's financial statements. For Indian Hotels Co (NSE:INDHOTEL), the current Operating Margin % is 29.12% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Indian Hotels Co (NSE:INDHOTEL) Overvalued in 2026?
Based on GuruFocus' analysis, Indian Hotels Co stock appears to be undervalued.
The current stock price of ₹720.65 is trading 15.4% below its estimated GF Value™ of ₹851.81.
GuruFocus considers Indian Hotels Co to be Modestly Undervalued.
Key valuation signals for NSE:INDHOTEL:
Operating Margin %: 29.12% (133% above median its 10-year median of 12.49)
GF Value™: ₹851.81 vs. price of ₹720.65 (15.4% below fair value)
Industry Position: 258% above the Travel & Leisure median (#88 of 844)
No single metric tells the full story. See the NSE:INDHOTEL stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Indian Hotels Co Ltd , is mainly engaged in the business of owning, operating & managing hotels, palaces and resorts. The company has two operating segments Hotel Services: This segment includes revenue and expenses related to providing accommodation, food and beverage services, other hospitality-related services including operating and management fees where the hotels are not owned or leased by the Group; and Air and Institutional Catering: This segment includes revenue and expenses related to the preparation and delivery of in-flight meals and catering services to airlines and institutions. The hotel generates majority of revenue from Hotel Services. It has presence in India, and Overseas locations. The hotel generates majority of revenue from India.
84GF Score
Get the complete analysis for NSE:INDHOTEL
Operating Margin % is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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