Indian Hotel Stocks Rally October 2026 as IHCL and Oriental Hit Highs

Indian Hotel Stocks Rally October 2026 as shares of hotel companies saw strong demand in Friday's intraday trade. Indian Hotels Company (IHCL) and Oriental Hotels each rose up to 6% and hit 52 week highs on the BSE. Other hotel names also moved higher during the session.

Indian Hotel Stocks Rally October 2026 to Fresh Highs

IHCL climbed 5% to ₹776.25. It surpassed its previous high of ₹757.10 touched on July 31, 2026. Oriental Hotels jumped 6% to ₹153.65 in intraday deals. Apeejay Surrendra Park Hotels, ITC Hotels, Chalet Hotels, Leela Palaces Hotels and Resorts and EIH rose between 1% and 3%. The BSE Sensex was up 0.38% at 74,595 at 2:20 PM.

What Is Driving Hotel Stocks?

Analysts at Axis Securities said hotels were hit in the April to June 2026 quarter by the US Iran conflict. They now expect a strong second quarter, supported by improving metro demand and the BRICS Summit. The wider Indian hospitality industry growth story also continues to shift towards an asset light model.

The second half remains the key period. The wedding season is expected to lift RevPAR and occupancy across the industry. Axis Securities expects IHCL to post revenue growth of 12.8% in the second quarter, with bottom line growth of 20.3%. The brokerage will watch management comments on demand, occupancy and the Iran US conflict. A revival in tourism, MICE and weddings remains key.

Leela Palaces Posts Strong Second Quarter

Leela Palaces Hotels and Resorts reported a 27% rise in profit after tax to ₹94.6 crore. Operating revenue rose 33% year on year to ₹411.9 crore. Operating EBITDA increased 36% to ₹187.7 crore.

RevPAR grew 30% to ₹17,225. Average daily rate rose 30% to ₹25,046, while India headline occupancy stood at 69%. The domestic segment saw over 30% revenue growth. Room revenue grew 39% and food and beverage revenue rose 21%. Hotel management agreement fees were up 76%.

CARE Ratings Upgrades IHCL

CARE Ratings upgraded the long term rating of IHCL bank facilities to CARE AAA Stable from CARE AA+ Stable. It reaffirmed the short term rating at CARE A1+. The agency noted that revenue rose over three times in the last four years. Growth reached 16.3% in FY26.

CareEdge expects operating profitability to stay healthy and above the industry average. It cited asset light expansion, cost optimisation and strong brand value. IHCL runs a diversified portfolio that includes Taj, SeleQtions, Vivanta, Gateway and Ginger. This mix gives resilience across demand cycles.

Readers can find more details on the official IHCL website.

For more updates from the industry, read the latest hotel news on Hospitality Career Profile. Stay tuned for more announcements on results, openings and expansion plans across the hospitality sector.