Hotel shares in demand; TajGVK, Lemon Tree, Oriental Hotel rally up to 9%

Occupancy rate is expected to improve further from the pre-pandemic levels, on the back of strong demand drivers including resumption in foreign inbound travel, says analyst at Motilal Oswal.

Shares of hotel companies were in demand in Wednesday's intra-day trades, with select stock rallying up to 9 per cent on the BSE amid heavy volumes in an otherwise range-bound market. The buying at these counter can be attributed to expectations of strong earnings growth going forward.

TajGVK Hotels & Resorts, Lemon Tree Hotels and Oriental Hotels have surged in the range of 7 per cent to 9 per cent on the BSE. Indian Hotels Company, EIH Hotel, Mahindra Holidays & Resorts India were up 2 per cent - 3 per cent. In comparison, the S&P BSE Sensex was