High Dividend Yield Hotel Stocks under Rs 500

The table below shows the high dividend yield hotel stocks under Rs 500 based on the Highest Market Capitalization.

What Are The High Dividend Yield Hotel Stocks under Rs 500?

High dividend yield hotel stocks under Rs 500 refer to companies in the hospitality and hotel sector with share prices below Rs 500 that offer relatively high dividend payouts compared to their stock price. These stocks are attractive to investors seeking regular income through dividends while investing in the hospitality industry, which benefits from tourism and business travel.

Features Of High Dividend Yield Hotel Stocks Under 500

The main feature of high dividend yield hotel stocks under Rs 500 includes their ability to offer income potential while being accessible to a wide range of investors in the hospitality sector.

1. Income Generation: High dividend yields provide a regular income stream, appealing to income-focused investors.
2. Tourism Growth: The hospitality industry benefits from growth in tourism and business travel, supporting long-term returns.
3. Affordable Investment: Stocks priced under Rs 500 are accessible to a broader range of investors.
4. Cyclic Nature: Hotel stocks can benefit from economic upturns, with increased occupancy and revenue during peak periods.
5. Real Estate Assets: Many hotel companies own valuable real estate, adding stability and potential for capital appreciation.

Best High Dividend Yield Hotel Stocks under ₹500

The table below shows the best high dividend yield hotel stocks under ₹500 based on the highest day Volume.

Top High Dividend Yield Hotel Stocks under Rs 500 in India

The table below shows the top high dividend yield hotel stocks under Rs 500 in India based on 1 Year Return. 

Factors To Consider When Investing In High Dividend Yield Hotel Stocks under ₹500

The factors to consider  When Investing In High Dividend Yield Hotel Stocks under ₹500 include the dividend history of the company, which indicates its ability to consistently pay dividends over time.

1. Financial Health: Evaluate the company’s balance sheet and profitability to ensure it can sustain its dividend payments even during economic downturns. Strong financial health ensures continued dividend payouts.
2. Industry Position: Consider the hotel’s market position and competitiveness within the industry. Leading brands often have more stable revenues, supporting reliable dividend distributions, especially in tough economic times.
3. Growth Prospects: Assess the company’s future growth potential, including expansion plans and market trends. Companies with strong growth prospects are more likely to increase dividends over time.
4. Dividend Payout Ratio: Check the dividend payout ratio to understand how much of the company’s earnings are being returned to shareholders. A sustainable ratio indicates the company can continue paying dividends without compromising its financial health.
5. Market Conditions: Monitor broader market conditions and economic factors that could impact the hospitality sector. Economic downturns can significantly affect hotel revenues, potentially impacting dividend yields.

How To Invest In High Dividend Yield Hotel Stocks under Rs 500?

To invest in high dividend yield hotel stocks under Rs 500, start by researching companies that consistently pay dividends. Open a brokerage account with a reliable broker like Alice Blue to begin trading. Assess the stock’s fundamentals, including dividend history, financial health, and market position. 

Advantages Of Investing In High Dividend Yield Hotel Stocks under Rs 500

The primary advantages of investing in high dividend yield hotel stocks under ₹500 include affordable entry, steady income, and exposure to the hospitality sector’s growth potential.

1. Affordable Entry: Stocks priced under ₹500 provide an accessible investment opportunity, allowing investors to enter the market with lower capital, making it easier to diversify their portfolios.
2. Steady Income: High dividend yield stocks offer regular income through dividends, providing a reliable revenue stream that can be especially appealing for income-focused investors.
3. Sector Growth Potential: The hotel industry benefits from increasing travel and tourism, infrastructure development, and rising consumer spending, which can drive revenue and growth for hotel stocks.
4. Investment Diversification: Investing in hotel stocks adds sectoral diversity to a portfolio, spreading risk across different industries and potentially reducing overall investment volatility.
5. Potential for Capital Appreciation: In addition to dividend income, hotel stocks may appreciate in value over time due to sector growth, improving property values, and operational efficiencies.

Risks Of Investing In High Dividend Yield Hotel Stocks Under 500

The main risk is the potential volatility in the hospitality sector, which can lead to fluctuations in stock prices and dividend payments, especially during economic downturns.

1. Dividend Cuts: Companies may reduce or eliminate dividends if their earnings decline, impacting your income stream. This risk is heightened during economic recessions or industry-specific downturns.
2. Market Volatility: Hotel stocks can be particularly sensitive to market conditions, such as economic recessions or changes in travel demand. This volatility can lead to significant fluctuations in stock prices.
3. Limited Growth: Some high dividend yield stocks might offer limited capital appreciation if the company prioritizes paying dividends over reinvesting in growth. This can cap the upside potential of your investment.
4. Concentration Risk: Investing heavily in a single sector, such as hotels, can increase your portfolio’s exposure to sector-specific risks, such as changes in tourism trends or economic downturns affecting travel.
5. Inflation Risk: High dividend yield stocks may not always keep pace with inflation, eroding the real value of the dividends over time. This is a particular concern if the company’s earnings do not grow with inflation.

Introduction to High Dividend Yield Hotel Stocks under Rs 500

EIH Ltd

The Market Cap of EIH Ltd is Rs. 26,115.21 crores. The stock’s monthly return is -1.86%. Its one-year return is 98.95%. The stock is 21.20% away from its 52-week high.

EIH Limited is a luxury hospitality company based in India. The company specializes in owning and managing luxurious hotels and cruisers under the renowned Oberoi and Trident brands. 

Additionally, EIH Limited is involved in flight catering, airport restaurants, project management, and corporate air charters. The company’s hotel services encompass accommodation, food and beverage offerings, as well as a range of services provided by various hospitality establishments such as hotels, inns, resorts, holiday homes, restaurants, and caterers.  

Oriental Hotels Ltd

The Market Cap of Oriental Hotels Ltd is Rs. 2441.63 crore. The stock’s monthly return is -0.36%. Its one-year return is 54.01%. The stock is 17.63% away from its 52-week high.

Oriental Hotels Limited (OHL) is a holding company based in India that specializes in owning, operating, and managing hotels and resorts. Its clientele includes business travellers, tourists, attendees of events and conferences, wedding guests, dining customers, crew members, and long-term guests. 

Among its properties are the five-star Taj Coromandel in Chennai, Taj Fisherman’s Cove Resort & Spa in Chennai, Taj Malabar Resort & Spa near Willingdon Island in Kochi,  and The Gateway Hotel Old Port Road in Mangalore.  

TAJ GVK Hotels and Resorts Ltd

The Market Cap of TAJ GVK Hotels and Resorts Ltd is Rs. 1994.22 crores. The stock’s monthly return is -3.45%. Its one-year return is 5.99%. The stock is 43.08% away from its 52-week high.

TAJGVK Hotels & Resorts Limited is an Indian company that focuses on owning, operating, and managing hotels, palaces, and resorts under the TAJ brand. The company’s activities include providing short-term accommodation, operating restaurants, mobile food services, event catering, and other food services. 

It offers a range of products and services including rooms, food, and beverages. Some of its properties include Taj Krishna, Taj Banjara, Taj Deccan, Vivanta by Taj, Taj Chandigarh, and Taj Club House.  

Royal Orchid Hotels Ltd

The Market Cap of Royal Orchid Hotels Ltd is Rs. 971.54 crores. The stock’s monthly return is -1.53%. Its one-year return is 11.39%. The stock is 32.47% away from its 52-week high.

Royal Orchid Hotels Limited is an India-based company that specializes in managing and operating hotels and resorts across the country, offering a range of related services. 

The company boasts a diverse portfolio of hotel properties, such as Regenta Resort Vanya Mahal, Regenta Camellia Resort and Spa, Santiniketan, Regenta Resort Central, Regenta Almeida, and Regenta Orkos. Its well-known brands include Royal Orchid Central, Royal Orchid Suites, and Regenta.  

Advani Hotels and Resorts (India) Ltd

The Market Cap of Advani Hotels and Resorts (India) Ltd stands at Rs 715.01 crore. The stock’s monthly return percentage is 9.52%, and its one-year return stands at 62.01%. The stock is currently 25.22% away from its 52-week high.

Advani Hotels & Resorts (India) Limited, an India-based company, operates the Caravela Beach Resort located in South Goa. This five-star deluxe resort spans over 24 acres and features 192 rooms, 4 Suites, and 6 Villas with private balconies. 

The company focuses on providing short-term accommodation services, restaurants, and mobile food services. Accommodation options include garden view rooms, pool/ocean view rooms, oceanfront view rooms, deluxe suites, family villas and presidential villas. The resort also features a nine-hole golf course and an Ayurveda centre.  

Nicco Parks & Resorts Ltd

The Market Cap of Nicco Parks & Resorts Ltd is Rs. 687.26 crore. The stock’s monthly return is -0.51%. Its one-year return is 6.07%. The stock is 27.44% away from its 52-week high.

Nicco Parks & Resorts Limited, headquartered in India, specializes in theme-based entertainment services, including theme parks, water parks, and related activities such as retail sales and food services. 

The company operates in several segments, including Park Operations, Consultancy, Contracts, Sale of Ride Components, F & B, and Other Recreational Facilities. Its parks and attractions consist of Main Parks, Wet-O-Wild, Nicco Super Bowl, and Bowlers Den New, offering a variety of family, kids, and thrill rides, as well as shows and entertainment options.  

Sinclairs Hotels Ltd

The Market Cap of Sinclairs Hotels Ltd is Rs. 536.18 crore. The stock’s monthly return is -11.03%. Its one-year return is 27.99%. The stock is 72.88% away from its 52-week high.

Sinclairs Hotels Limited, an India-based company, owns and operates hotels and resorts in various locations including Burdwan, Darjeeling, Dooars, Kalimpong, Siliguri, Gangtok, Ooty, and Port Blair. 

Specializing in the hospitality industry, the company manages a range of establishments such as Sinclairs Siliguri, Sinclairs Darjeeling, Sinclairs Retreat Dooars, Sinclairs Bayview Port Blair, Sinclairs Retreat Ooty, Sinclairs Retreat Kalimpong, Sinclairs Tourist Resort Burdwan, and Sinclairs Gangtok.  

Asian Hotels (East) Ltd

The Market Cap of Asian Hotels (East) Ltd is Rs. 232.78 crores. The stock’s monthly return is -5.30%. Its one-year return is 3.23%. The stock is 40.62% away from its 52-week high.

Asian Hotels (East) Limited, an Indian company, focuses mainly on the hotel industry with its flagship property being the five-star Hyatt Regency Kolkata located in Kolkata. 

The company is comprised of two segments: Hotel Business (East) which operates the Hyatt Regency in Kolkata, and Investments which include investments in hotels in the South, as well as a securities trading unit and a strategic investment unit.

Top High Dividend Yield Hotel Stocks under ₹500 – FAQs

Disclaimer: The above article is written for educational purposes, and the companies’ data mentioned in the article may change with respect to time. The securities quoted are exemplary and are not recommendatory.