Up 389% in 3 years, this Tata Group stock can be a good buy on hospitality sector boom

Amid a time when equities world over are largely seeing bullish trend with some intermittent threats such as the latest hike in the oil prices, you as an investor may be scouting out for some quality picks. So, as the Tata Group is a trusted name, here is a Tata group scrip that you can choose for one year as the fundamental pick.

Kushal Gupta, Research Analyst at Zee Business is bullish on the stock, here are the rationales

Festive and wedding season demands to give a push to the counter which has been performing consistently. On a year-to-date basis, the stock has recorded 52 per cent gains.

Also, the analysts iterated that when it comes to booking, premium hotels see bookings to be filled at first.

The call on the stock is also given amid the festivities.

Note the stock's likely gains are perceived despite it being deemed as overvalued. The stock is currently trading at a high trailing twelve month PE of 73.5 which is high in the industry.

Targets given for Indian Hotels

The analyst has pegged the target on the stock at Rs 780 for a 12-month period, implying decent gains of 18 per cent.

Indian Hotels share price performance

The stock on Monday (August 26) marked its fresh high of Rs 669.85 per share.

Indian Hotels also suggested as a technical pick

The stock is given  a buy call for 2-3 days for a target of Rs 700 per share, suggesting 6 per cent gains.