Sterling Holiday can move to Rs 110: Tater

Aashish Tater, Head of Research of Fort Share Broking feels that Sterling Holiday Resorts can move to Rs 110.

Tater told CNBC-TV18, "Sterling Holiday Resorts core operation has suddenly turned EBITDA positive. Almost everyone in the service industry wants atleast one holiday in a year and wants to go to resorts. Thanks to rupee getting bashed to 56-57 levels, we feel there will be a lot of potentials for our hill stations. We feel, for the next three-four year perspective, there will be lot of demand."
He further added, "Given that the company, right now, is on expansion stage, that's why looking at the bottomline would not be much of significance. The expansion is around 247 rooms to be starting from next Q3. The total chain is going to go to 1,629. So, thus looking at this particular, valuation we feel atleast Rs 110 on the stock is on cards from the next one-year perspective." Disclosure: Safe to assume stock recommended to clients but no personal position.