Amazing breakout on WEEKLY Timeframe - LEMONTREECheckout an amazing breakout happened in the stock in Weekly timeframe, macroscopically seen in Daily timeframe. Having a great favor that the stock might be bullish expecting a staggering returns of minimum 25% TGT. IMPORTANT BREAKOUT LEVELS ARE ALWAYS RESPECTED!
NOTE for learners: Place the breakout levels as per the chart shared and track it yourself to get amazed!!
#No complicated chart patterns
#No big big indicators
#No Excel sheet or number magics
TRADE IDEA: WAIT FOR THE STOCK TO BREAKOUT IN WEEKLY TIMEFRAME ABOVE THIS LEVEL.
Checkout an amazing breakout happened in the stock in Weekly timeframe.
Breakouts happening in longer timeframe is way more powerful than the breakouts seen in Daily timeframe. You can blindly invest once the weekly candle closes above the breakout line and stay invested forever. Also these stocks breakouts are lifelong predictions, it means technically these breakouts happen giving more returns in the longer runs. Hence, even when the scrip makes a loss of 10% / 20% / 30% / 50%, the stock will regain and turn around. Once they again enter the same breakout level, they will flyyyyyyyyyyyy like a ROCKET if held in the portfolio in the longer run.
Time makes money, GREEDY & EGO will not make money.
Also, magically these breakouts tend to prove that the companies turn around and fundamentally becoming strong. Also the magic happens when more diversification is done in various sectors under various scripts with equal money invested in each N500 scripts.
The real deal is when to purchase and where to purchase the stock. That is where Breakout study comes into play.
LET'S PUMP IN SOME MONEY AND REVOLUTIONIZE THE NATION'S ECONOMY!
LEMONTREE trade ideas
Key Support / Resistance Breakout - Swing TradeDisclaimer: I am not a Sebi registered adviser.
This Idea is publish purely for educational purpose only before investing in any stocks please take advise from your financial adviser.
Key Support & Resistance Breakout. Stock has give Breakout of Resistance level. Keep in watch list. Buy above the high. Suitable for Swing Trade. Stop loss & Target Shown on Chart.
Be Discipline because discipline is the Key to Success in the STOCK Market.
Trade What you see not what you Think.
Lemon Tree hotel: , breakout awaited for 3rd wave rallyAnalysis:
- Wave Structure:
- From March 2020 low of ₹16, the stock has completed a 5-wave Elliott Wave pattern, peaking at ₹158 (all-time high).
- Currently in an ABC correction, likely the second corrective wave of the primary wave cycle.
- Breakout Confirmation:
- A price breakout above ₹158-160 (ATH) will confirm the start of the third primary wave, which is typically the strongest upward wave.
- Target for Wave 3: Minimum reasonable target is ₹226.
Here’s a clear summary of the current Elliott Wave analysis for Lemon Tree Hotels (LTH):
- 1st Primary Wave: The stock completed its 1st primary wave consisting of 5 intermediate waves as shown in chart number marked in white color, which started at ₹16 in March 2020 and peaked at ₹158 (all-time high).
- 2nd Primary Wave: Currently, the price is in the 2nd primary wave, which is a corrective phase.
- This correction is forming an ABC flat pattern, where the stock is consolidating before the next move.
- What’s Next?:
- If the price breaks out above ₹158-160 (ATH), it will confirm the start of the 3rd primary wave, which is typically the strongest upward trend in Elliott Wave theory.
- The minimum target for the 3rd primary wave is estimated at ₹226.
This structure aligns with Elliott Wave principles, where corrections after major rallies provide opportunities for the next bullish trend
my Action : I will definitely wait for breakout from 158 to 160 for conformation, those who are already invested be in the game ,and it would be prudent to wait for breakout those who want to be in the game
Positive Fundamentals:
- Strong Industry Growth: Increasing demand in the Indian hospitality sector, driven by domestic travel and rising disposable incomes.
- Market Leadership: Lemon Tree is one of the largest hotel chains in the mid-market and economy segments in India, with a growing brand presence.
- Expansion Plans: Aggressive expansion with new properties and partnerships, including asset-light models, ensuring long-term growth potential.
- Operating Leverage: Improved operational performance due to higher occupancy rates and RevPAR (Revenue per Available Room).
- Post-COVID Recovery: Strong recovery in travel and tourism after the pandemic, boosting revenue and profitability.
- Cost Control: Efforts to reduce debt and improve margins through operational efficiency.
Negative Fundamentals:
- High Debt Levels: Significant debt on the balance sheet, increasing interest costs and financial risk.
- Sector Sensitivity: The hotel industry is cyclical and sensitive to economic slowdowns, inflation, or geopolitical issues.
- Competition: Intense competition from other established hotel chains and new players, especially in the mid-market segment.
- Vulnerability to Disruptions: Any resurgence of pandemics or global uncertainties could adversely impact occupancy rates and revenues.
- Capex Heavy Model: Expansion plans require heavy capital investments, which could stretch financials if growth does not meet expectations.
This balanced view gives you a clear perspective on the company's strengths and challenges.
Fundamental Positives (Numbers):
1. Revenue Growth: Strong recovery post-pandemic, with revenue growing by over 25% YoY in FY2024.
2. Operating Efficiency: EBITDA margins improving; EBITDA/EV ratio is 25.73, reflecting better cost management.
3. Return on Equity (ROE): Healthy at 12.11%, indicating good returns for shareholders.
4. Asset Turnover Ratio: Improved to 0.29, showing better utilization of assets compared to prior years.
5. Market Position: Lemon Tree is the largest player in the mid-market segment, driving consistent long-term growth.
Fundamental Negatives (Numbers):
1. High Debt Levels:
- Debt-to-Equity Ratio: 1.42, indicating a heavy reliance on debt, though slightly better than prior years.
- Debt/EBITDA Ratio: 4.03, showing significant debt pressure relative to earnings.
2. Valuation Concerns:
- PE Ratio: Elevated at 77.16, suggesting the stock is expensive compared to earnings.
- PB Ratio: High at 11.51, indicating a steep valuation compared to its book value.
3. Liquidity Constraints:
- Quick Ratio: Weak at 0.31, reflecting short-term liquidity challenges.
4. Sector Sensitivity: Highly vulnerable to economic and travel disruptions due to cyclical nature of the hospitality sector.
DISCLAIMAR : Not SEBI registered , On Good to Know basis or Know your chart category type, due diligence required
Lemon TreeLemon Tree
MTF Analysis
Lemon TreeI Yearly Demand BUFL 103.5
Lemon TreeI 6 Month Demand BUFL 103.5
Lemon TreeI Qtrly Demand BUFL 103.5
Lemon TreeI Monthly Demand BUFL 126.8
Lemon TreeI Weekly DMIP 125
Lemon TreeI Daily DMIP 125
ENTRY 125
SL 114
RISK 11
Target 191
REWARD POINT 66
Last High 158
RR 6.00
RR 53%
Ascending triangle pattern on LEMONTREELEMONTREE formed an ascending triangle pattern on daily chart. With multiple support and resistance tested. Price broke out of resistance today with strong volume. Also note the low volume during consolidation and when price goes down indicating sellers are not willing to sell at lower price. This forms a good support for long opportunity. Moreover, the momentum has been on rise on every swing with a gap up on breakout indicating bulls are out there. Ideal risk reward with stop just below last breakout candle low.
Hope you like this idea, if so please boost this idea or leave a comment below on what you think. I'll be glad to hear from you. otherwise happy trading :-)
LEMONTREE- AnalysisEntry above 138 safe can buy when closes above 151 small Stoploss 123 or as per your risk Management
Expect target 168 , 201, 237, 276 strong level then 316
Keep trailing stoploss when in profit as per your risk management .
Kindly do your due diligence before trading or investment
*Comment or message me if you wish to see my analysis for any stocks.
**Disclaimer -
I am not a SEBI registered analyst or advisor. I does not represent or endorse the accuracy or reliability of any information, conversation, or content. Stock trading is inherently risky and the users agree to assume complete and full responsibility for the outcomes of all trading decisions that they make, including but not limited to loss of capital. None of these communications should be construed as an offer to buy or sell securities, nor advice to do so. The users understands and acknowledges that there is a very high risk involved in trading securities. By using this information, the user agrees that use of this information is entirely at their own risk.
Thank you.
BUY TODAY SELL TOMORROW for 5%DON’T HAVE TIME TO MANAGE YOUR TRADES?
- Take BTST trades at 3:25 pm every day
- Try to exit by taking 4-7% profit of each trade
- SL can also be maintained as closing below the low of the breakout candle
Now, why do I prefer BTST over swing trades? The primary reason is that I have observed that 90% of the stocks give most of the movement in just 1-2 days and the rest of the time they either consolidate or fall
Trendline Breakout in LEMONTREE
BUY TODAY SELL TOMORROW for 5%
LEMON TREE HOTELS NSE:LEMONTREE (1D)
CMP 121.45
• Company is Expanding Business Aggressively
• Opening new Hotels at various Prime locations
• Lemon Tree Hotels launches its 100th property with the opening of Lemon Tree Premier, Malad , Mumbai
• Lemon Tree Hotels has opened a new hotel in Hisar, Haryana . This hotel features 49 well-appointed rooms, a restaurant, two bars, banquet spaces, a swimming pool and other public areas
• Lemon Tree Hotels has signed a License Agreement for a 80 rooms property in Kundapura, Karnataka under the Company's brand "Lemon Tree Hotels". The hotel is expected to be operational by FY2027
• Lemon Tree Hotels launches its eighth property in Karnataka with Lemon Tree Hotel, Hubli . The property features 65 well-appointed rooms and suites, complemented by a multi-cuisine restaurant, spa, swimming pool and other public areas
• Lemon Tree Hotels has signed a License Agreement a 50 rooms property in Visakhapatnam, Andhra Pradesh under the Company's brand "Red Fox Hotels". The hotel is expected to be operational by FY 2026
• Lemon Tree Hotels has signed a License Agreement for a 49 rooms property in Kasauli, Himachal Pradesh under the Company's brand "Lemon Tree Hotels". The hotel is expected to be operational by FY 2025
• Lemon Tree Hotels has signed a License Agreement for a 72 rooms property in Badrinath, Uttarakhand under the Company's brand "Lemon Tree Hotel". The hotel is expected to be operational by FY 2025
• Lemon Tree Hotels has signed a Franchise Agreement for upcoming hotel in Vadodara, Gujarat under the Company's brands Keys Select by Lemon Tree Hotels'. The hotel will feature 45 well-appointed rooms and is expected to be operational in FY26
• Lemon Tree Hotels: The License Agreement for Keys Prima, Aketa, a 40 room Hotel, operated under the Company's brand has been terminated with the mutual consent of all the parties. The aforesaid hotel earned total income of Rs 25 lakhs during FY23
• Lemon Tree Hotels has signed a Franchise Agreement for an upcoming Hotel under the Company's brand- Lemon Tree Resort at Somnath, Gujarat . The Hotel will feature 52 well-appointed rooms and is expected to be operational in FY 2025
• Lemon Tree has opened the third property under Lemon Tree umbrella in Himachal Pradesh at McLeodganj . This hotel is a franchised property and it features 39 well-appointed rooms
• Lemon Tree Hotels launches its eighth property in Uttarakhand with Lemon Tree Hotel, Haridwar . The property features 44 well-appointed rooms and suites.
Sector : Hospitality
Industry : Hotel, Resort & Restaurants
Market Cap : 9,613.91 cr.
Category : Small Cap
PE : 73.92
Industry PE : 54.73
PEG : 1.43
About Company
Lemon Tree Hotels is engaged to carry out business of developing, owning, acquiring, operating, managing, renovating and promoting hotels, motels, resorts, restaurants, etc. under the brand name of Lemon Tree Hotel, Lemon Tree Premier, Red Fox Hotel, Aurika, Keys Select, Keys Prima and Keys Lite.
The company was incorporated as "P.M.G Hotels Private Limited on June 2, 1992, as a private limited company under the Companies Act 1956, at New Delhi, with a certificate of incorporation granted by the RoC. Pursuant to a resolution of its shareholders dated December 13, 2002, the name of the company was changed to "Krizm Hotels Private Limited" and a fresh certificate of incorporation dated January 7, 2003 was issued by the RoC. Further, pursuant to a resolution of its shareholders dated June 2, 2010, the name of the company was changed to "Lemon Tree Hotels Private Limited" and a fresh certificate of incorporation consequent to change in name was issued by the RoC on June 10, 2010. On the conversion of the company to a public limited company pursuant to a resolution passed by its shareholders on September 29, 2012, its name was changed to "Lemon Tree Hotels Limited and a fresh certificate of incorporation dated October 22, 2012 was issued by the RoC.
Lemon Tree Hotels Limited (LTH) is India's largest hotel chain in the mid-priced hotel sector. It operates in the upscale segment and in the mid-priced sector, consisting of the upper-midscale, midscale and economy segments. It delivers differentiated yet superior service offerings, with a value-for-money proposition. LTH opened its first hotel with 49 rooms in May 2004 (including Keys hotels) across many cities under its various brands viz. Aurika Hotels & Resorts, Lemon Tree Premier, Lemon Tree Hotels, Red Fox Hotels, Keys Prima, Keys Select and Keys Lite.
Lemon Tree Hotels, including Keys Hotels, are located across India, in metro regions, including the NCR, Bengaluru, Hyderabad, Mumbai, Kolkata and Chennai, as well as tier I and tier II cities such as Pune, Ahmedabad, Chandigarh, Jaipur, Indore, Aurangabad, Udaipur, Vishakhapatnam, Kochi, Ludhiana, Thiruvananthapuram and Vijayawada. The company expanded internationally with the launch of the hotel in Dubai in December 2019 and Bhutan in February 2020. New hotels are also opening internationally in Nepal.
Business area of the company
Lemon Tree Hotels is engaged to carry out business of developing, owning, acquiring, operating, managing. renovating and promoting hotels, motels, resorts, restaurants, etc. under the brand name of Lemon Tree Hotel, Lemon Tree Premier, Red Fox Hotel, Aurika, Keys Select, Keys Prima and Keys Lite
Brands
• Aurika Hotels and Resorts
• Lemon Tree Premier
• Lemon Tree Hotels
• Red Fox Hotels
• Keys Prima
• Keys Select
• Keys Lite
$LEMONTREE - Cup with handle BOAs seen on the chart, NSE:LEMONTREE has formed a nice U-shaped Cup,
The stock was in an uptrend before forming Cup
Took 38 weeks to form the complete pattern.
27 weeks for Cup with a correction of ~27%
11 weeks for Handle with a correction of ~10%
Volume dried up during the initial part of the cup and handle.
But was good when coming out of the cup and also at the BO of the handle.
There is a high probability that this pattern will be successful.
With regard to quarterly results,
Total revenue was INR ~222 crores, which increased 16.8% year-on-year.
The net EBITDA margin in Q1 stood at ~47%
The PAT grew by 103% year-on-year from INR 13.6 crores to INR 27.5 crores.
Disc - invested, for educational purposes only
Another similar setup was with Finolex Cables and Va Tech Wabag Ltd
#LEMONTREE 102 TGT 120/125 - Buy - Rachit SethiaLEMONTREE
CMP 102
Target 120/125+
#LEMONTREE
LEMONTREE
SL 88
RR = 2
Factors: BULLISH WEDGE BREAKOUT Trend Following Rising Volume with rising Prices. Flag pattern breakout. Pennant Pattern Breakout with Bullish Candle. Retest Successful. Higher Highs & Higher Lows. Broken above RESISTANCE levels Trading at SUPPORT levels Earnings are strong. Bullish Wedge Breakout Risk Return Ratio is healthy. And Rising from Double Bottom Pattern to Flag Pattern forming. If you like my work KINDLY LIKE SHARE & FOLLOW this page for free Stock Recommendations. With 💚 from Rachit Sethia
Lemon Tree Hotels Ltd.*_Lemon Tree Hotels Ltd _*
C&H Formation on Yearly Basis.
Strong Price BreakOut & Sustained.
Resistance @102. Crossed & Sustained. Then Good to Go!!!
Strong Vol. Consolidation & Continued BuiltUp.
Trail SL with Upside.
Book Profit as per Risk Appetite.
Growing Revenue / Profits: Yearly Basis.
Continued Double Digits Stake of FIIs / DiIs.
1-2 Qtrs to be watched. Debt Reduction required. Low Promoter Stake.
Do Your Own Research as well. This is an Opinion.
Happy Investing 😇