Rakesh Jhunjhunwala bets on Viceroy Hotels

Rakesh Jhunjhunwala bets on Viceroy Hotels? Its a Bad Buy Really

 

 A lot of people get excited about some of Rakesh Jhunjhunwala's stock holdings. Not all of them are good for Investors. Viceroy Hotels is one such stock.

Jhunjhunwala holds 10% in Viceroy Hotels, but its worth only 15 Crores. Considering his overall portfolio size of over 4000 Crores, his allocation towards Viceroy Hotels is only 0.375%

Lets analyse Viceroy Hotels with a neutral and realistic view. It runs at a debt of 867 Crores with 2 Crores cash in hand. Revenue has stayed flat around 70 Crores in the last 5 years. Profits have turned into losses and has made losses in the last 3 years. Its a bad buy really. One should not blindly buy stocks, just because Jhunjhunwala holds stake in them.