Market Insight: Indian Hospitality Sector Nomura has initiated coverage on **Indian Hotels Company (IHCL)** and **ITC Hotels** with **Buy** ratings, signaling a bullish outlook on the domestic hospitality landscape. The positive stance is underpinned by robust demand trends and a strategic pivot toward asset-light expansion models by major players. The brokerage forecasts sustained growth in revenue, operating margins, and cash flows over the medium term. This trajectory is expected to be driven by favorable demand-supply dynamics, as room demand continues to outpace new inventory across key markets. Furthermore, improving return ratios are anticipated to strengthen the financial profiles of both entities. The shift toward management contracts and reduced capital expenditure is projected to enhance scalability and shareholder value as the industry capitalizes on the ongoing travel upcycle. ---