- Stock rallied >11% intraday, up ~60% in three sessions.
- Heavy bulk‑deal buying by Arthkumbh, Share India, Mansukh, Jainam brokers at ~₹9.4 per share.
- Company announced a up‑to‑₹500 cr equity raise to fuel hotel & holiday verticals.
- Q3FY26 profit plunged to ₹5.85 cr from ₹33.6 cr a year earlier, while revenue stayed flat.
- Promoter stake stands at 47.7%; peers are expanding via tech upgrades and acquisitions.
You missed the 11% jump in Easy Trip Planners? That’s the kind of move most traders overlook.
Why Easy Trip Planners' Momentum Matches the Travel‑Tech Upswing
India’s online travel‑tech market is projected to grow at a compound annual growth rate (CAGR) of over 15% through 2028, driven by rising middle‑class disposable income and a surge in domestic tourism post‑COVID. Easy Trip Planners (ETP) sits at the intersection of two high‑margin segments: hotel bookings and holiday packages. The company’s recent 11% intraday rally is not an isolated blip; it reflects broader sector optimism that investors are pricing in a shift from pure flight aggregation to end‑to‑end travel experiences.
Bulk Deal Activity: What the NSE Data Reveals About Smart Money
On February 17, NSE bulk‑deal records showed four broker‑level participants moving roughly 17 million shares at an average price of ₹9.40. In market‑microstructure terms, “bulk deals” are block trades over 0.5% of a stock’s free‑float, typically executed by institutions or high‑net‑worth individuals. The fact that Arthkumbh Ventures, Share India Securities, Mansukh Securities & Finance, and Jainam Broking all bought at similar price points signals coordinated confidence. Notably, Share India simultaneously sold a similar volume at ₹9.36, indicating a possible “wash‑sale” strategy to lock in short‑term gains while maintaining a long position.
Fundraising Roadmap: How a ₹500 Cr Capital Raise Could Reshape the Business
ETP’s board approved an equity‑centric raise of up to ₹500 crore. The company may deploy any combination of rights issue, qualified institutional placement (QIP), preferential issue, or private placement. A rights issue offers existing shareholders the right to buy new shares at a discount, protecting ownership dilution. A QIP allows listed companies to raise capital from qualified institutional buyers without a full prospectus, speeding execution. The capital is earmarked for three pillars:
- Scaling high‑margin hotel and holiday verticals, where gross margins exceed 30%.
- Technology upgrades – AI‑driven pricing engines and a unified booking platform.
- Strategic acquisitions that can add supply depth or new geographic footprints.
Historically, travel‑tech firms that paired capital infusion with tech upgrades (e.g., MakeMyTrip’s 2022 QIP) saw share price multiples expand by 2‑3× within 12‑18 months. If ETP executes similarly, the current 25% gap to its 52‑week high of ₹14.02 could narrow quickly.
Sector Context: Indian Travel‑Tech Landscape and Peer Comparison
Key peers—MakeMyTrip, Yatra, and the larger conglomerate Tata’s travel arm—are all in the midst of diversification drives. Tata’s recent acquisition of a boutique holiday operator added ₹1,200 crore of incremental revenue, pushing its EBITDA margin from 12% to 16% YoY. MakeMyTrip, after a ₹400 crore QIP in 2023, reported a 22% jump in hotel‑segment contribution. Compared to these, ETP’s promoter stake of 47.7% is relatively high, suggesting alignment of interests but also limiting free‑float liquidity. The company’s flat revenue (₹151.65 cr vs ₹150.56 cr YoY) signals a near‑term plateau, but the targeted verticals promise higher margin expansion than the low‑margin flight‑booking core.
Historical Echoes: Past Capital Raises and Stock Reactions
Looking back, ETP (then operating under the EaseMyTrip brand) raised ₹200 crore via a private placement in FY2022. The stock jumped 38% in the week following the announcement, then steadied to a 12‑month high. Conversely, a 2019 rights issue of ₹150 crore coincided with a 9% price dip, as the market questioned dilution risk. The key differentiator this time is the explicit focus on “high‑margin” verticals and technology, which mitigates dilution concerns in the eyes of growth‑oriented investors.
Investor Playbook: Bull vs. Bear Cases for Easy Trip Planners
Bull Case: The ₹500 cr fundraise fuels rapid expansion into hotel and holiday segments, lifting gross margins to 30%+ within 18 months. Coupled with AI‑driven pricing, operating expense ratio falls, translating to EBITDA multiple expansion from 6× to 10×. Bulk‑deal buying indicates institutional backing, and the stock could retest its 52‑week high within a year.
Bear Case: Profitability contraction (net profit down ~83% YoY) may signal deeper pricing pressure or operational inefficiencies. If the capital raise is executed via a heavily discounted rights issue, dilution could erode EPS, pressuring the share price. Additionally, a resurgence of travel‑related COVID‑variant restrictions could blunt demand for holiday packages, leaving the company over‑leveraged.
Bottom line: The 11% surge is a market signal that smart money sees upside potential, but the upcoming capital raise and thin profitability margins create a classic risk‑reward trade‑off. Investors should weigh the growth narrative against dilution and execution risk before deciding on a position.