Ixigo Stock Eyes 30% Upside: Anand Rathi Sets ₹200 Target on 5 High-Growth Triggers

By Akanksha Mishra 2026-10-20 15:44:48

Shares of travel technology major Le Travenues Technology Limited, the parent entity behind the online travel platform ixigo, jumped 9 percent to settle at ₹157.08 as domestic brokerage firm Anand Rathi reiterated its positive outlook on the counter. Assigning a 12-month target price of ₹200 per share—signaling an upside potential of approximately 30 percent from current trading levels—the brokerage pointed to accelerating gross transaction value (GTV) and deepening market penetration across travel verticals in the second quarter of FY27. Despite trading well below its all-time peak of ₹339.15, the Gurugram-based OTA, commanding a market capitalization of roughly ₹6,927 crore, is exhibiting strong operational momentum through multi-modal ticket distribution and cross-selling capabilities across Tier-2 and Tier-3 Indian cities.

Multi-Modal Travel Expansion: Flights, AbhiBus, and Hotel Cross-Selling Lead the Charge

The structural basis for the upgraded valuation target rests on steady market share consolidation across ixigo's diversified booking ecosystem during Q2 FY27:

Flight Ticketing Gains: The flight reservation vertical delivered a 37.2 percent year-on-year surge in GTV, supported by a 27 percent increase in average transaction value (ATV), reflecting market share gains and pricing power despite domestic seat capacity constraints across commercial airlines.
Rapid Bus Growth via AbhiBus: Ixigo’s intercity bus booking arm, AbhiBus, increased its GTV by 31.6 percent alongside a 24 percent rise in operational revenues, establishing the segment as an important growth driver across non-metro travel corridors.
Railway Ticketing Recovery: The train booking vertical recorded a GTV of ₹22.6 billion (₹2,260 crore), marking a 5.4 percent value growth and a 6.6 percent rise in passenger volumes, as booking conversion improved following systemic upgrades to railway ticketing infrastructure.
Explosive Hotel Scaling: Unveiling standalone metrics for its accommodations business, ixigo witnessed hotel GTV grow 2.6 times year-on-year to ₹1.1 billion (₹110 crore). Billed room nights expanded nearly fourfold to approximately 500,000, with more than 86 percent of reservations originating organically from its existing captive user base.

Long-Term Revenue Projections, 9.5% EBITDA Target, and Near-Term Margin Risks

Looking ahead, Anand Rathi projects the travel tech firm to clock a compound annual growth rate (CAGR) of 21.6 percent in overall GTV and 23.1 percent in revenue between FY26 and FY29. Over this investment horizon, operating leverage is expected to drive EBITDA margins to 9.5 percent by FY29, forming the analytical bedrock for the ₹200 valuation target. However, the brokerage trimmed its FY28 earnings expectations to factor in elevated growth-focused marketing spending, noting that Adjusted EBITDA slipped 17.2 percent year-on-year to approximately ₹236 million (₹23.6 crore) in the second quarter. With the hotel vertical still in its investment phase and operating at a contribution-level loss, prospective investors must balance long-term platform synergies against near-term headwinds, including macroeconomic travel softening, competitive discounting from rival OTAs, and direct booking initiatives by hotel chains.