Author: Yash Bhalerao – 56
Introduction: Yatra Online Limited is a leadingbrmcorporate travel services provider and one of India’s largest online travel companies. As a key player in the travel sector, the company operates as a one-stop-shop for travelers, offering a comprehensive range of services including domestic and international air ticketing, hotel bookings, homestays, holiday packages, and bus/rail ticketing. Headquartered in Gurugram, it has established itself as a leader in serving both the leisure and business segments, focusing heavily on digital integration and a multi-channel tech platform to serve a large customer base. This report analyses Yatra Online Ltd’s stock performance and its sensitivity to the broader market index (Nifty 50).
Objective: To calculate Beta and observe its significance.
Literature review:
1: Corporate Travel Expansion and Sectoral Resilience (JM Financial, 2024) This research report provides an in-depth analysis of the Indian travel-tech ecosystem, specifically highlighting Yatra Online’s pivot toward the Business-to-Enterprise (B2E) segment. The study demonstrates that secular tailwinds and high operating leverage in the corporate travel sector provide a more predictable annuity revenue stream. It confirms that Yatra’s dominant position in corporate client acquisition helps it navigate market volatility while capturing significant growth linked to broader economic expansion.
2: Risk-Return Dynamics and Consumer Preference in OTAs (Mishra & Atulkar, 2024) This study evaluates consumer preferences towards Online Travel Agencies (OTAs) in India. It highlights that platforms like Yatra maintain competitive advantages through technological convenience, aggressive pricing strategies, and multi-channel integration. The research indicates that while consumer-facing travel brands are highly sensitive to discretionary spending and market fluctuations, their expanding digital footprint makes them high-beta assets. This suggests the stock is well-suited for investors seeking aggressive growth linked to market upswings.
Data collection: Data for Nifty 50 and Yatra Online Ltd was downloaded by nseindia.com for the period 1/1/2025 to 31/12/2025. Friday closing price for Nifty 50 and Yatra Online Ltd were calculated. Weekly returns of Nifty 50 were taken as x and Weekly return of Yatra Online Ltd were taken as y. y was regressed on x.
Data Analysis: y = 0.80 + 3.13x
The following table: N,48 R square,0.22 F,13.19 P- value,0.0007 t Stat,3.63 B,3.13
The above Equation shows the relationship between Nifty 50 and Yatra Online Ltd. Positive means their Direct relation which means if Nifty 50 stock rises Yatra Online Ltd stock rise and vice versa. If Nifty 50 stock increases by 1 unit, the Yatra Online Ltd stock increases by 3.13 unit. Number of observations is 48. t-stat for beta 3.63. The P value is 0.0007 less than 0.05 meaning Beta is statistically significant at 5% level. No. of observations are 48. R square is 0.22 meaning 22% of Yatra Online Returns is explained by Nifty 50 Returns is the error due to the variable not included in model. F is 13.19 and P value of which 0.0007 less than 0.05 meaning Beta is statistically significant at 5% level.
Conclusion: B>1, Hence invest for short term if Nifty 50 rise.
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