Betting on India’s travel boom? Motilal Oswal sees TBO Tek and Ixigo as key beneficiaries

Motilal Oswal is bullish on India's online travel sector, projecting the market to expand from approximately INR 2.1 trillion in FY23 to INR 3.8 trillion by FY28, a CAGR of around 13 percent, with digital penetration rising to nearly 65 percent. The brokerage maintains a BUY on TBO Tek with a target price of 1765, citing 83 percent YoY revenue growth in Q4FY26 aided by Classic Vacations consolidation and expected revenue/EBIT/PAT CAGR of 37/35/30 percent over FY25-28E. For Ixigo (Le Travenues Technology), the second-largest OTA by FY26 GTV of about INR 187 billion, a target price of 217 is indicated, with rising disposable incomes, AI-led personalization, and M&A consolidation cited as key structural tailwinds.