India focused: IPO, special situations, Stylus Holdings

Himanshu Dugar

India focused: IPO, special situations

Stylus Holdings

Stylus Holdings is a buy-side equity research firm. We offer bottom-up investment ideas as well as provide on demand equity research and portfolio tracking. 
At Stylus, our focus is to identify market dislocations that can generate 20+% IRR with a reasonable margin of safety. As part of our research process, we do a deep dive into the fundamentals of the company, evaluate their competitive positioning and assess their valuation.
Our investment team is led by Himanshu Dugar. Himanshu is a Chartered Accountant and a CFA charter holder. He has 10+ years of active experience in the stock market with stints at CRISIL Research, a S&P Global copmany and Miras Investments, a single family office based in Dubai.

Equity Research Firm

Equity Bottom-Up

<ul>
<li>Revenue grew 12% YoY (₹1,642cr), while operating leverage expanded EBITDA margins to ~14%. With asset-light expansion strategy, both PAT and cash flows will be robust for FY27/28</li>
<li>The shift to asset-light/FOCO models reduced FY27 capex to ₹350cr, resulting in a ₹ 80.7cr net cash position, strong free cash flows, and the potential evaluation of corporate action.</li>
<li>FY27 PAT estimate raised to ₹340cr (from ₹290cr); supported by strong Hollywood (Spider-man-3 estimated to gross $50mn on top of Odyssey's $25mn). 3Q pipeline looks robust with regional/Hindi movies lined-up.</li>
</ul>


Revenue grew 12% YoY (₹1,642cr), while operating leverage expanded EBITDA margins to ~14%. With asset-light expansion strategy, both PAT and cash flows will be robust for FY27/28
The shift to asset-light/FOCO models reduced FY27 capex to ₹350cr, resulting in a ₹ 80.7cr net cash position, strong free cash flows, and the potential evaluation of corporate action.
FY27 PAT estimate raised to ₹340cr (from ₹290cr); supported by strong Hollywood (Spider-man-3 estimated to gross $50mn on top of Odyssey's $25mn). 3Q pipeline looks robust with regional/Hindi movies lined-up.


PVR Q1FY27 Results: In-Line Results; Can Hollywood Light Up 2Q?

<ul>
<li>2025 was a strong calendar for movie distribution as footfalls jumped 12% YoY, supported by the success in both Bollywood and Hollywood content. 2026 schedule promises to be even better.</li>
<li>PVR has reset its unit economics to deliver 30% EBITDA margins at 28% occupancy levels. Improvement to 30-32% occupancy (Pre-COVID average) can deliver a sharp boost in profitability.</li>
<li>Stock currently trades at EV/EBITDA of 8x on TTM basis for 15% EBITDA growth and a potential ROCE of 12-15%.</li>
</ul>


2025 was a strong calendar for movie distribution as footfalls jumped 12% YoY, supported by the success in both Bollywood and Hollywood content. 2026 schedule promises to be even better.
PVR has reset its unit economics to deliver 30% EBITDA margins at 28% occupancy levels. Improvement to 30-32% occupancy (Pre-COVID average) can deliver a sharp boost in profitability.
Stock currently trades at EV/EBITDA of 8x on TTM basis for 15% EBITDA growth and a potential ROCE of 12-15%.


PVR: Unit Economics Optimised, Ready for Content Cycle

<ul>
<li>FY25 was Indian boxoffice's worst performance ever (ex-covid). FY26 has started strong with multiple hits and June-Dec lineup boasts multiple action-oriented and sequel movies; genres that are witnessing high occupancy.</li>
<li>Company has strengthened its balance sheet post 'INOX' acquisition despite the revenue slump. fixed cost/screen is flat vs FY20 at 2cr while average ticket prices have grown at 5% CAGR</li>
<li>Comfortable entry level valuation (10.5x TTM EBITDA vs global peers CNK/AMC at 12/35x) supported by improved operational execution position the stock as a near term re-rating candidate.</li>
</ul>


FY25 was Indian boxoffice's worst performance ever (ex-covid). FY26 has started strong with multiple hits and June-Dec lineup boasts multiple action-oriented and sequel movies; genres that are witnessing high occupancy.
Company has strengthened its balance sheet post 'INOX' acquisition despite the revenue slump. fixed cost/screen is flat vs FY20 at 2cr while average ticket prices have grown at 5% CAGR
Comfortable entry level valuation (10.5x TTM EBITDA vs global peers CNK/AMC at 12/35x) supported by improved operational execution position the stock as a near term re-rating candidate.


PVRINOX IN: Tactical Bet - Strong Content Pipeline Can Translate to near Term Outperformance

Market & Forensics Analyst, Beat the Street

Nimish Maheshwari

Market & Forensics Analyst

Beat the Street

Beat The Street was founded by Nimish Maheshwari and Sudarshan Bhandari, both of whom are Chartered Accountants by Profession, known for their expert analysis in the fields of Business, Sectoral analysis, and Corporate governance.

With a strong social media presence of 45,000+ Subscribers across various platforms, they are considered trusted voices in the industry. Their insights and analysis have been featured in some of India’s most prominent publications, including the Economic Times, Dalal Street Investment Journal, The Morning Context, and The Ken.

Their analysis on Bankrupt & Insolvent companies has been instrumental in saving investors from significant losses. They have a keen eye for identifying red flags and has identified exclusive redflags earlier in Vedanta, Nykaa, Dhani Services, Adani and many more.

Read Business Not Stock Prices

<ul>
<li>PVR INOX, India’s leading cinema chain, cut FY26 net debt toINR 161 crore from INR 952 crore, doubled pre-Ind AS EBITDA margin to 14.4%, and reduced capex intensity 24%.</li>
<li>The company can now fund its planned 120-screen FY27 expansion through internal cash rather than debt, materially improving the balance-sheet risk profile.</li>
<li>Deleveraging is visible, but occupancy remains below pre-COVID levels and the stock has re-rated. Future returns depend on footfalls, margins and execution.</li>
</ul>


PVR INOX, India’s leading cinema chain, cut FY26 net debt toINR 161 crore from INR 952 crore, doubled pre-Ind AS EBITDA margin to 14.4%, and reduced capex intensity 24%.
The company can now fund its planned 120-screen FY27 expansion through internal cash rather than debt, materially improving the balance-sheet risk profile.
Deleveraging is visible, but occupancy remains below pre-COVID levels and the stock has re-rated. Future returns depend on footfalls, margins and execution.


PVR Inox: The OTT Threat Is Played Out, Growth Is Back

India Equity Analyst - Fundamental & Thematic, Beat the Street

Sudarshan Bhandari

India Equity Analyst - Fundamental & Thematic

<ul>
<li>PVR INOX stock surged ~8% ahead of Dhurandhar: The Revenge(19-Mar-26), then reversed sharply on release day itself, repeating a cycle visible across KGF Chapter 2 (April 2022) and Pushpa 2.</li>
<li>The pre-release run-up systematically prices in blockbuster occupancy that rarely sustains beyond two weeks, creating structural mispricings that informed traders have exploited repeatedly and that long-only holders consistently overstay.</li>
<li>Despite management’s efforts to optimize costs, the business remains fundamentally binary; without consistent string of 'mega-hits' to counter the OTT shift, the high-fixed-cost model struggles to find a sustainable floor.</li>
</ul>


PVR INOX stock surged ~8% ahead of Dhurandhar: The Revenge(19-Mar-26), then reversed sharply on release day itself, repeating a cycle visible across KGF Chapter 2 (April 2022) and Pushpa 2.
The pre-release run-up systematically prices in blockbuster occupancy that rarely sustains beyond two weeks, creating structural mispricings that informed traders have exploited repeatedly and that long-only holders consistently overstay.
Despite management’s efforts to optimize costs, the business remains fundamentally binary; without consistent string of 'mega-hits' to counter the OTT shift, the high-fixed-cost model struggles to find a sustainable floor.


The Blockbuster Trap:  How Big-Release Hype Creates Short-Term Tops in PVR INOX?

India

PVR Inox is India's largest film exhibition company, operating a vast network of multiplex cinemas across India and Sri Lanka. The company generates revenue through movie ticket sales, food and beverage sales, in-cinema advertising, and also engages in film distribution and production. PVR Inox is headquartered in Gurugram, India, and was founded in 1991.

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PVR Inox (PVRINOX IN)

PVR Q1FY27 Results: In-Line Results; Can Hollywood Light Up 2Q?

With record collections for Odyssey/ Spider Man-3, Hollywood has set the base for strong nearterm outperformance. Weakness in regional releases...

Himanshu Dugar

PVR: Unit Economics Optimised, Ready for Content Cycle

Hollywood blockbuster 'The Odyssey' is breaking Indian cinema records with a 60cr opening weekend. PVR operates 26 of the 34 IMAX screens in India...

Himanshu Dugar

PVRINOX IN: Tactical Bet - Strong Content Pipeline Can Translate to near Term Outperformance

Indian box office saw its worst performance in FY25, but FY26 is off to a strong start with action movies and sequels driving high occupancy....

Himanshu Dugar

PVR Inox: The OTT Threat Is Played Out, Growth Is Back

India's top cinema chain PVR INOX significantly reduces debt, improves margins, and plans expansion without relying on debt, but future success...

Nimish Maheshwari

The Blockbuster Trap: How Big-Release Hype Creates Short-Term Tops in PVR INOX?

Stocks of PVR INOX surge pre-release but sharply reverse on release day, highlighting unsustainable blockbuster occupancy and the struggle to...

Sudarshan Bhandari

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52-week Range

Market Cap (USDm)

P/E

Dividend (Yield)

PVR Q1FY27 Results: In-Line Results; Can Hollywood Light Up 2Q?

With record collections for Odyssey/ Spider Man-3, Hollywood has set the base for strong nearterm outperformance. Weakness in regional releases...

Himanshu Dugar

PVR: Unit Economics Optimised, Ready for Content Cycle

Hollywood blockbuster 'The Odyssey' is breaking Indian cinema records with a 60cr opening weekend. PVR operates 26 of the 34 IMAX screens in India...

Himanshu Dugar

PVRINOX IN: Tactical Bet - Strong Content Pipeline Can Translate to near Term Outperformance

​Indian box office saw its worst performance in FY25, but FY26 is off to a strong start with action movies and sequels driving high occupancy....

Himanshu Dugar

PVR Inox: The OTT Threat Is Played Out, Growth Is Back

​India's top cinema chain PVR INOX significantly reduces debt, improves margins, and plans expansion without relying on debt, but future success...

Nimish Maheshwari

The Blockbuster Trap: How Big-Release Hype Creates Short-Term Tops in PVR INOX?

​Stocks of PVR INOX surge pre-release but sharply reverse on release day, highlighting unsustainable blockbuster occupancy and the struggle to...

Sudarshan Bhandari

Indian box office saw its worst performance in FY25, but FY26 is off to a strong start with action movies and sequels driving high occupancy....

India's top cinema chain PVR INOX significantly reduces debt, improves margins, and plans expansion without relying on debt, but future success...

Stocks of PVR INOX surge pre-release but sharply reverse on release day, highlighting unsustainable blockbuster occupancy and the struggle to...