New Delhi, July 8 -- Morgan Stanley has reiterated its 'Overweight' rating on Schloss Bangalore, the company that owns and manages the iconic 'The Leela' brand of luxury hotels in India. The global brokerage cited strong industry tailwinds, a high-quality portfolio of luxury assets, low net debt levels, and an attractive valuation as key reasons behind its bullish stance. While acknowledging potential concentration risks, Morgan Stanley believes that with consistent execution and strategic capex deployment, The Leela could see a substantial re-rating in the coming years.

In the base case scenario, the brokerage has a target price of Rs.549, implying an upside potential of 35 percent from previous close.

Morgan Stanley said Schloss Banga...