Advani Hotels & Resorts has filed a formal complaint with SEBI against InfinHub Market Technologies (MarketsMojo). The company alleges dissemination of factually incorrect financial information, including dividend payout and leverage metrics, potentially violating SEBI regulations.

Advani Hotels Files SEBI Complaint Against MarketsMojo

Advani Hotels & Resorts (India) Ltd has formally lodged a complaint with the Securities and Exchange Board of India (SEBI) against InfinHub Market Technologies, operating as MarketsMojo. The complaint centers on allegations of disseminating factually incorrect financial information about the company.

What just happened

Advani Hotels claims MarketsMojo reported a dividend payout ratio of 133.34% for FY26, whereas the company states its actual ratio is around 70%. Furthermore, the company disputes MarketsMojo's reported Interest Coverage Ratio of 27.15x, asserting it has minimal debt and negligible interest expenses.

Why this matters

This dispute highlights potential inaccuracies in third-party financial data platforms. For investors, it underscores the importance of cross-referencing information with official company disclosures and regulatory filings. The company's complaint seeks to ensure accurate financial reporting and prevent potential investor confusion caused by erroneous data.

The backstory

Advani Hotels alleges that MarketsMojo uses outdated financial data, including figures from 2008-2010, for its analysis. The company also pointed to significant and rapid shifts in MarketsMojo's ratings, such as a change from "Good" to "Hold" within 45 minutes on May 26, 2026, and from "Attractive" to "Sell" between June 2 and June 4, 2026, raising concerns about the platform's methodology and rating stability.

What changes now

The company is requesting SEBI to initiate enforcement proceedings against InfinHub Market Technologies for potential violations of SEBI (Research Analysts) Regulations, 2014, SEBI (Prohibition of Fraudulent and Unfair Trade Practices) Regulations, 2003, and Sections 12 and 12A of the SEBI Act, 1992. Advani Hotels seeks a cease and desist order against the platform publishing reports on Indian securities.

Risks to watch

Investors should be cautious about relying solely on third-party analytics platforms for investment decisions. The accuracy and stability of such platforms' data and ratings can be questionable, as alleged in this case. The outcome of SEBI's potential investigation could impact the credibility of such platforms.

Peer comparison

While specific peer data was not directly provided in the filing regarding this dispute, the company's own historical returns show a mixed performance over different periods. For instance, over a 2-year period, the stock showed a decline (-1.59%) while the sector saw substantial growth (52.29%). However, over 3 years, the stock returned 53.96% against the sector's 91.68%.

Context metrics (time-bound)

MarketsMojo's negative outlook was based on consolidated metrics for the quarter ending September 2025, which included Net Sales of Rs 15.19 crore, PAT of Rs -0.98 crore, and PBDIT of Rs -1.21 crore. The company's historical returns show a -4.65% stock return over 6 months and -14.93% over 1 year.

What to track next

Investors should monitor SEBI's response to Advani Hotels' complaint and any regulatory actions taken against InfinHub Market Technologies. It is crucial to follow official company disclosures for accurate financial information.