Sunteck Realty- Jefferies says recent revamp plans to support growth, see 28% upside and maintains ‘Buy’ at Rs 555
时间:2024-06-26 12:24:24 阅读(143)
Jefferies see 28% upside potential in Sunteck Realty stocks on account of Improved growth and governance prospects. The share price of Sunteck Realty surged nearly 7% to hit a 52-week high of Rs 481.90 during the intra-day trade on Wednesday. Jefferies has maintained ‘Buy’ rating on the scrip with a revised upside target or Rs 555.
“Sunteck’s deal with IFC comes as a boost to perceived Corporate Governance for the company. The platform, alongside any affordable housing policy benefits, raise visibility on growth and land monetization. We roll forward our NAV to Sep’23 and cut our target discount to 10% from 30%, implying a target price of Rs 555,” said Jefferis in its report.
Jefferies anticipated the FY24E sales projections of Rs 2000 crore in revenue reflecting a 25% on-year growth, and builds-in new launches for the second half of the fiscal year. “As of Jun’23, Tr-4Q pre-sales of Rs 160 crore, were up 14% year-on-year. Previous launch at Mira Road (Mar’23) has done well,” said the report.
Jefferies expected the company to capitalise on the residential upcycle and said the company should get help to procure market share in Mumbai from demands for affordable and mid-income projects. “We also believe that the partnership model for growth is the right path and that the company is unlikely to seek higher gearing,” said the report.
Jefferies further cautioned about the key risks which include, “any issues such as regulatory or lockdowns which may impact project cash flows and sales pace, high exposure to Mumbai market; and interest rate risks inherent to the real estate business.”
猜你喜欢
- Wipro, Reliance Industries, Tata Motors, Bank of Baroda, Ujjivan Small Finance Bank stocks in focus
- Worst of FII outflow is behind us, the selling trend likely to slow down- B Gopkumar, MD & CEO, Axis Securities
- Kotak Securities’ stock recommendations for the day_3
- World’s largest white diamond – ‘The Rock’, goes up for auction; see stunning images
- Tread the green path- The need to decarbonize the logistics industry
- Year ahead- Oil markets may remain volatile in 2024 also
- Jefferies maintains ‘Buy’ rating on Infosys, sees 11% upside despite near term growth concerns
- This Rakesh Jhunjhunwala stock tanks 10% in 5 sessions; should you buy- Here’s what analysts say
- Yes Bank share price jumps 6% as Carlyle, Advent International to invest $1