Sobha Ltd., incorporated in the year 1995, is a Mid Cap company (having a market cap of Rs 4090.70 Crore) operating in Real Estate sector.
Financials
For the quarter ended 31-12-2020, the company reported a Consolidated Total Income of Rs 696.30 Crore, up 27.55 % from last quarter Total Income of Rs 545.90 Crore and down -22.74 % from last year same quarter Total Income of Rs 901.20 Crore. Company reported net profit after tax of Rs 21.60 Crore in latest quarter.
Investment Rationale
The brokerage maintains FY22/23E sales volume estimates of 4.7/5.0msf, respectively and retains BUY rating with an unchanged SOTP based target price of Rs505/share. Key risks to call are a slowdown in residential demand and rise in the company’s debt levels.
Promoter/FII Holdings
Promoters held 52 per cent stake in the company as of Dec 30, 2020, while FIIs held 16 per cent, DIIs 13.4 per cent and public and others 18.7 per cent
