Time period given by analyst is one year when Sunteck Realty Ltd. price can reach defined target.
Sunteck Realty Ltd., incorporated in the year 1981, is a Mid Cap company (having a market cap of Rs 6431.11 Crore) operating in Real Estate sector.
Sunteck Realty Ltd. key Products/Revenue Segments include Income from Sale of Commercial Flats, Shops & Plots, Other Operating Revenue, Rent, Sale of services and Project Management Fees for the year ending 31-Mar-2020.
Financials
For the quarter ended 30-06-2021, the company reported a Consolidated Total Income of Rs 96.12 Crore, down -50.63 % from last quarter Total Income of Rs 194.67 Crore and up 39.49 % from last year same quarter Total Income of Rs 68.91 Crore. Company reported net profit after tax of Rs 4.39 Crore in latest quarter.
Investment Rationale
Sunteck Realty (SRIN) has announced a new residential project acquisition of 10msf in Shahad, located in Mumbai Metropolitan Region’s (MMR) extended Eastern suburbs. The project has been acquired under the asset light JDA model in which SRIN may have 75-80% revenue share. Assuming development over FY24-35E, we estimate gross revenue of Rs91.2bn (SRIN share at Rs72.6bn) with pre-tax operating surplus of Rs26.6bn and NAV accretion of Rs14.4bn (Rs103/share). The brokerage maintains BUY rating on SRIN with a revised target price of Rs580/share (earlier Rs475) based on 1x NAV incorporating the new Shahad acquisition.
Promoter/FII Holdings
Promoters held 67.2 per cent stake in the company as of June 30, 2021, while FIIs held 21.3 per cent, DIIs 4 per cent and public and other 7.5 per cent.
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