ICICI Direct recommended Hold rating on Sunteck Realty with a target price of Rs 490 in its research report dated August 16, 2019.
ICICI Direct's research report on Sunteck Realty
Sunteck Realty (SRL) clocked sales volume growth of 93% YoY to 1.63 lsf (198 units) in Q1FY20. It achieved pre-sales worth Rs 185.8 crore (2.3% growth YoY) while collections grew 17.5% YoY to Rs 189.2 crore in Q1FY20. On the financials front, revenues recognised de-grew 17.4% YoY to Rs 174.6 crore (our estimate: Rs 158.5 crore). EBITDA margins expanded 200 bps QoQ to 34.9%. PAT de-grew 55.2% YoY to Rs 33.2 crore on account of topline de-growth and sharp contraction in EBITDA margin.
We would like to see the sales momentum panning out at its key residential projects at ODC and BKC in the current environment. Hence, we maintain our HOLD rating on the stock with a TP of Rs 490/share (1x FY20E NAV).
For all recommendations report, click here
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
The Great Diwali Discount!
Unlock 75% more savings this festive season. Get Moneycontrol Pro for a year for Rs 289 only.
Coupon code: DIWALI. Offer valid till 10th November, 2019 .