Sobha Ltd.

NSE: SOBHA | BSE: 532784 | ISIN: INE671H01015 | Industry: Realty
| Mid-range Performer
1511.9000 -3.00 (-0.20%)
NSE Oct 03, 2025 09:24 AM
Volume: 6,704
 

logo
Sobha Ltd.
21 May 2019
1511.90
-0.20%
HDFC Securities
SDL has ~17.5mn sqft of unsold area in ongoing projects and expects to add 4.2mn sqft from new projects in the pipeline. A well diversified product mix across different regions augurs well for pre-sales recovery. Brand pull will certainly aid pre-sales efforts. Despite capex commitment of Rs 10bn we expect consolidated net D/E to reduce to 0.9x by FY21E (vs. 1.09x now). The contracting business is seeing good growth with an order book of Rs 26bn. We maintain BUY. Key risks: (1) Further deterioration in NBFC liquidity, (2) Higher interest rate, (3) Weak order inflow in the contracting business; and (4) Delay in regulatory approvals. We maintain BUY post a robust quarter. Our SOTP-based TP has increased to Rs 652 (vs Rs 646 earlier). We have increased our EPS estimate by 3/3.3% for FY20/21E.
Sobha Ltd. has gained 23.26% in the last 6 Months
More from Sobha Ltd.
Recommended