India's Oberoi Realty hits record high after Nomura starts with 'buy'

Oberoi Realty

04/12/2024 09:47

** Shares of real estate firm Oberoi Realty  OEBO.NS  surge 4.6%
to a record high of 2,155.05 rupees
    ** Nomura initiates stock with "buy" rating and PT of 2,500
rupees, second-highest of Street coverage after Antique
Broking's 2,688 rupees - LSEG data
    ** Nomura's PT is 21% premium to stock's last close
    ** Says co benefits from lower land costs and higher revenue
generation in Goregaon, Andheri East development projects
    ** Adds co has multiple high-margin projects in inventory
and its new launch pipeline will support core profit margins for
residential business till end-FY26
    ** Overall hotel revenue will record a 35% CAGR over FY24-27
as businesses become operational - Nomura
    ** Expects FY25 pre-sales of 68 bln rupees, 71% y/y growth
    ** OEBO up ~49% YTD 

 (Reporting by Manvi Pant in Bengaluru)
 ((Manvi.Pant@thomsonreuters.com; +918447554364;))