Investec upbeat on India's Sunteck's upcoming real estate launches, raises PT

Sunteck Realty

19/02/2024 09:36

** Shares of real estate developer Sunteck Realty  SUNT.NS 
up 1.71% at 469.15 rupees
    ** Brokerage Investec says co's upcoming project launches in
Mumbai Metropolitan Region (MMR) to aid pre-sales growth in
coming quarters
    ** Expects unsold projects in commercial hub Bandra-Kurla
Complex BKC to start to see pickup in sales 
    ** Says co's rental income from commercial properties
expected to improve 8x-9x to 3 bln rupees ($36.2 mln) in next 3
yrs 
    ** Hikes SUNT's target price to 640 rupees from 560 rupees,
retains "buy" 
    ** SUNT's 9x P/E ratio relatively "attractive" vs
MMR-focussed peers Mahindra Lifespace Developers'  MALD.NS 
20.6x and Keystone Realtors'  KEYS.NS  17.6x - Investec
    ** All 10 analysts rating stock recommend "buy" or higher,
median TP is 565 rupees - LSEG data
    ** YTD, SUNT up 5% vs ~13% rise each in MALD and KEYS


($1 = 82.9881 Indian rupees)

 (Reporting by Hritam Mukherjee in Bengaluru)
 ((Hritam.Mukherjee@thomsonreuters.com;))