I-Sec maintains Add on Sobha, raises target price to Rs 1,519
Agencies
Sobha, incorporated in 1995, is a Mid Cap company with a market cap of Rs 16191.90 crore, operating in the Real Estate sector.
Financials
For the quarter ended 31-03-2025, the company has reported a Consolidated Total Income of Rs 1270.73 crore, up 1.10% from last quarter Total Income of Rs 1256.88 crore and up 60.60 % from last year same quarter Total Income of Rs 791.25 crore. The company has reported net profit after tax of Rs 40.86 crore in the latest quarter.
Live Events
Investment Rationale
Sobha clocked FY25 sales bookings of 4.7msf worth INR 62.8bn (decline of 23% YoY in volume terms and 6% in value terms), in spite of the company launching over 8msf of new projects in FY25. Heading into FY26, management is confident of achieving ~INR100bn of gross sales bookings driven by ~5msf of unreleased inventory having GVD of Rs 74 billion in ongoing projects and forthcoming launches of ~19msf with GDV of Rs 265 billion, of which management expects to launch ~8?9msf in FY26. Hence, ICICI Securities revised its FY26?27 sales bookings estimate upwards by ~10% and model for sales bookings of Rs 96 billion in FY26E and Rs 109 billion in FY27E. The brokerage retains its ADD rating with a revised Mar?25 SoTP-based target price of Rs 1,519 (earlier Rs 1,366) at a 20% premium to NAV, factoring in balance rights issue proceeds. Key risks: Lower price growth and residential demand slowdown.
Promoter/FII Holdings
Promoters held 52.88 per cent stake in the company as of 31-Mar-2025, while FIIs owned 8.91 per cent, DIIs 23.97 per cent.
(You can now subscribe to our
(You can now subscribe to our ETMarkets WhatsApp channel ICICI Securities maintains Add call on Sobha with a revised target price of Rs 1519 (earlier Rs 1,366). The current market price of Sobha Ltd. is Rs 1672.75 .Sobha, incorporated in 1995, is a Mid Cap company with a market cap of Rs 16191.90 crore, operating in the Real Estate sector.Sobha's key products/revenue segments include Income from Sale of Commercial Flats, Shops & Plots, Sale of services, Income From Glazing, Income From Interiors, Concrete Blocks, Rental Income, Other Operating Revenue, Scrap for the year ending 31-Mar-2024.For the quarter ended 31-03-2025, the company has reported a Consolidated Total Income of Rs 1270.73 crore, up 1.10% from last quarter Total Income of Rs 1256.88 crore and up 60.60 % from last year same quarter Total Income of Rs 791.25 crore. The company has reported net profit after tax of Rs 40.86 crore in the latest quarter.The company?s top management includes Mr.Ravi PNC Menon, Mr.Jagadish Nangineni, Mr.Anup S Shah, Ms.Srivathsala K N, Mr.Raman Mangalorkar, Mr.R V S Rao. Company has BSR & Co. LLP as its auditors. As on 31-03-2025, the company has a total of 11 crore shares outstanding.Sobha clocked FY25 sales bookings of 4.7msf worth INR 62.8bn (decline of 23% YoY in volume terms and 6% in value terms), in spite of the company launching over 8msf of new projects in FY25. Heading into FY26, management is confident of achieving ~INR100bn of gross sales bookings driven by ~5msf of unreleased inventory having GVD of Rs 74 billion in ongoing projects and forthcoming launches of ~19msf with GDV of Rs 265 billion, of which management expects to launch ~8?9msf in FY26. Hence, ICICI Securities revised its FY26?27 sales bookings estimate upwards by ~10% and model for sales bookings of Rs 96 billion in FY26E and Rs 109 billion in FY27E. The brokerage retains its ADD rating with a revised Mar?25 SoTP-based target price of Rs 1,519 (earlier Rs 1,366) at a 20% premium to NAV, factoring in balance rights issue proceeds. Key risks: Lower price growth and residential demand slowdown.Promoters held 52.88 per cent stake in the company as of 31-Mar-2025, while FIIs owned 8.91 per cent, DIIs 23.97 per cent.
(Disclaimer: Recommendations given in this section or any reports attached herein are authored by an external party. Views expressed are that of the respective authors/entities. These do not represent the views of Economic Times (ET). ET does not guarantee, vouch for, endorse any of its contents and hereby disclaims all warranties, express or implied, relating to the same. Please consult your financial adviser and seek independent advice.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Time of India
39 minutes ago
- Time of India
Qcomm cos on govt radar; Tata upskills in Taiwan
Qcomm cos on govt radar; Tata upskills in Taiwan Also in the letter: Govt may increase scrutiny on quick commerce firms following hygiene, food safety issues Taking charge: Second strike: Last year, a raid by the Telangana food safety commissioner also flagged lapses at Blinkit warehouses. In response, the FSSAI urged state authorities to step up inspections of quick commerce facilities. The agency also amended norms, mandating that rapid delivery platforms supply products with at least 30% of their shelf life remaining or a minimum of 45 days before expiry. In addition to concerns about food safety, quick commerce firms have also faced scrutiny over the use of manipulative design tactics, known as dark patterns. Also Read: Rapid expansion: Tata Electronics sends hundreds of staff to Taiwan for semicon training Driving the news: Now hiring: Talent hunt: To build its talent pipeline, Tata Electronics is recruiting top executives from chipmakers such as Intel and GlobalFoundries, while also training less experienced employees. Fresh graduates and professionals with some industry exposure are being sent to Taiwan as part of this programme. Sponsor ETtech Top 5 & Morning Dispatch! Why it matters: The opportunity: Reach a highly engaged audience of decision-makers. Boost your brand's visibility among the tech-savvy community. Custom sponsorship options to align with your brand's goals. What's next: Flexiloans raises another Rs 375 crore from Fundamentum, Accion and others The details: The round was led by existing investors, including Nandan Nilekani's Fundamentum, US-based impact investor Accion, American asset management firm Nuveen, and Denmark-based asset management company Maj Invest. British International Investment (BII), the UK's development finance institution, joined in as a new investor. Tell me more: Founder's take: Wealthtech startup PowerUp Money raises $7 million: Garuda Aerospace raises $1 million: Other Top Stories By Our Reporters Byju's US assets Epic and Tynker sold for a song: Meesho converts to public entity in run-up to IPO: OpenAI's ChatGPT down; users report issues in loading prompts: Global Picks We Are Reading Happy Wednesday! The government may increase surveillance on quick commerce dark stores because of increasing hygiene concerns. This and more in today's ETtech Morning Dispatch.■ ETtech Done Deals■ Byju's US fire sale■ Meesho converts to public entityThe government is likely to increase oversight of quick commerce companies' dark stores following a spate of complaints about food safety violations at facilities run by leading told us that the Food Safety and Standards Authority of India (FSSAI) will lead the effort, with plans for surprise inspections at dark stores and other storage facilities across the FSSAI, which falls under the health ministry, sets standards for the manufacture, storage, distribution, sale and import of food HSBC Global ReasearchThe move follows recent action by the Maharashtra Food and Drug Administration (FDA), which suspended the licences of Blinkit and Zepto's dark stores in Mumbai and Pune after uncovering multiple hygiene breaches and violations of food safety executives and brand founders told ET that the fast and largely 'unchecked' growth of quick commerce platforms, which pushed both marketplaces and brands to scale at breakneck speed, may be at the root of the Electronics is ramping up preparations for its semiconductor fabrication (fab) and assembly and test (OSAT) facility by sending scores of employees to Taiwan for told us that the electronics arm of the Tata Group has sent 'a couple of hundred' employees to its technology partner Powerchip Semiconductor Manufacturing Corporation (PSMC) for hands-on training in the specialised skills needed to operate the upcoming fab in training is being conducted in a phased and structured manner, as PSMC can accommodate only a limited number of trainees at a Rs 91,000-crore fab in Dholera is expected to generate over 20,000 direct and indirect skilled jobs. Tata Electronics has started hiring in batches of 75, according to a person familiar with the matter."Different batches focus on distinct operations like equipment, yield engineering, process technology and another on quality engineering, which is generally a smaller group that doesn't need as many people,' the person Top 5 and Morning Dispatch are must-reads for India's tech and business leaders, including startup founders, investors, policy makers, industry insiders and Reach out to us at spotlightpartner@ to explore sponsorship opportunities.(L-R) Manish Lunia, Deepak Jain, Ritesh Jain, founders, FlexiloansNon-banking finance company Flexiloans has raised Rs 375 crore in a mix of primary and secondary capital to drive its expansion raise follows a Rs 290 crore infusion in October 2024 . That round had valued the company at $140 million, ET reported at the time. The current raise includes a significant secondary ended FY24 with revenue of Rs 263 crore and a net profit of Rs 3 crore. The company is yet to file its FY25 financials.'Through this round, we have given exits to the high networth individuals who had invested in the company in 2017. Most of our existing institutional investors have doubled down in the company,' said Deepak Jain, a cofounder of wealthtech startup PowerUp Money has raised $7.1 million in its first major institutional funding round, led by early-stage investors Accel, Blume Ventures, and Kae Capital. This round also included participation from 8i Ventures and in April by Prateek Jindal, a former cofounder at Uni Cards, the startup offers direct mutual fund investments to retail startup Garuda Aerospace, backed by former Indian cricket team captain Mahendra Singh Dhoni, has raised $1 million in a funding round from the Narotam Sekhsaria Family Office (NSFO). The company plans to use the funds to scale up manufacturing capacity from 8,000 drones annually to 12,000-15,000 US assets of troubled edtech company Byju's, coding platform Tynker and kids learning platform Epic, have been sold for a fraction of what the company paid for them. A US bankruptcy court approved both sales during a hearing on May 20, as reported by EdWeek Market board of ecommerce marketplace Meesho has approved its conversion into a public entity in anticipation of a planned initial public offering (IPO), as stated in its filings with the Registrar of Companies (RoC).OpenAI's chatbot ChatGPT experienced an outage , with thousands of users encountering difficulties in loading and accessing results for their prompts. The company acknowledged the outage and stated that both ChatGPT and the image generation AI tool, Sora, have been affected.■ Trump's Tech Bros: Can Tim Cook save Apple from the trade war? ( FT ■ Tesla's Robotaxis are rolling out soon—with one big unanswered question ( Wired ■ Google's AI search features are killing traffic to publishers ( TechCrunch
Economic Times
an hour ago
- Economic Times
Wealthtech startup PowerUp Money raises $7 million from Accel, Blume, others
Live Events Bengaluru-based wealthtech startup PowerUp Money has raised $7.1 million in its first major institutional funding round, led by early-stage investors Accel Blume Ventures , and Kae Capital The round also saw participation from 8i Ventures, in April by Prateek Jindal, who was previously the cofounder at Uni Cards , the startup offers direct mutual fund investments to retail investors.'The venture was initially built as a separate platform but within Uni Cards. Post this funding round, the firm and the team have been hived off from Uni,' Jindal told ET. He added that while he continues to be a shareholder at Uni Cards, he has resigned from an executive role in the with a registered investment advisor (RIA) licence, the platform offers advisory services on its clients' mutual fund investments and also offers transactions through the said that he believes that the Indian mutual fund market will grow to 100 million users over the next three to four years from around 55 million currently, and investors would look for proper advisory services on which funds to buy and sell.'There are many competitors in the wealth management space in India, but I am targeting retail investors with a ticket size of anywhere between Rs 5 lakh and Rs 2 crore,' Jindal Money's funding round comes at a time when there is heightened activity in the Indian wealth management ecosystem. Players like Centricity, Dezerv, Angel One-backed Ionic Wealth are taking shape in this space, looking to carve out a niche in the growing market. Stock broking major Groww recently closed the acquisition of Fisdom to set foot in the wealth management space as Money wants to build a technology-led product, which will generate good-quality advisory and portfolio management services to its clients for free. The company is also offering a paid subscription service, which will offer quarterly reviews and additional services.'While this will be my customer acquisition strategy, I am looking to generate revenue from end-to-end portfolio management services, which is what I am building towards,' Jindal a team of 30-35 individuals, Jindal is looking to use the freshly raised funds for strengthening the research vertical, building more products to cater to consumer requirements, and scaling up customer acquisition.
Hans India
an hour ago
- Hans India
Farmers encouraged to opt for oil palm cultivation
Kakinada: The Horticulture Department in the Kakinada district is actively promoting oil palm cultivation this year by offering attractive subsidies and awareness programmes aimed at significantly expanding the crop's cultivation area. Officials are encouraging farmers, especially those relying on borewells for cultivating paddy and certain horticultural crops in upland regions, to switch to oil palm as a sustainable and profitable alternative. Currently, crops such as paddy, vegetables, mulberry, and cotton dominate the district's agricultural landscape. However, from this year, the department has set ambitious targets to expand oil palm cultivation: 3,050 hectares in Pithapuram, 2,193.50 hectares in Peddapuram, 2,222.40 hectares in Tuni, 1,825 hectares in Sankhavaram, 2,347 hectares in Jaggampeta, and 2,128 hectares in Prathipadu. Officials have begun educating farmers about the long-term benefits of oil palm, especially in the backdrop of India's continued reliance on imported palm oil. Expanding domestic cultivation could significantly benefit local farmers. The government is offering robust incentives to promote the crop. Farmers will receive free planting material worth RS 20,000 per hectare (approximately 57 plants per hectare). In addition, they will get RS 5,200 per year for four years to cover fertilizer and maintenance costs. An additional RS 5,200 per year is available if intercropping is undertaken. Subsidy amounts will be directly credited to farmers' accounts under the MGNREGS. Pithapuram Horticulture Officer Sailaja said awareness programmes on oil palm cultivation and government subsidies have generated considerable interest among farmers. She added that many currently growing paddy face recurring losses due to floods and pests. In this context, the department is encouraging farmers to adopt oil palm as a viable, long-term alternative.
