“The revenue increases are larger and mostly accounting driven. Post the recent correction, the stock is trading at less than 2.0 times FY26 EV/pre-sales and approximately 12 times FY26E embedded PAT,” it added.
The company reported a Q1 net profit of Rs 600 crore, 15% growth year-on-year, and a headline beat on a large other income, which was driven by stake sale-driven fair valuation gains in certain lease assets.
Jefferies highlighted that the management has guided for 10% year-on-year sales growth to Rs 32,500 in FY26E, which implies 22% growth in the next 9 months. The company highlighted a strong and well-distributed launch pipeline for the remainder of FY26. The demand conditions are still deemed to be strong and in line with the middle of a property cycle.
“Despite news flow of tech-industry job losses, management said that its projects continued to sell well in July in tech-industry-driven Bengaluru,” it added.
