Strong launch pipeline
Quick Pointers:
▪ Launched a tower at ODC 5th avenue in Q4FY26
▪ Achieved 16% YoY growth in pre-sales
Sunteck Realty (SRIN) reported healthy pre-sales (16% YoY). While collections were subdued; (down 5% YoY) in Q3 and should pick up as RERA for Nepean Sea project gets received. SRIN’s proven ability to market ultra-luxury projects, aggressive and multi-pronged land acquisition capabilities in various micro markets across Mumbai Metropolitan Region (MMR) is an interesting play on Mumbai’s high value real estate market. We expect the company’s pre-sales to grow to 25% CAGR over FY25-28E, aided by ongoing projects and strong new launches pipeline including the Dubai JV project. Further given likely strong cash flow generation, we see SRIN to step up new project additions which will be a key catalyst for stock performance. Maintain ‘Buy’ rating with revised TP of Rs550share.
