Add Oberoi Realty, target price Rs 988: ICICI Direct

ICICI Direct has add call on Oberoi Realty with a target price of Rs 988. The current market price of Oberoi Realty Ltd. is Rs 881. Time period given by analyst is one year when Oberoi Realty Ltd. price can reach defined target.

Oberoi Realty Ltd., incorporated in the year 1998, is a Large Cap company (having a market cap of Rs 31773.38 Crore) operating in Real Estate sector.

Oberoi Realty Ltd. key Products/Revenue Segments include Income from Project Development, Lease Rentals, Income from Hospitality and Other Operating Revenue for the year ending 31-Mar-2022.


Financials
For the quarter ended 30-09-2022, the company reported a Consolidated Total Income of Rs 711.79 Crore, down -23.86 % from last quarter Total Income of Rs 934.81 Crore and down -7.38 % from last year same quarter Total Income of Rs 768.52 Crore. Company reported net profit after tax of Rs 218.04 Crore in latest quarter.

Investment Rationale
The brokerage downgrades rating to ADD from BUY post the 8% rally in stock price in the last three months with an unchanged SoTP based target price of Rs988/share which assumes a 20% premium to NAV. Key risks are a decline in demand for residential properties and weakness in office leasing.

Promoter/FII Holdings
Promoters held 67.7 per cent stake in the company as of 30-Jun-2022, while FIIs owned 19.42 per cent, DIIs 9.99 per cent.