Shares of Godrej Properties escalated by 8.86% to reach an intraday high of ₹ 1,225.00 apiece on the National Stock Exchange (NSE) after the real estate developer posted its best-ever quarter in terms of sales bookings, as the demand for residential properties soared.
The company’s sales bookings rose 56% to hit an all-time high of ₹ 12,232 crores, while its bookings in the latest quarter (January to March 2023) were at ₹ 4051 crores. Sales volumes grew by 19% quarter on quarter (QoQ) and by 40% for the fiscal year.
At 12:33 PM, Godrej Properties’ shares were trading at ₹ 1,211.55 apiece, 7.66% higher.
Motilal Oswal Financial Services upgraded its rating on the stock from ‘neutral’ to ‘buy’ with a target price of ₹ 1575.00 apiece. This translates to an upside of 30.00% as compared to its current share price. It projects that the company can deliver up to 38 million square feet in various projects over the course of the following two years, with an annual launch run-rate to increase two-fold to 20 million square feet in the same time period.
The stock had reached a 52-week low of ₹ 1,005.00 apiece on March 29, 2023. However, it has bounced back by 20.55% from that price.
“The reason we were able to deliver strong growth in FY23 is that we had a strong portfolio of projects across the country.” “For the first time, we sold over ₹ 2,000 crore of real estate in each of our four focus markets of Mumbai, NCR, Bengaluru and Pune,” said Pirojsha Godrej, Executive Chairman Godrej Properties.
Meanwhile, the shares of Sobha Ltd also zoomed 5.45% on Monday’s early trades to reach an intraday high of ₹ 474.90 apiece. This happened after the company recorded its best-ever sales quarter with a value of ₹1,463 crore and a saleable area of 1.48 mn sft. Its quarterly sales value of ₹ 1207 crores is also at its highest historically. It was up 8.37% from the previous quarter and up 29.1% as compared to the corresponding quarter last year.
According to a recent research report by ICICI Direct, the share price of Sobha Ltd might reach a target price of ₹ 750.00 in a time period of 12 to 18 months. The given target translates to an upside of 61.20% as compared to its share price of ₹ 465.25 apiece.
Written by Simran Bafna