Synopsis:
The real estate player is seeing strong momentum, supported by robust presales growth, improving financials, and an expanding launch pipeline across major cities. With healthy margins, low leverage, and bullish analyst sentiment, it remains well-positioned to capitalise on sector consolidation and sustained housing demand.
With a market capitalization of Rs 1,18,652.59 crore, the shares of Lodha Developers Ltd were trading at Rs 1,188.20 per share, decreasing around 1.17 percent as compared to the previous closing price of Rs 1,202.30 apiece
Brokrage Recommendation
Motilal Oswal, one of the well-known brokerages in India, has reiterated a ‘Buy’ recommendation on this real estate stock with a target price of Rs 1,888 apiece, indicating a potential upside of 59 percent from Friday’s price of Rs 1,188.20 per share.
As per the brokerage, Lodha continues to deliver stable performance across key metrics, Motilal Oswal expects the momentum to hold as the company capitalises on sector consolidation. Presales are projected to grow at a strong 22% CAGR, supported by healthy collections and a low net-debt ratio even after sizeable business development additions worth Rs 25,000 crore.
Its regional expansion remains promising, with Pune expected to post 40% YoY sales growth and Bengaluru moving from pilot to growth phase, aiming for a 12% market share by 2030. Lodha is also testing the NCR market while strengthening its commercial and industrial portfolio to boost recurring rental income.
However, Analyst sentiment remains strongly positive, with 15 of 18 experts recommending a ‘Buy’ on Lodha Developers. Only one advises ‘Sell’ and two suggest ‘Hold’, reflecting broad confidence in the company’s growth outlook and operating momentum.
Financial Highlights & Guidance
The company delivered a strong financial performance in Q2FY26, with revenue rising 45% to Rs 3,798 crore from Rs 2,626 crore a year earlier. Net profit surged 87% to Rs 790 crore, indicating a sharp improvement in operational efficiency, better margins, and robust demand driving overall earnings growth.
Moreover, Lodha Developers’ FY26 guidance shows steady progress, with H1 pre-sales of Rs 90 bn against a full-year target of Rs 210 bn. Operating cash flow is Rs 24 bn, expected to accelerate in H2 due to major launches. Business development already reached Rs 250 bn, surpassing guidance, while net-debt-to-equity remains comfortable at 0.25x, supporting growth momentum.
Further, the launch pipeline for 2HFY26 remains strong, with 15 projects totaling 10 mn sq. ft. and Rs 140 bn in GDV. MMR dominates with multiple launches across South Central, Western, and Eastern suburbs, while Pune and Bengaluru add meaningful scale. A mix of own and JDA projects ensures balanced capital deployment and broad market coverage.
Lodha Developers is one of India’s leading real estate companies, known for large-scale residential and commercial projects across key cities, especially the Mumbai Metropolitan Region. With strong brand equity, disciplined execution, and an expanding national footprint, the company continues to shape urban development through high-quality, high-growth real estate offerings.
Written by Abhishek Singh
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