A near-doubling of Sunteck’s project portfolio has happened post-Covid and as the monetisation of land parcels commences, we see sales delivering a 25% CAGR over FY22-25E. 70%+ of sales come from the affordable & mid-income segment of the Mumbai residential sector, where competition from organised developers is limited. Net gearing is low as expansion has been via a capital-efficient partnership model. Initiate at Buy with price target (PT) set at 1-yr forward net asset value (NAV) of Rs 621/share. Pre-sales set to jump: We believe Sunteck is on a path to double its pre-sales to Rs 25 bn in three …
