Switch To Prestige Estates From Oberoi Realty, DLF To Capture Growth, Says Yes Securities

NDTV Profit’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer NDTV Profit’s subscribers an opportunity to expand their understanding of companies, sectors and the economy..Yes Securities Report.Prestige Estates Projects Ltd. has achieved the presales of Rs 210 billion for FY24 and guided Rs 260-270 billion presales for FY25 on the back of a strong launch pipeline of Rs 600 billion gross development value and Rs 120 billion ongoing inventory. We valued the residential business at Rs 273 billion. Company also plans to take its annuity multifold to Rs 50 billion in next two-three years, which we valued cumulatively at Rs 410 billion at 11.7% weighted average cost of capital and 8% Cap rate for office (6.5% for retail). As the company plans to list its hospitality arm, we valued it at Rs 146 billion at 25 times FY27 enterprise value/Ebitda. .Prestige Estates clearly stands out amongst peers with the superior growth prospects for residential segment, multifold annuity growth and value creation by listing the hospitality arm. Company has managed its debt well and expected to remain under control at net debt/equity of 0.36 times FY25. We believe one should choose pro-growth companies like Prestige Estate for two years over the companies with capped valuation/growth like Oberoi Realty and DLF which have limited/no upside remaining. We suggest switching from Oberoi Realty/DLF to Prestige Estate to capture an upside of 64% which includes a 35% premium to the current portfolio. We maintain Buy with an upgraded target of Rs 3,021/share..Click on the attachment to read the full report:.Solar Industries - More Arrows In Its Quiver: ICICI Securities.DISCLAIMERThis report is authored by an external party. NDTV Profit does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of NDTV Profit..Users have no license to copy, modify, or distribute the content without permission of the Original Owner.

Switch To Prestige Estates From Oberoi Realty, DLF To Capture Growth, Says Yes Securities

We believe one should choose pro-growth companies for two years over the companies with capped valuation/growth

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Switch To Prestige Estates From Oberoi Realty, DLF To Capture Growth, Says Yes Securities

We believe one should choose pro-growth companies for two years over the companies with capped valuation/growth

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