Please Share:: 
India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��
Anant Raj Industries :CMP: 102 TGT: 116 HORIZON: 1-60 Days
Investment Rationale
Anant Raj Industries is one of the real estate development companies in
the national capital region armed with the largest land banks in the region.
It is in the process of building an array of Special Economic Zones (SEZs),
IT Parks, Hotels, Commercial Complexes, Malls, Residential / Service
Apartment and other infrastructure projects.
Anant Raj is mainly concentrated in northern India in terms of geography
and in terms of its projects it mainly concentrates on commercial projects
followed by residential and others.
Anant Raj’s business model transformation to a faster turnover/residential
portfolio started in early FY11 and will be reflected in coming quarters as
the projects have low gestation period i.e. faster turn around.
It currently has 73 million square feet of projects in hand, the land cost of
which is completely paid for.
It is one of the companies in the realty sector which is lower on debt
compared to its peers.
A key trigger for the stock could be the launch of the Hauz Khas property
that was stalled due to litigation and is expected to be re-launched in the
fourth quarter of the current FY.
The financials of the company look dull but going forward the projects on
hand and the surge in demand shows a better outlook for the company.
Also the increasing interest of institutions and corporate shows confidence
in the company. Currently the stock is trading at a discount of 75% of its
NAV and a PE of almost 18x and is looking attractive to accumulate
between 98-102 levels for a target of 116.
Risks
Though there is surge in demand for real estate but the sustaining of the
same is a concern as the companies may face cash flow problems going
ahead.
The geographical concentration in north may pose some concerns for the
company.
Technical Comments
The stock has seen bottom formation around
100 levels with good volumes. The stock is also
sustaining above the falling trend line with good
volumes. Even in the volatile market conditions
this stock is sustaining and likely to outperform
the market. We recommend accumulating the
stock between 98-102 levels with stop loss of 92
for the target of 116 levels in coming weeks.
India Equity Research Reports, IPO and Stock News Visit http://indiaer.blogspot.com/ for complete details �� ��
Anant Raj Industries :CMP: 102 TGT: 116 HORIZON: 1-60 Days
Investment Rationale
Anant Raj Industries is one of the real estate development companies in
the national capital region armed with the largest land banks in the region.
It is in the process of building an array of Special Economic Zones (SEZs),
IT Parks, Hotels, Commercial Complexes, Malls, Residential / Service
Apartment and other infrastructure projects.
Anant Raj is mainly concentrated in northern India in terms of geography
and in terms of its projects it mainly concentrates on commercial projects
followed by residential and others.
Anant Raj’s business model transformation to a faster turnover/residential
portfolio started in early FY11 and will be reflected in coming quarters as
the projects have low gestation period i.e. faster turn around.
It currently has 73 million square feet of projects in hand, the land cost of
which is completely paid for.
It is one of the companies in the realty sector which is lower on debt
compared to its peers.
A key trigger for the stock could be the launch of the Hauz Khas property
that was stalled due to litigation and is expected to be re-launched in the
fourth quarter of the current FY.
The financials of the company look dull but going forward the projects on
hand and the surge in demand shows a better outlook for the company.
Also the increasing interest of institutions and corporate shows confidence
in the company. Currently the stock is trading at a discount of 75% of its
NAV and a PE of almost 18x and is looking attractive to accumulate
between 98-102 levels for a target of 116.
Risks
Though there is surge in demand for real estate but the sustaining of the
same is a concern as the companies may face cash flow problems going
ahead.
The geographical concentration in north may pose some concerns for the
company.
Technical Comments
The stock has seen bottom formation around
100 levels with good volumes. The stock is also
sustaining above the falling trend line with good
volumes. Even in the volatile market conditions
this stock is sustaining and likely to outperform
the market. We recommend accumulating the
stock between 98-102 levels with stop loss of 92
for the target of 116 levels in coming weeks.
No comments:
Post a Comment