Axis Securities initiates coverage on Signatureglobal with buy call; target price Rs 1,645

Axis Securities has initiated a coverage on Signatureglobal (India), with a buy cann and a target price of Rs 1,645. The current market price of Signatureglobal is Rs 1254.7.

Signatureglobal (India), incorporated in 2000, is a Small Cap company with a market cap of Rs 17634.79 crore, operating in Real Estate sector.

Signatureglobal's key products/revenue segments include Contract Revenue, Other Operating Revenue, Income From Real Estate Development, Scrap, Sale of Switching Station Rights and Traded Goods for the year ending 31-Mar-2024.



Financials
For the quarter ended 30-09-2024, the company has reported a Consolidated Total Income of Rs 777.43 crore, up 81.65% from last quarter Total Income of Rs 427.98 crore and up 541.63% from last year same quarter Total Income of Rs 121.16 crore. The company has reported net profit after tax of Rs 4.15 crore in the latest quarter.

The company's top management includes Mr.Pradeep Kumar Aggarwal, Mr.Kundan Mal Agarwal, Mr.Devender Aggarwal, Mr.Ravi Aggarwal, Mr.Lalit Kumar Aggarwal, Mr.Pradeep Kumar Aggarwal, Mr.Venkatesan Narayanan, Ms.Lata Pillai, Mr.Chandra Wadhwa, Mr.Chandra Wadhwa, Ms.Lata Pillai, Ms.Lata Pillai, Mr.Chandra Wadhwa, Mr.Kundan Mal Agarwal, Mr.Devender Aggarwal, Mr.Ravi Aggarwal, Mr.Lalit Kumar Aggarwal, Mr.Pradeep Kumar Aggarwal, Mr.Venkatesan Narayanan, Mr.Kundan Mal Agarwal, Mr.Devender Aggarwal, Mr.Pradeep Kumar Aggarwal, Mr.Venkatesan Narayanan, Ms.Lata Pillai, Mr.Chandra Wadhwa, Mr.Kundan Mal Agarwal, Mr.Devender Aggarwal, Mr.Ravi Aggarwal, Mr.Lalit Kumar Aggarwal, Mr.Lalit Kumar Aggarwal, Mr.Ravi Aggarwal, Mr.Ravi Aggarwal, Mr.Lalit Kumar Aggarwal, Mr.Pradeep Kumar Aggarwal, Mr.Venkatesan Narayanan, Ms.Lata Pillai, Mr.Chandra Wadhwa, Mr.Kundan Mal Agarwal, Mr.Devender Aggarwal, Mr.Venkatesan Narayanan. Company has Walker Chandiok & Co. LLP as its auditors. As on 31-12-2024, the company has a total of 14 Crore shares outstanding.

Investment Rationale
Axis Securities has initiated coverage on Signature Global (SIGNATURE) with a BUY recommendation. Their recommendation is supported by a) Focus on key segments, b) Gurugram?s micro-markets, c) Strong cashflows combined with improving margins, and d) Resilient sales and quick execution. Valuing the company by NAV valuation, we arrive at a target price of Rs 1,645/share, implying an upside of 29% from the CMP.

Promoter/FII Holdings
Promoters held 69.63 per cent stake in the company as of 31-Dec-2024, while FIIs owned 12.04 per cent, DIIs 4.82 per cent.