Buy Sobha, target price Rs 610: HDFC Securities

HDFC Securities has buy call on Sobha with a target price of Rs 610. The current market price of Sobha is Rs 596.3. HDFC Securities recommended to keep stop loss at Rs 560.

Sobha, incorporated in the year 1995, is a Mid Cap company (having a market cap of Rs 5631.00 Crore) operating in Real Estate sector.

Sobha key Products/Revenue Segments include Income From Construction Work, Income From Financial Services, Land Development Rights, Income From Glazing, Income From Interiors, Concrete Blocks, Rental Income, Scrap for the year ending 31-Mar-2022.


Financials
For the quarter ended 31-03-2023, the company has reported a Consolidated Total Income of Rs 1240.10 Crore, up 38.10 % from last quarter Total Income of Rs 898.00 Crore and up 61.72 % from last year same quarter Total Income of Rs 766.80 Crore. Company has reported net profit after tax of Rs 48.60 Crore in latest quarter.

Investment Rationale
Weekly 10 and 20 period EMA are offering support for the stock price to move up consistently.

Promoter/FII Holdings
Promoters held 52.28 per cent stake in the company as of 30-Jun-2023, while FIIs owned 12.74 per cent, DIIs 12.21 per cent.